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How To Register for A Udyog Aadhaar (SSI/ MSME) Registration

Data verification

A thorough check of all the files submitted

Step 1

Expert Connect

A dedicated affiliate who processes the SSI online application

Step 2

Receipt of License

The certificate will be issued within 15 days of application

Step 3

An Overview

Udyog Aadhaar (SSI/ MSME) Registration

What is the difference between SSI and MSME registration?

Small-scale factories are critical to India’s socioeconomic growth. The MSMED Act was established by the government of the country to support and facilitate these small-scale industries. The Act was enacted to keep track of all businesses classified as MSME or SSI. The track record helped in the provision of assistance and benefits to these businesses. In addition, SSI aided in the jobs of citizens with low capital contributions. Any of these organisations must have an MSME registration card, which must be registered with the MSME department of the Central Government under the MSME Development Act of 2006.

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Benefits

If you want to take advantage of the MSMED Act of 2006’s advantages in the banking industry, you’ll need to register as an MSME.

When you enrol your company with Udyog Aadhaar, you can take advantage of a variety of state and federal government programmes. Furthermore, MSME registration is required in order to benefit from the MSMED Act 2006 in the banking sector.

Avoid requesting security deposits.

Electricity bills can be reduced.

Increased likelihood of securing government contracts

Reduced fees for registering patents and trademark registration in order to obtain immunity under intellectual property rights.

Bank loans are easy and inexpensive.

advantages in making a reservation

Stamp duty and re-examination

Partnership Firm

Documents Required

  • Business address proof
  • Copies of sale bill and purchase bill.
  • Partnership Deed/ MoA and AoA.
  • Copy of licenses and bills of machinery purchased.

For firms that are listed in Schedule -III of the Industrial Licensing Exemption Notification, no Industrial license is needed. Every other enterprise must obtain it for the PRC (Provisional Registration Certificate) application.

For the registration and document process, all statutory and administrative clearances need to be obtained such an NoC from pollution board to prove that no restrictions are being violated.

Opening of the Current Account

  • Current account or Demand Deposit Account is used by businesses for a higher number of transactions, including deposits, withdrawals, and contra transactions. It helps in the smooth functioning of a business.

Frequently Asked Questions

What is the duration of a Provisional Registration Certificate (PRC)? What considerations are excluded from the definition of investment?

If the unit is not yet operational or if the unit exceeds the investment limits set by the MSMED Act, the PRC may expire after five years. You will reapply if the unit is not yet operational or if the unit exceeds the investment limits set by the MSMED Act. You should apply for a Permanent License until the business is up and running. A combined plant and machinery cost of up to Rs. 25 crore for production units and Rs. 10 crore for service units is needed for registration. The valuation of property and buildings would not be included in the gross expenditure when estimating this figure. The initial cost of the equipment, factory, and machinery is therefore taken into consideration. Depreciation cannot be taken into account.

How will SSI/MSME assist me in obtaining a bank loan?

MSMEs/SSIs are recognised by all financial institutions, including the major banks, which have devised special schemes for them. Priority business lending is reserved for MSMEs and SSIs. This greatly raises the chances of being approved for a loan. MSMEs may also get loans from major Indian banks at lower interest rates. You should also demand preferential care in the event of a potential payment delay.

What are the services provided by the state and federal governments?

Most states provide subsidies on electricity, royalties, and access to state-run industrial estates to units registered under the MSMED Act. Many states, in particular, have sales tax exemptions and purchasing preferences on products made. In the early years of operation, the federal and state governments offer essential incentives to MSME. To list a handful, there are excise tax exemptions and exemptions from such direct taxes.

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