MSMEs and the Udyog Aadhar Memorandum

MSMEs and the Udyog Aadhar Memorandum

MSME stands for Micro, Small, and Medium Enterprises. In a developing country like India, MSMEs industries are the backbone of the economy. When these industries grow, the country’s economy grows and thrives as a whole. These enterprises are often known as small-scale industries or SSIs.

Also, Read- udyam registration

The salient feature of UAM is:

  • Online registration is simple and convenient.
  • On a self-declaration basis, Udyog Aadhaar Memorandum (UAM) can be filed.
  • There is no requirement for documentation.
  • There is no charge for filing.
  • More than one Udyog Aadhaar with the same Aadhaar number should be filed.

MSMEs must file a Udyog Aadhaar Memorandum (also known as the memorandum) in Form I by following the processes outlined below:

1. The memorandum must be submitted electronically through the udyam registration portal.

2. The memorandum must be filed by any micro, small, or medium-sized business that makes goods or provides services and has a total investment in plant and machinery that is less than the limit set forth in section 7 of the Act.

3. The memorandum must be filed only after the unit has been established, all regulatory clearances have been obtained, and commercial operations have begun.

4. The memorandum may specify any number of operations, including manufacturing, service, or both.

5. In the event of a proprietorship firm, the controlling partner in the case of a partnership firm, and a Karta in the case of a Hindu Undivided Family (HUF).

6. In the event of a business, a limited liability partnership, a cooperative society, a society, or a trust, the memorandum must include the organization’s Permanent Account Number (PAN) as well as the authorized signatory’s Aadhaar number.

7. A one-time password (OTP) for verifying a new memorandum or changing an existing one will be issued to the applicant’s mobile phone linked to his or her Aadhaar number, and the applicant will input the OTP in the form before submitting the memorandum.

8. The memoranda must be filed on a self-certification basis, and no further documents must be uploaded at the time of submission.

How to Fill Out the Online Udyog Aadhaar Form:

1. Unique Identification Number (Aadhaar): The applicant’s 12-digit Aadhaar number should be entered in the appropriate field.

2. Owner’s Name: The applicant must fill in his or her name exactly as it appears on the UIDAI-issued Aadhaar Card.

To validate your Aadhar card, follow these steps:

Validate Aadhar: The applicant must click the Validate Aadhaar option to verify their Aadhaar number. Only then can they continue to fill out the form.

Reset: The applicant can use the reset button to clear the Aadhaar No and Owner Name fields for each Aadhaar.

Your UIDAI-registered mobile number will receive an OTP. Please follow the instructions on the pop-up window if your mobile number is not registered with UIDAI.

3. Social Category: The Applicant may choose from the following options: General, Scheduled Caste, Scheduled Tribe, or Other Backward Castes (OBC). If and when necessary, the authorized authority may request verification of SC, ST, or OBC status.

4. Entrepreneurial Gender: The applicant can choose the gender of the entrepreneur.

5. Physically Handicapped: The Physically Handicapped Entrepreneur status is an option for the applicant.

6. Name of the Company: The Applicant must include the name by which his or her Enterprise is known to clients and the general public, as well as whether or not it is a legal entity with which to conduct business. 

7. Organizational Structure: From the choices presented, the Applicant may select the appropriate type of organization for his or her business. The Applicant must ensure that the legal authority has given him or her permission to fill out this online form (i.e. the firm that has registered for Udyog Aadhaar). 

8. PAN Number: In the event of a cooperative, a private limited company, a public limited company, or a limited liability partnership, the applicant must enter their PAN number. In the remaining types of organizations, it will be optional.

9. Plant Location: By pressing the Add Plant option, the Applicant can register numerous plant locations in one application.

10. Business Address: The Applicant should enter the Enterprise’s complete postal address, including state, district, pin code, phone number, and email address, in the appropriate field.

11. Commencement Date: The date the corporate entity began operations in the past can be entered in the appropriate field.

12. Information from previous registrations (if any): If the Applicant’s business, for which the Udyog Aadhaar is being requested, has been previously issued a valid EM-I/II by the concerned Such number may be mentioned in the proper location under the MSMED Act 2006 or the SSI registration that existed prior to the said Act.

13. Bank account information: The Applicant must submit his or her bank account number used to run the Enterprise in the appropriate field. The Applicant must also provide the IFS Code of the bank branch where his or her account is held. The IFS code is now printed on the bank’s chequebooks. The IFSC code can be discovered on the bank’s website if the Applicant knows the name of the bank and the branch where his or her account is located.

Suggested Read- udyam registration portal

14. Submit: The applicant must click the Submit button to generate an OTP, which will be emailed to the email address provided during the registration process.

The Applicant must enter the OTP received on his or her mobile phone (connected to Aadhaar) a second time.

15. Captcha: Before hitting the Final Submit button, the Applicant must complete the Captcha.