Udyog Aadhaar - Eligibility, registration process and importance

Here is all you need to know about registration and benefits of Udyog Aadhaar.
Business Loan
2 min read
22 September 2023

With over 42.5 million units, and comprising over 95% of the industrial establishments in the country. The small and medium enterprise (SME) sector is the foundation of India’s economic growth. It is responsible for 45% of the total Indian manufacturing output. To facilitate the efforts of this sector, the Ministry of micro, small, and medium enterprises (MSME) India, with the Government of India, launched the Udyog Aadhaar facility.

What is Udyog Aadhaar?

It is an identification system, similar to Aadhaar, but specifically for businesses. As an MSME/ SME, you can enjoy special Udyog Aadhaar benefits through subsidies as its main purpose is to promote the growth of all businesses registered.
Explained below is all you need to know about Udyog Aadhaar registration and its benefits.

Eligibility for Udyog Aadhaar

Business entities that are classified on their investment in plants and machinery (as per the table below) are eligible to apply for an Udyog Aadhaar card.

Enterprise classification

Turnover threshold

Investment threshold


Up to Rs. 5 crore

Up to Rs. 1 crore

Small Enterprise

Between Rs. 5 crore and Rs. 50 crore

Between Rs. 1 crore and Rs. 10 crore

Medium Enterprise

Between Rs. 50 crore and Rs. 100 crore

Between Rs. 10 crore and Rs. 20 crore


Udyog Aadhaar free registration process

Remember, you will need your Aadhaar info to register your business. No Aadhaar? Just head to an Aadhaar enrolment centre and get it done. Once you have it, here are the steps to follow.

  • Log on to the official website
  • Enter your Aadhaar number and name in the fields labelled ‘Aadhaar number’ and ‘name of entrepreneur’.
  • Check the box and then click on ‘Validate and generate OTP’.
  •  Enter the OTP received on the registered mobile
  • Upon successful verification, you will be redirected to a form.
  • Fill in all the appropriate fields like ‘name of enterprise’ and ‘type of organisation’. (Pay careful attention while filling the ‘national industry classification code’ and ‘Major activity’)
  • Upon completion, recheck the data to ensure that there are no errors.
  • Scroll to the bottom and click on ‘Submit’.
  • You will then receive another OTP on your registered mobile number.
  • Enter it accurately and click the final ‘Submit’ button to complete the application.

It is important to know that there are no Udyog Aadhaar fees, and you can print your Udyog Aadhaar certificate only upon successful registration.
As you will notice, the Udyog Aadhaar application process is simple and easy to follow.

UAM (Udyog Aadhaar Memorandum)

Udyog Aadhaar Memorandum (UAM) is a single-page registration form. Under it, as an MSME registration, you can self-certify your entity’s existence, bank details, promoter/ owner’s Aadhaar details and other needed details. There is no fee applicable for filing the Udyog Aadhaar Memorandum. Post form submission, Udyog Aadhaar acknowledgement will be generated and mailed to the email address provided in the UAM, containing a unique Udyog Aadhaar Number (UAN).

The following enterprises are not required to file Udyog Aadhaar Memorandum:

  • That has already filed Entrepreneurship Memorandum-I or Entrepreneurship Memorandum-II or both.
  • Holders of small-scale industry registration.

As there is no limitation on filing multiple UAM using the same Aadhaar number, enterprises can file the same if they desire to.
As the Udyog Aadhaar Memorandum is a self-declaration form, there is not any need to submit supporting documents. However, central or state authorities can request documentation as proof of the information, and so, here are the documents you should have on hand.

Documents required for Udyog Aadhaar new registration

When registering for Aadhaar Udyog, the documents required may include:

  • Personal Aadhaar number
  • Name of owner
  • Category of applicant
  •  Name of business
  • Type of organisation
  • Bank details
  •  Key activity
  •  National industrial classification code
  • Number of persons employed
  • Details of district industry centre (DIC)
  • Date of commencement  

Now that you know more about the formalities of this provision, look at the benefits of MSME Udyog Aadhaar.

Benefits of Udyog Aadhaar

There are a few benefits to registering your business for Udyog Aadhaar. They are as follows.

  • Access to loans without guarantee and at subsidised rates
  • Access to financial support for participating in foreign expos
  • Access to exclusive government subsidies
  • Ability to apply for micro-business loans and other related schemes
  • Easier access to government provisions for businesses

All these benefits are vital to an enterprise as they help you access capital and enjoy government aid. Additionally, you can couple the benefits of Udyog Aadhaar with a lucrative business loan to see even more significant business improvements. Whether you are looking to improve your infrastructure, upgrade machinery or expand your business, the Bajaj Finserv Business Loan is a great option as it offers a sizeable, collateral-free sanction.

You get up to Rs. 50 lakh to fund business expenses at an attractive interest rate and enjoy loan approval in under 48 hours. Further, it is easy to qualify for, and you only require two documents to apply for it. Bajaj Finance also provides you with the Flexi Loan facility, through which you can pay interest-only EMIs all through the tenure and repay the principal at the end. This reduces your monthly instalments by up to 45%, allowing for better cash-flow management and improved overall financial efficiency. Check your pre-approved offer and enjoy the hassle-free application and instant approval on your loan to get started.


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