The Ministry of MSME (also known as Aadhaar for Business) provides small and medium-sized enterprises that seek to register as MSME with a 12-digit government identity number.

Unlike other business structures, a lone proprietor firm owner does not have formal recognition for his business. Udyam is highly recommended for sole owners who do not have official government recognition since it allows the sole proprietor to get a unique identity and formal registration with the Government of India, proving the existence of his firm.

Other types of businesses generally have formal recognition and can register for Udyam as well as take advantage of the MSME’s other benefits, which are outlined below.

Also Read : Udyam Registration Portal.

There are several benefits to registering your company and acquiring an URN Number.

The following is a list of advantages received from the Ministry of MSME’s many efforts for small business protection, growth, and development. The same advantages are accessible to URN Number holders, and they are quite useful.

The benefits are as follows:

In the case of a payment delay, payment protection is provided.

  • Disputes are handled quickly.
  • No-collateral bank loans
  • You will be given preferential treatment because you are attending an international trade fair.
  • Octroi Advantages
  • The stamp duty and registration costs have been waived.
  • Exemptions from Several Direct Tax Laws
  • Subsidy for barcode registration
  • NSIC Performance and Credit Ratings Subsidy
  • The Government of India provides a counter-guarantee through CGSTI.
  • The interest rates charged by banks have been lowered.
  • The CLCSS plan gives a 15% subsidy for technological improvements.
  • There are several exceptions when submitting for government bids.
  • Electricity bills have been reduced.
  • The fee for obtaining ISO certification is refunded.
  • The interest on OD is exempted by 1%.
  • The permissible loan cap has been raised from Rs. 25 lakh to Rs. 50 lakh for optimum reasons.
  • Increasing the level of guarantee coverage from 75% to 80%
  • MSME/SSI maintains exclusive production rights for certain items.
  • Licenses are easy to get with simplified registration and approvals.
  • Qualify for an IPS subsidy
  • Preference in contracting with the government
  • Excise Exemption Scheme
  • Interest rates levied by banks have been reduced.
  • A 50% subsidy is available for patent registration.

Some of the benefits that an Udyam registration number holder might enjoy are given above. Aside from that, the URN number has the same advantages.

How can you obtain a URN number for your company?

The process of getting a URN number is fairly simple. To register, you do not need to have the paperwork attested by a professional. Furthermore, the government does not levy any registration fees. Fill this udyam registration form for URN. 

This registration is not only less time-consuming, but it is also entirely free. Everyone benefits from URN numbers. This is due to the fact that small-scale companies registered under URN number benefit from a number of government initiatives, such as quick loan approvals, incentives, and more.

Suggested Read : Print Udyam Registration Certificate