Ease of Doing Business for MSMEs: The licenses of MSMEs registered on Entrepreneurs Memorandum-II (EM-II) and/or Udyog Aadhaar Memorandum (UAM) will not stand cancelled.
Ease of Doing Business for MSMEs: The licenses of industrial units registered on Entrepreneurs Memorandum-II (EM-II) and/or Udyog Aadhaar Memorandum (UAM) will not stand cancelled. Like the MSME (Micro, Small and Medium Scale Industries) category, they will be able to continue their business as before and they will be able to get government benefits. According to government officials, the validity of these two MSME licenses (EM-II and UAM) was extended till December 31, 2021, and they were launched on the new enterprise portal (Udyam) to avail priority sector lending and other benefits given to the MSME sector by the government. Portal) was asked to switch. However, now information has been received from the sources that the exact timeline regarding the expiry of these two registrations is yet to be announced. Let us tell you that to take advantage under the category of MSME, registration has to be done on the new portal.
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Lakhs of MSMEs have not yet switched to the new portal
Before the introduction of the MSME Development Act, 2006, small industrial units had to register with District Industries Centers (DICs). After the introduction of the new Act, these units had to file EM-I with the DIC before starting the MSME and when the production started, they had to file EM-II. There were 21,96,902 EM-II filings between 20074-2015 while 1,02,32,451 (1.02 crore) UAM registrations were done from September 2015 to June 30, 2020, according to the 2020-21 Annual Report of the Ministry of MSME. Udyam Portal was launched in July 2021 with the aim of expediting the MSME registration process and the government issued notification for EM-II and UAM MSMEs to register on the new portal by December 2021. However, till the last day of last year i.e. 31st December, lakhs of MSMEe have not switched to the new enterprise portal.
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MSMEs get these benefits from the government
According to the new portal, 64,56,144 registrations were done till December 4, out of which 61,06,571 were micro units, 3,15,416 small units and 34,157 medium entities. Although it is not necessary for micro and small enterprises to obtain enterprise registration, that is, it is an advisory for them to switch to a new portal to take advantage of government schemes, but registration is mandatory for medium enterprises. The benefits available to registered MSMEs by the government include freedom from renewing registration, allowing multiple activities like manufacturing or services on one registration, simultaneous presence on government e-marketplace (GeM) and TReDS platform, credit guarantee scheme and Benefits of Public Procurement Policy etc. are included.
(Article: Sandeep Soni)
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