Udyog Aadhar: What is it, and how can you get one?


In recent years, the Indian government has been actively promoting entrepreneurship and small-scale industries to boost economic growth and employment opportunities. One of the initiatives aimed at supporting these endeavors is the Udyog Aadhar Registration. udyam is a unique identification number provided to micro, small, and medium-sized enterprises (MSMEs) in India. This article aims to shed light on what udyam is, its benefits, and how aspiring entrepreneurs can obtain it to unlock various opportunities and benefits for their businesses.

What is Udyog Aadhar?

Udyog Aadhar is a twelve-digit unique identification number issued by the Ministry of Micro, Small, and Medium Enterprises (MSME) to small and medium-sized enterprises operating in India. It replaces the earlier system of registration under the MSME Development Act, making it easier for business owners to avail themselves of various government schemes and benefits. The registration process is entirely online and requires minimal paperwork, making it accessible to a wide range of entrepreneurs across the country.

How to obtain Udyog Aadhar:

The process of obtaining a Udyog Aadhar is straightforward and can be completed in a few simple steps:

Visit the Udyog Aadhar registration portal: 

The first step is to visit the official udyam registration portal.

Enter Aadhar number: 

To begin the registration process, the applicant needs to provide their twelve-digit Aadhar number issued by the Unique Identification Authority of India (UIDAI).

Personal and business details: 

After entering the Aadhar number, the applicant will need to fill in their personal details like name, gender, category, and social category. Additionally, they will have to provide the details of their business, including the name of the enterprise, type of organization, and its location.

Bank details and sector classification: 

The applicant will need to furnish the bank account details of the business for verification purposes. They will also have to select the appropriate sector in which their business operates, such as manufacturing, service, or trading.

Investment and employment details: 

The entrepreneur will need to specify the total investment made in the business and the number of individuals employed in the enterprise.

Submit the application: 

Once all the necessary information is provided, the applicant can submit the registration form online.

Receive Udyog Aadhar number: 

After successful submission, the entrepreneur will receive their Udyog Aadhar number on their registered mobile phone and email address.

Benefits of Udyog Aadhar:

Having a Udyog Aadhar comes with a plethora of benefits for small and medium-sized enterprises. Some of the key advantages include:

Easy access to government schemes and subsidies: 

Businesses registered under Udyog Aadhar are eligible to apply for various government schemes and subsidies aimed at promoting MSMEs. These schemes can provide financial assistance, technology upgrades, and other support that can significantly boost business growth.

Collateral-free loans: 

Financial institutions and banks recognize udyam as a legitimate proof of a business’s existence and operations. This makes it easier for MSMEs to avail collateral-free loans and credit facilities, which are vital for expanding and sustaining their ventures.

Faster approvals and clearances: 

Many government departments and agencies have dedicated incentives and simplified approval processes for Udyog Aadhar registered businesses. This reduces the time and effort required to obtain licenses, permits, and clearances, streamlining the overall business operations.

Access to tenders and government contracts: 

Udyog Aadhar registration opens doors to participate in government tenders and procurement processes. This provides MSMEs with a chance to secure lucrative contracts from government entities, thus enhancing their revenue streams.

Protection against delayed payments: 

The udyam registration enables businesses to file complaints against delayed payments from buyers under the MSME Delayed Payment Act. This ensures timely receipt of payments and safeguards the financial stability of the enterprise.

Support for technological and skill development: 

Many government initiatives focus on enhancing the technological capabilities and skillsets of MSMEs. udyam holders can participate in skill development programs and receive subsidies for adopting advanced technologies.

Benefits in international trade: 

udyam registration is also useful for MSMEs looking to explore international markets. It facilitates participation in international trade fairs, exhibitions, and various export promotion activities.

Suggested Read- Update Udyam Certificate


Udyog Aadhar is a valuable initiative by the Indian government to empower small and medium-sized businesses with various benefits and opportunities. The registration process is simple, enabling entrepreneurs to focus on their business growth rather than getting entangled in bureaucratic procedures. Obtaining a Udyog Aadhar not only makes businesses eligible for various government schemes but also facilitates access to credit, subsidies, and other support systems.

If you are a budding entrepreneur or already running a small-scale business, getting a Udyog Aadhar should be on your priority list. By acquiring this unique identification number, you can unlock a world of opportunities to propel your business towards success and contribute to the nation’s economic development. Embrace the Udyog Aadhar and embark on a journey towards growth and prosperity for your business.

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