In today’s world, technology has significantly impacted the way we conduct our businesses. With the emergence of new technologies, businesses have been able to automate various processes, resulting in faster turnaround times, reduced errors, and more streamlined workflows. The Indian government has also been actively promoting technology adoption in businesses, particularly in the Micro, Small, and Medium Enterprises (MSME) sector. To facilitate this, the Ministry of MSME introduced the Udyam Aadhaar registration, which replaced the earlier Udyog Aadhaar registration.
What is Udyam Verification?
The Udyam Aadhaar registration is an online process that seeks to simplify the registration process for MSMEs.
However, with the ease of registration comes the potential for fraudulent entities to enter the MSME sector. To address this issue, udyam registration verification enables businesses to verify the legitimacy of MSME merchants operating in the manufacturing or service sectors, on their platform. In this blog, we will explore the features and benefits of the udyam certificate verification and how it can help businesses onboard legitimate MSME merchants and prevent fraudulent entities from entering the MSME sector.
What is Udyam Aadhaar Verification API?
Udyam online verification enables businesses to verify the authenticity of the MSME merchants on their platform. The API validates the legitimacy of the MSME merchant by verifying udyam. by checking the validity of the Udyam Aadhaar Memorandum provided by the merchant. The API delivers a variety of information, including the merchant’s name, registered business address, activity, Udyam Aadhaar number validity duration, kind of merchant (micro, small, or medium), and social category. Businesses may detect and reduce the risk of the merchant with the aid of this information.
How Does Udyam Aadhaar Verification API Work?
When an Udyam Aadhaar number is entered, the Udyam verification online offers a variety of data points that assist detect and reduce the risk posed by the business. Businesses can make it possible for clients or associates to submit their Udyam Aadhaar Numbers in place of the actual document. The API examines the Udyam Aadhaar Memorandum for validity and validates all the information about the company linked to the Udyam Aadhaar number. The API retrieves MSME business information from the Udyam Verification portal, which contains verified information about the business such as its name, type, major activity, registered address, plant details, registration date, mobile number, email address, and NIC codes.
Where Can You Use Udyam Aadhaar Verification API?
The Udyam Aadhaar Verification API can be used in multiple scenarios such as MSME lending and merchant onboarding. The Udyam Aadhaar verification API assists lending businesses in comfortably lending to MSME merchants/entities by validating the entity’s validity, hence minimising the risk of financing to these organisations. The Udyam Aadhaar verification API lets e-commerce or aggregator firms safely integrate MSME merchants or entities on their platform by providing them with confidence that the merchant is not a fake entity. The API may also be utilised to pre-fill validated company data connected with the Udyam Aadhaar Number, saving time on human reviews and speeding up client journeys.
Benefits of Udyam Aadhaar Verification API
Tackle Fraud at the Source
The Udyam Aadhaar Verification API enables businesses to eliminate fraudulent merchants at the start of the onboarding process. By verifying the legitimacy of the MSME merchant, businesses can prevent fraudulent entities from entering the MSME sector.
Another advantage of using Udyam Aadhaar Verification API is that it automates workflows. The API can auto-approve verified merchants through automation, which minimizes the time spent on manual reviews.
The API can help businesses minimize the time spent in manual reviews and expedite customer journeys. By pre-filling verified business details associated with the Udyam Aadhaar number, businesses can onboard MSME-compliant businesses to their platform with ease.
Plug and play
The Udyam Aadhaar Verification API is designed to be easy to integrate into any platform, making it a plug-and-play solution for businesses looking to enhance their onboarding processes.
The API is an essential tool for businesses to detect fraudulent Udyam Certificate holders, thus saving them from potential fraud losses.
Comprehensive process handling
The Udyam Aadhaar Verification API streamlines all processes, ensuring confident outputs derived from numerous checks. This makes it an efficient tool for businesses to onboard genuine merchants and entities quickly.
Prevent human errors
Manual form-filling can often lead to errors, which can have severe implications for businesses. By using the Udyam Aadhaar Verification API, businesses can minimize time spent in manual form-filling and eliminate errors caused by manual entry of data.
Manual entry and error-fixing can be costly for businesses. By using the Udyam Aadhaar Verification API, businesses can reduce back-end operations costs and improve efficiency.