MSME Registration / Udyog Aadhar

MSME Registration /Udyog Aadhaar Registration

UdyogAadhaar or MSME registration is a certificate provided to micro, small, medium-sized businesses in India under the Micro, Small and Medium Enterprise Development Act, 2006 (MSMED). UdyogAadhaar used to be referred to as MSME registration earlier. Now, the process for obtaining MSME registration has been merged with UdyogAadhaar registration and made online by the Government. The main objectives of the MSME department with respect to providing UdyogAadhaar registration are as follows:

  1. To enable the micro, small and medium enterprises to compete with international competition efficiently;


  1. To promote the growth of micro, small and medium enterprises on a large scale to effectively tackle the widespread problems of unemployment and poverty


  1. To extend the benefits of various government scheme at one stop to the SSI units;


  1. To safeguard SSI from financial harassment in the hands of big industries.
UdyogAadhaar Eligibility

Not all businesses can obtain UdyogAadhaar registration. Only those entity that are classified as a micro, small or medium enterprise as per the table below based on investment in plant and machinery is eligible for UdyogAadhaar.

Classification Micro Small Medium
Manufacturing and Services Investment <Rs. 1Cr.


Turnover < 5Cr.

Investment <Rs. 10Cr.


Turnover <50Cr.

Investment <Rs. 20Cr.


Turnover <100Cr.

Benefits of UdyogAadhaar

UdyogAadhaar registration is provided free of cost by the Government and its simple and easy to obtain online. After obtaining UdyogAadhaar, a business can enjoy the following benefits:

  1. 100% Collateral-Free Automatic Loans
  2. The applicant will also be eligible for government subsidies.
  3. Registration would facilitate the hassle-free opening of current bank accounts in the name of the business.
  4. It would also allow businesses to apply for government micro business loans and other such related beneficial schemes.
  5. Protection from delayed payement.
  6. Easier sanction of bank loans at lower interest rates.
Documents Required for UdyogAadhaar

The applicants personal Aadhaar is the main requirement for obtaining UdyogAadhaar in case of a proprietorship. No further documents are required other than an email and a mobile number.

  1. In case of proprietorship, the applicants Aadhaar must be used.
  2. In case of a partnership, the partners Aadhaar can be used.
  3. In the case of a company, the Directors Aadhaar can be used.
  4. In the case of LLP, the Designated Partners Aadhaar can be used.

If an applicant or authorised signatory of a business does not have Aadhaar, then he/she must first apply for Aadhaar at an Aadhaar enrolment centre. Once, the Aadhaar is obtained, the UdyogAadhaar process can be started.

Procedure for UdyogAadhaar Application

Follow the steps below to obtain UdyogAadhaar registration online:

  1. Logon to the UdyogAadhaar website.
  2. Enter the 12 digit Aadhaar of the applicant and complete the verification process.
  3. Name of Owner – Provide the name of authorised signatory or owner as mentioned on the Aadhaar Card. If the name does not match with the Aadhaar number, the applicant will not be able to complete the form.
  4. Social Category – Provide the applicant’s caste: General/Schedule Caste/Schedule Tribe/ Other Backward Castes. The proof of belonging to SC, ST or OBC may be asked by the appropriate authority, if and when required.
  5. Name of Enterprise – Fill the name by which the enterprise is known to the customers/public and is a legal entity to conduct business.
  6. One applicant can obtain more than one UdyogAadhaar with the same Aadhaar Number, in case of multiple businesses.
  7. Type of Organization – Select the type of legal entity for the business.
  8. PAN – Enter PAN Number of the proprietor in case of proprietorship. In the case of company or LLP, enter the PAN of the entity for which UdyogAadhaar is sought.
  9. Location of the plant – Enter the address of all location of the business.
  10. Official Address – Enter the main address or corporate office address along with mobile and email address.
  11. Date of Commencement – Enter the date on which the business was started.
  12. Previous Registration Details – Enter details of previous MSME registration, if applicable.
  13. Bank Details – Enter details of the bank account of the company, including IFSC Code and Bank Account Number.
  14. Major Activity – Select major area of activity of the business – manufacturing or service.
  15. NIC Code – Select the appropriate NIC Code from the National Industrial Classification (NIC) handbook.
  16. Persons employed – Enter the total number of people employed in the business.
  17. Investment in Plant & Machinery/Equipment – Enter the amount of money invested in terms of machinery and equipment by the business. Do not include the value of building or land.
  18. DIC – Enter details of the District Industry Center nearest to the business, if required.

After submitting all the details, re-check the details filled and click on the Submit button. Verify the OTP number, generated by the registered number, with Captcha code required. An acknowledgement number will be generated and e-mailed to the applicant, which should be noted for future references.