The Ministry of Micro, Small and Medium Enterprises (MSME) has extended the validity of Entrepreneurs Memorandum (EM) Part-II and Udyog Aadhaar Memorandums (UAMs) from March 31 to December 31, 2021.
- The aim is facilitate the holders of EM Part-II and UAMs to avail benefits of the provisions under various existing schemes and incentives including Priority Sector Lending benefits of MSME.
- Considering the hardships faced by MSMEs during the prevailing Covid-19 situation and the representations received from the various MSME associations, financial institutions and Government departments dealing with the interest of MSME Sector, the said amendment has been carried out,” said the official statement.
- It is expected that existing EM Part-II and UAM holders would be able to migrate to the new system of Udyam Registration, which was launched on July 1, 2020, and would avail the benefits of Government Schemes, thereby paving the way for strengthening MSMEs and leading to their faster recovery, boost to their economic activity and creation of jobs, it added.
- Interested enterprises can register free of cost and without any documents. Only PAN and Aadhaar are required for registration on the Udyam portal. So far, this portal has facilitated registration and classification of 33,16,210 enterprises as on June 16, 2021.
- For simplification of process for registration of Micro, Small and Medium Enterprises now only PAN and Aadhaar will be required for registration of MSMEs.
About – Udyog Aadhaar Memorandum
A large chunk of enterprises in India are mostly not registered owing to the lengthy paperwork involved in the process and therefore are unable to tap the benefits offered by the government schemes for them.
Udyog Aadhaar Memorandum (UAM) is a one- page registration form for the Micro, Small and Medium Enterprises to get registered under MSME. Udyog Aadhaar registration is replacement of the previous system where lots of documents and details were needed. It constitutes a self-declaration format under which the MSME will self-certify its existence and other minimum information required.
The salient features of UAM are
- Single Page Online Registration-Mobile friendly
- No documentation required
- No fees for Udyog Aadhaar
The Udyog Aadhaar Portal has been set up by the Ministry of micro, small and medium enterprises for online filing of UAM by the enterprises located anywhere in the country. The Udyog Aadhaar portal is also accessible on mobile devices. Udyog Aadhaar registration has enabled the units/enterprises to seek information and apply online abourt various services being offered by all Ministries and Departments simply by using the Udyog Aadhaar Number.
The new system of Udyog Aadhaar offers a single system of registration. The system is capable of delivering assured ease of doing business since 92% of the country’s adult population is already registered under AADHAAR. This initiative of maintaining the data on MSMEs with the Ministry of MSME is likely to save cost in the long run since States/UTs would no longer be required to maintain the same.