Transition Process for Already Existing Businesses: How to Migrate in

Introduction:

The leap of migration of Indian MSMEs into Udyam registration is a huge leap regarding the process ease while providing a bouquet of advantages such as ease of credit accessibility, tax exemption, etc. It will be one of the best compliance tips for such businesses which have been already running so far but would want to shift into Udyam Registration later. It will elaborate more on the benefits that businesses will enjoy through Udyam Registration and guide them hand-in-hand with an easy step-by-step process of transition. It is apt for small business owners, entrepreneurs, and start-ups.

Why Transition into Udyam Registration?

This process is very much in need because of the reasons given below:

• Compliance with New Rules: Udyam Registration follows the definitions of new MSMEs regarding investment and turnover. This makes it such that businesses operate according to up-to-date compliance requirements.

Benefits Access: Business organizations registered under Udyam have access to many schemes. They implement some of the schemes, among which is the subsidy by the government wing and low-interest loans besides priority sector lending.

Ease in Loan Sanctions: Udyam Registration epitomizes ease to loans through the credibility that verification by a government portal grants for banks and other monetary setups.

Government tenders and procurement opportunities: This is a new source of growth opportunities in businesses because it is only available to the registered Udyam enterprises

Why Transitioning to Udyam Registration will guarantee further compliance with deriving full benefits under numerous government schemes

How to Switch Over from Udyog Aadhaar to Udyam Registration?

Here is the stepwise process under :

1. Accessing the Udyam Registration Portal.

2. To migrate businesses that need migration from UAM to Udyam Registration, you click the ‘For those having registration as UAM’ button.

3. Enter your Udyog Aadhaar number that would have been generated so long back through your UAM.

4. Authentication through OTP – Use OTP that has been generated which has been sent to the registered mobile number for OTP.

5. Business Information-Enter all the business-related details including PAN, Aadhar, etc.

6. Registration Application: All the information is correctly filled and is required to be furnished. At the time of registration, you are issued a Udyam Registration Number (URN)

Your business would, therefore migrate officially into the Udyam system. So ensure that all the information which you fill in will have no inconsistencies when checked.

From UAM to Udyam Registration Tips and Compliance.

Be very careful in the transition from UAM to Udyam Registration. These are the compliance tips below:

• Update Business Information: PAN and UID numbers with all other business details must be updated and then matched in your records.

• Classification Check: Udyam Registration classifies the business under the investment into plant & machinery or equipment and the annual turnover. Kindly check whether the classification is correct according to the adopted definition under the new MSME.

• All documents need to be submitted digitally and uploaded for the process- PAN, Aadhaar and business registration certificate

• Tracking Application Status: one will have to follow the status of the application on the portal after a Udyam

• Seek Guidance when Needed: If this process of transition looks too complicated seek guidance from a business consultant or lawyer who knows the nitty-gritty of the MSME policy.

Considering this advice, your transition to Udyam Registration will be as smooth and seamless as it should be to clear all the stringent government requirements.

Benefits Your Business Derives through Udyam Registration:

Under the Udyam scheme, this process of getting your business registered opens a wide series of advantages provided by the government, making this an ideal move you can undertake for your MSME.

Government Schemes and Subsidies: All central and state government schemes for the development of a business with interest subsidization, subsidization on capital invested, and protection against delayed payment.

Easy Loans: Government registration gives that added credibility as well as the banks or the NBFC become ready to lend to these enterprises. These businesses can take loans without much trouble, as the conditions will be lenient with very low interest rates.

Tax Benefits: State-specific tax benefits to the Udyam registered businesses. At times, they also get 100% direct tax exemption

• Marketing and Trade Facilitation: Smt. easy access to government-provided international trade fairs business exhibitions, and training programs would increase their market.

• Late Payment Security: With the Udyam registration one gets the benefit of the MSME Samadhaan scheme to solve delayed payment cases arising out of customers.

Hence, with the ease of migration to Udyam Registration, such businesses will be facilitated above to take their growth further while having an edge in the business world

Conclusion:

MSMEs existing in India have to be migrated from the erstwhile registration system known as Udyog Aadhaar. The new registration provides for more compliance and easier access to government schemes, besides several monetary opportunities for businesses. As compliance will allow the firms to evolve seamlessly in the Udyam system and become even stronger, business owners, startuppers, and entrepreneurs will obtain the ability to get dominance over various growth opportunities through which they expand their hold in the market. And this is the moment to step ahead for your business to move ahead and become competitive and complaint.