Let’s start with the basic definition of Udyog Aadhaar:
As we already know about the contribution of small and medium businesses (MSME industry) towards India. These companies play a significant role in increasing the GDP & boosting the Indian economy Today, several schemes are run by the government for small starters & entrepreneurs.
The basic intention is to promote small scale companies and expedite its financial progress to avoid shutdown or loss-making units. A scheme like Mudra Loan is quite popular & used by a large number of new entrants.
At times, the neediest business does not get the loan, rather the financially stables ones get it. This happens usually due to increasing competitiveness and the inability to identify the eligible beneficiary due to too many applications. So, to avoid this complexity, the government introduced Udyog Aadhaar for all registered small and medium industries. The scheme is called “Aadhaar Udyog Yojana”.
Every businessman either from small or medium scale enterprises can take advantage of different government schemes and government loan schemes after being registered. This is surely a positive step for the Entrepreneurs initiated by the government.
3 Top Advantages of Udyog Aadhaar
- Easy Borrowing- Entrepreneurs can take easy bank loan upto 1 Cr without collateral/ mortgage
- Special Treatment- Preferential treatment is extended procuring government tenders
- Low-Interest Rates- 1% exemption on the interest rate on Bank Over Draft (OD)
Other important advantages of Udyog Aadhaar are as follows:
- Special rebates in Electricity Bills
- Careful protection against the delay in incoming payment from Buyers
- Several other Tax Rebates
- Special 50% off on Trademark and Patent fees offered by Government
- Fast Resolution of Disputes
Once the small and medium-sized enterprises are registered, they are entitled to receive the benefits of all government schemes such as a quick loan, guarantee free loans, borrowings with subsidized rates of interest and whatnot.
- The entrepreneur will receive sufficient financial support for participating in foreign exhibitions to showcase their products.
- The small business will also become eligible for government subsidies.
- A successful registration would enable the quick opening of current bank accounts in the name of the business set-up.
- It will permit businesses to apply for government-aided micro business loans and other beneficial schemes.
With over 2 lakh registered businesses in the small & medium industries category, the industry is moving towards a swirl up!
