Does registration under Udyog Aadhaar help in getting loans ?

Ease of doing business and simplification in regulatory procedures was an all-time requirement of the business sector, especially for MSMEs. Also, obtaining adequate finance for running their business activities was among their priority issues. Thus, the introduction of Udyog Aadhaar Memorandum was the biggest reform for the industry which helped them raise easy benefits of development and financial schemes of government.

Financial Scheme for MSMEs

If working as Micro, Small and Medium Enterprises the following financial schemes of government can be availed with Udyog Aadhaar:

Finance Schemes for MSMEs Details
Ø  Government Performance and Credit Rating Schemes. Click Here
Ø  Credit Guarantee Trust Fund for Micro & Small Enterprises (CGTMSE) Click Here
Ø  Coir Industry Technology Upgradation Scheme (CITUS) Click Here
Ø  A Scheme for promoting Innovation, Rural Industry & Entrepreneurship (ASPIRE) Click Here
Ø  Lean Manufacturing Competitiveness for MSMEs Click Here
Ø  Entrepreneurial and Managerial Development of SMEs through Incubators Click Here
Ø  Credit facilitation through Banks Click Here
Ø  Marketing Assistance Scheme Click Here
Ø  SIDBI Finance Schemes for MSMEs Click Here
Ø  NSIC Finance Schemes for MSMEs Click Here
Ø  Finance Schemes under PMMY Click Here


How to obtain Udyog Aadhaar?

Udyog Aadhar Memorandum is a single paged MSME business recognition certificate issued by Ministry of Micro, Small and Medium enterprises for ensuring delivery of benefit of schemes introduced by the government for MSMEs.

To obtain Udyog Aadhar online one has to file an application providing details of the business and follow a short procedure stated here.

Obtaining Loan with Udyog Aadhaar

  1. Knowing the requirement: It is necessary to understand the requirement of finance and the objective for which finance is to be obtained. It can be for
  • Acquisition, construction, purchase of land, factory or business premises.
  • Purchase of implements, machinery, furniture, equipment, etc.
  • Meeting working capital needs.
  • Meeting trade finance.
  • The launch of new product range, marketing advertising, warehouse building or any other eligible purpose of a loan.
  1. Checking eligibility for the scheme: The ministry provides certain parameters for registered MSME entities to avail loans with Udyog Aadhaar from institutions and registered banks under respective schemes of government.

To check eligibility for MSME Loan for your business online: Email us at

  1. Applying for loan: Only registered entities as MSMEs can avail loans under specified schemes. Udyog Aadhar is used as an identity proof of business for applying for such loans. Thus, while filling the specific form or application one can use the 12 digit Udyog Aadhaar number to apply for MSME loan online.

Other Benefit of Udyog Aadhaar

To assist in the growth and development of MSME entities, the government introduced Udyog Aadhaar, other than providing financial assistance it can be used for availing the following benefits :

– The exemption under direct tax laws.

– Ease in compliances of filling trademark, patents copyright applications.

– Assistance in export procedures and obtaining technology upgrades from the government.

– Concessions in payment of production necessities, promotion expenditure and electricity bills obtained from the government.

– Obtaining easy subsidies on supplies etc.

Note: It is necessary to obtain Udyog Aadhaar Memorandum to obtain loans under various schemes and offers of government and other institutions.

Apply and quicken your Udyog Aadhaar application with our business compliance expert online.

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