Kabir and Farid are both young entrepreneurs making contribution to economy and earning handsome profits in their small enterprises. When Kabir meets Farid:
Farid then guides his entrepreneur friend about the new regime.
Mr. Narendra Modi has always laid great stress on the national policy of “ease of doing business” via his regional speeches, and radio show “Mann ki Baat”, etc. The policy is sought to be fructified through the introduction of “Udyog Aadhar Memorandum” abbreviated as UAM. The bygone system of ENTREPRENEUR MEMORANDUM (EM-I/II) existed from 2007 to 2015 as per the MSMED ACT, 2006. It was replaced vide notification dated 18.9.2015, hence discouraged by the government. Before 18.9.2015, entrepreneurs opted for a heterogeneous system, some used National portal and some states had their own portal for MSME registration whereas few of them were relying on manual paper-work.
What is UAM?
The UAM is a single-page and single window registration system, working through a portal //http.udyogaadhar.gov.in// for new MSME registrations which subsumed all other existing online forums. It is based on self-declaration format, thereby eliminating the need for any other documents. It is important to note that competent authorities can call applicants for production of their documents in future for verification purposes.
How to register online?
Step1: VISIT THE WEBSITE
The portal contains the single page document to be filled. Click on the following link and the new portal will address your need on the first appearing page itself.
Step2: PERSONAL INFORMATION OF THE ENTREPRENEUR
The Entrepreneur’s name and 12-digit Aadhaar number will be sought in the initial particulars. Tally the name from the UIDAI card before filling it. To proceed further, the applicant needs to “VALIDATE AADHAAR” or can “RESET” information filled.
Then, choose the social category from among the options displayed i.e. General/SC/ST/OBC, to which the applicant belongs.
NOTE: The Udyog Aadhaar registration is an online portal for individuals who possess Aadhaar card. In exceptional cases, those who don’t have the card can file for UAM (offline) with the General Manager (GM) of the concerned District Industries Centre (DIC) as notified in the gazette. In the coming time, the GOI will further address the concern for those who don’t have Aadhaar card.
Step 3: ABOUT ENTERPRISE
Next, the applicant is required to fill the enterprise name recognized by their customers/public or as legal entity to conduct business. A separate Udyog Aadhaar has to be filled if the applicant owns more than one enterprise. He/She may fill it as Enterprise 1 and Enterprise 2 and so on.
Further, the “TYPE OF THE ORGANISATION” is to be selected from the drop-down list. The enterprise should have the authorization of the legal entity to fill the online form. Every enterprise will have one UAN (Udyog Aadhaar Number).
Step 4: CORRESPONDENCE DETAILS
Further, the applicant should fill in the complete postal address of the enterprise including information about State, District, Pin Code, Mobile number and email.
Step 5: CARRY FORWARD INFORMATION
The date on which the established enterprise started its operations should be chosen from the calendar. Any enterprise which is registered previously through EM1, EM2, SSI and UAM registration number, information about the same is ought to be mentioned.
Step 6: BANK DETAILS
The applicant is required to mention the bank account number of the enterprise along with its IFSC code of the concerned branch where the account is active. If the applicant is not aware of the code, the same can be obtained from the concerned bank’s website.
Step 7: CLASSIFICATION OF THE ENTERPRISE
The mainline activity of the enterprise from among “manufacturing” or “services” is to be chosen by the applicant. In case the activities are combination of both the options then, chose the category for which the majority portion of the operations is being run. For example: if 70% of total are of manufacturing operations and 30% are service operations, then, one may chose “manufacturing” as an option.
National Industry Classification Code (NIC Code)-2008 is prepared by the Central Statistical Organisation (CSO) under the Ministry of Statistics and Program implementation, Government of India and the same is to be filled in the appropriate place. More than one code can be chosen by clicking manufacturing/service radio buttons and thereby selecting “add more” button.
NOTE: The NIC is only available in English but the government will soon provide Hindi version as well.
Step 8: INVESTMENT
In the last few particulars the applicant are required to fill in the total workmen employed and total investment made in the enterprise (in lakhs).
Finally, choose the District Industry Centre from the drop-down list and thereafter, accept the declaration and submit the application to finish the process. An acknowledgement number will be generated at last.
The system seems rejuvenated; it seeks less information from the applicant than in the EMI/II process. The information cannot be edited by the GM (DIC), only the information provided by the applicant is considered by the authorities. Further, the cyber protection is well taken care of by adopting password protected access to data of the competent authority’s jurisdiction. The new system doesn’t require the enterprises to update and dissolving enterprises are not obligated to inform anything in the UAM portal. The classification is simply on the basis of the investment in plant and machinery and the upcoming enterprises are not required to provide information in specific, regarding each and every product of the business, and thereby aiming to relax the business environment and increase the competitiveness. At last the Government requires the DIC to write a welcome letter to each entrepreneur for a successful filing of UAM registration, in order to appreciate and encourage the new registration system. The process of registration brings the MSMEs on the common interface for government’s regulation and control. This is the platform where MSMEs become the recipient of the exclusive government schemes such as NEEDS, UYEGP, PMEGP, SWS, etc. and increase their growth prospects. With the ease of registration, let’s make business easy in India by knotting us through common interface.