Difference Between EM – 1 & 2 and Udyog Aadhar

Udyog Aadhar

Entrepreneur’s Memorandum

After the presentation of MSME Development Act in the year 2006. A streamlined type of Registration was presented.This Form for Registering your Prospective or Existing Enterprises is known as Entrepreneur’s Memorandum. The Form comes in two section. Part I to be filled by Prospective Entrepreneur, Part II to be filled in by Existing Enterprises.Resulting to the execution of Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 with impact from October 2006, documenting of  Entrepreneurs Memorandum Part I and II came into vogue for proposed and existing ventures individually.As per the arrangements of the said Act, the filing of EM-I was discretionary in nature. Be that as it may, MSMEs file EM-II at District Industries Centers (DICs) in respective States/UTs, after the beginning of the task.

What is Udyog Aadhar?

Udyog Aadhaar Registration is the new framework that supplanted the before the arrangement of SSI enrollment and EM-I/II. The gazette notification dated 18.09.2015 conveyed a conclusion to the inheritance of Registration of SSI and Entrepreneur Memorandum (EM-I/II) as all other on the web/disconnected frameworks of enrollment of MSMEs made and kept up by Central/State/UT Governments stop to Register new MSMEs forthwith.

The way toward documenting Udyog Aadhaar Memorandum (UAM) is a straightforward one-page design contrasted with the unwieldy procedure of prior enlistment framework. The people, who have Aadhaar number (having the upside of as of now gave the statistic and additionally biometric subtle elements to the state), would themselves be able to document the Udyog Aadhaar Registration at UAM portal.The following points of interest are required :

Name of the owner

Social category (Gen/SC/ST/OBC),

Name of the enterprise

Type of organization ( Proprietor/Partnership/ HUF, Co-op, Public Ltd./Private Ltd, SHG, LLP etc.),

Postal Address

Date of commencement of business,

Previous registration detail such as detail of MSME registration (if applicable),

Bank details (Account No. and IFSC No.)

Major Activity (Manufacturing/ service),

NIC code (available with National Industrial Classification (NIC) handbook) of the activity,

Persons employed

Investment in plant and machinery equipment (No need to indicate the cost of land and buildings) in the business,

DIC details (details of nearest District Industries Centre to the business if required).

All the above data looked for is on self-certification basis and no supporting documents are required at the time of web-based documenting of UAM. Be that as it may, regarding newspaper notification dated 18-09-15, in every outstanding case, including those of not having Aadhaar number, can in any case document Udyog Aadhaar Memorandum, in disconnected mode(i.e. on the paper frame), with the General Manager(GM) of the concerned District Industries Centre(DIC). It intends to do enlistment there are two alternatives accessible to a candidate. Even you can apply on the private platforms like myonlineca which simplified udyog aadhar without linking mobile number to aadhar card.

There are no procedure charges for enrollment of UAM. Another favorable position of UAM is that the candidate does not require following up the enrollment procedure after internet recording as the UAN (12 digit Udyog Aadhaar No.), is in a flash created. In spite of the fact that, UAN is created quickly based on self-accreditation, the endeavors recording the UAM online are at risk to give narrative verification of data gave in the UAM, wherever important, to the Central Government, State Government or such individual as might be approved. At the show, the current holders of Small Scale Industry enlistment, require not document Udyog Aadhaar Memorandum, but rather in the event that they so want, they may likewise record the Udyog Aadhaar Memorandum. There is no limitation on documenting in excess of one Udyog Aadhaar Memorandum utilizing the same Aadhaar Number.

Benefits of Udyog Aadhaar

The possibility of Udyog Aadhaar and improved enrollment process have guaranteed more extensive scope of MSMEs to profit the advantages under different Schemes of Central/State governments in particular appropriations, low rate of interest loans, personal guarantee free  and security free loans (under CGTMSE ensure conspire), monetary help to take a part in foreign  expo and so forth.

So hope this guide is really helpful and know the difference between old MSME Format of EM-1 & EM-2 and Udyog Aadhar Registration.


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