Overview
When registering for Udyam Aadhaar, you’ll be asked to enter some basic details about your business. This includes your PAN card, legal business name, and plant location and NIC codes. To prevent any errors during verification, ensure each field is completed correctly, as the application checks against tax systems online.
7 Things to Check About Your Business When Applying for Udyam Aadhaar
Whether starting or growing your small agricultural business, workshop, or trading shop, there are many things to consider. Formalizing your business can help micro and small businesses gain access to credit, subsidies, and tenders offered by banks. Many people fill out the online Udyam application quickly without checking their information.
Checking the following items will help you avoid any mismatch errors and save you time while you are doing Udyam Aadhaar Registration.
1. Legal Name
Ensure the name of your business matches that in your permanent tax records. If you run a proprietorship business, then your business name may match your personal identity credentials.
To prevent mismatch errors, ensure that your trade name matches those listed on your tax documents. Always double-check that the name is spelled correctly, has the correct spacing, and has any legal suffixes.
2. Match Details with Aadhaar & PAN
Correct identity details are an important part of the digital verification of Udyam registration. Those filling in the details (proprietor, managing partner, or head of organization) should match their identity.
If your phone number doesn’t match those listed in your identity database, then you’ll be unable to receive the verification code. Ensure you update your details before applying.
3. Investment & Turnover
Your business will be classified according to how much you have invested in your plant and machinery/equipment and your turnover.
- Micro businesses can have up to INR 2.5 crore invested and a turnover of up to INR 10 crore.Â
- Small businesses can have up to INR 25 crore invested and a turnover of up to INR 100 crore.Â
- Medium businesses can have up to INR 125 crore invested and a turnover of up to INR 500 crore.Â
Ensure you know how much you have invested and what your turnover is to place your business in the correct category.
4. NIC Code
The NIC code will tell you what industry your business falls under. Whether you’re involved in crop processing, dairy, retail, or advisory services, ensure you select the correct code.
Choosing a general or incorrect code may cause issues when identifying what your main business is. Make sure to look through the list of activities to ensure you select the correct NIC code.
Suggested Read: Update Udyam Registration: 8 Common Mistakes and How to Fix Them
5. Principal Office & Plant Locations
Ensure each location of your business (units, warehouses, or factories) has the correct addresses. If you’re providing your principal office address, ensure it’s correct so that your local industrial board and banks can confirm your location.
If your manufacturing plant is located in a different district from your billing office, then ensure both locations are recorded correctly using the multi-unit option.
6. Goods and Services Tax
Many small businesses will wonder whether they need to include tax numbers. However, if your business falls under the goods and services tax rules, then you’ll need to include them. Some small businesses don’t fall under tax rules, but if you’re registered, then you’ll need to include them.
By linking your active tax details, the system can instantly confirm your business is active. Ensure your certificates are correct by checking that all characters match those on your active tax portal.
7. Bank Account Details
Adding your bank details (active account number & branch IFSC code) will link your business profile to direct benefit payments.
Entering incorrect details may cause issues when disbursing subsidies or loans. Double-check your passbook before entering your banking details.
Conclusion
Ensuring all the details entered are correct when applying for Udyam Aadhaar will help protect your business. By confirming your legal identity, investment amounts, NIC codes, and location, you’ll have a strong base to grow your business.
Frequently Asked Questions
Can I change my business details after completing Udyam Registration?
Yes, you can log in using your identity details and update your mobile number, bank account, or address details from the modification section.
What if my investment amount is higher than micro?
The system will automatically place your business in the small or medium category depending on your total investment and turnover amount.
Do I need to register multiple manufacturing units?
No, you can add multiple plant/unit locations using the additional unit option.
If you want to download the Udyam Registration Certificate with someone’s help, then visit the Udyog Register website and click on the Print Udyam Certificate option to download the MSME certificate PDF.
