GOVERNMENT SCHEME FOR BUSINESS STARTUP

Name:- Shinde Pradip Rajendra

Roll no:- 55
Index
● Introduction
● Aim of the Project
● Types Of Government Scheme For Business Start-up
● Government Business Loan Schemes
● MUDRA business loan
● Credit Guarantee Fund Government Business Loan Scheme:
● National Small Industries Corporation Subsidy:
● Credit Link Capital Subsidy Scheme:
● PSB Loans
● Required Document & Eligibility
● Conclusion
Introduction

These start-up schemes have been introduced over a period of time and many of these were
introduced before the launch of Start-up India plan. India’s first five-year plan government started
various schemes for poverty reduction programmer. Because of the government schemes poverty
ratio of India are reduced.

In order to increase in self-employment, Integrated Rural Development Programmer, Janani Surekha

Yojana, Balika Samruthi Yojana, Allowance for presence in the schools for marginalised, SCs and
STs students, Suvarn Jayanti Gram Swayam Rojgar Yojana, Indira Awas Yojana, different types of
scheme are implemented by the Govt.
Aim of the Project

Identify your entrepreneurial traits.

Identify the business opportunities that suits you.
Use the support systems to zero down to your business idea.
Develop comprehensive business plans.
Prepare plans to manage the enterprise effectively.
TYPES OF GOVERNMENT SCHEME FOR BUSINESS STARTUP

 MSME government business loan scheme

 
 MUDRA business loan
 
 Credit guarantee fund government business loan scheme
 
 National Small Industries Corporation Subsidy
 
 Credit Link Capital Subsidy Scheme
 
 PSB Loans etc.
 GOVERNMENT BUSINESS LOAN SCHEMES
 

●The Indian Government launched the MSME business loan scheme as a working capital loan. As an
MSME, you can get a loan sanction of up to Rs.1 crore within just 59 minutes. The best part is you get
this loan at 8% rate of interest, keeping the repayment easy on your pocket. A reservation of 3% is
available for women entrepreneurs, so as to offer a quick sanction to the increasing number of women
helming their own business today.
●When applying for the loan, follow these basic steps:
-Enter your business’s GST Identification Number
-Upload the income tax returns for your business in XML format
-Upload the bank statements of your business account for the last six months in PDF format.

-Enter the director/owner’s details for your business. This will include all details related to personal,
educational, and ownership criteria.
-Submit the application to enjoy an on-principle sanction within 59 minutes!
 MUDRA business loan:

●Established by the current government, Micro Units Development and Refinance Agency (MUDRA) has
envisioned the idea of ‘funding the unfunded’ and put it into action with a funding scheme. Small
business entities and start-ups are given financial support in the form of low-cost credit. MUDRA Loans
are financed through public and private sector banks, co-operative societies, small banks, scheduled
commercial banks, and rural banks.
●Broadly, any MSME operating in the manufacturing, trading and services sector is eligible for
●the MUDRA loans. Your firm can avail funds via the government business loan scheme under three
subheads.
-Sishu Loans up to Rs.50,000
-Kishor Loans up to Rs.5,00,000
-Tarun Loans up to Rs.10,00,000
Credit guarantee fund government business loan scheme:

● CGTMSE has been in action for 18 years now. Since its inception, the
Credit Guarantee Fund Trust for Micro and Small Enterprises has been facilitating collateral-
free loans for MSEs. Any scheduled commercial bank and regional rural bank can become a
part of the scheme by empanelling itself as a lending authority. The agency sanctions loans to
eligible Micro and Small Enterprises basis their credit standing via the lending agencies in
question.
● The scheme provides working capital loans up to Rs.10 lakh and has provisions for bigger
sanctions as well. However, to get approval for an amount exceeding Rs.10 lakh, you will
need to mortgage your business assets and land.
 National Small Industries Corporation Subsidy:

● Established in 1955, NSIC offers MSMEs two kinds of funding benefits: raw material
assistance and marketing assistance. Any business qualifying as a micro and small
enterprise having EM Part-II (Optional)/ Udyog Aadhaar Memorandum (UAM) is eligible to
register for this government business loan scheme under its Single Point Registration
Scheme (SPRS).
● Once you qualify, you can opt for the raw material assistance scheme, where funding for both
indigenous and imported raw material is covered. Under the marketing support, you can avail
funds and use it to enhance your competitiveness and the market value of your offerings. The
NSIC also overlooks the functioning of an MSME and supports it in its endeavour to enrich
production and quality.
 Credit Link Capital Subsidy Scheme:

● This government business loan scheme funds technological upgradations. Under the
varied facets of the scheme, you can access finance to enhance your technology and
equipment. You can use the funds from your sanction to undertake a revamp related
to numerous processes for your business, like supply chain manufacturing,
marketing, and supply chain.
 PSB Loans:

● On Nov 5, 2018, our Prime Minister, unveiled a dedicated digital platform to

enable loans of up to Rs. 5 crore in just 59 minutes. The government launched
this business loan scheme to provide financial assistance to the Micro, Small
and Medium Enterprises (MSMEs) throughout India. Some of the great features
about this facility are:
● Fast access to financial assistance: Usually such loan processes take about 7-
10 working days to complete. However, the loan approval process takes in just
59 minutes
 REQUIRD DOCUMENT & ELIGIBILITY

●Documents Required to Government Loan Schemes:

 
● The documents required for these government
schemes may vary from one scheme to another. a few
common documents:
●
●
●  Passport-sized
Business plan. photographs.
●
●
● Identity,
GST Age, Address
Identification
Details of income and over
number.
tax paid Income
the Proofs.
last 3 to 5 years.
●
●
● Bank statements
Business address of last
proof. 6 months.
●ITR
● List returns
Detailsofof fortype
the lastof
company/partnership loan
company 2 years. that youorwant.
Directors
firm. partners of the
●E-KYC: All the documents that the applicant would use
to apply for E-KYC are needed here, as well.
 .

 Government Business Loans: Eligibility Criteria:

● The factors of eligibility criteria involve the following:

 
● Age of the applicant
● Loan amount
● Type of Business
● Credit Score
● Annual Turnover
● Capital Invested

Government loans are offered to individuals, start-up enterprises, sole

proprietorship, and partnership firms, business owners, SMEs, MSMEs, private
limited companies, large enterprises, etc. The minimum age criterion to apply for a
government business loan is 18 years. For the existing businesses the minimum
business existence to apply for a loan is 2 years. Minimum credit score to be above
650 required by loan schemes to sanction loan.
 .

 Steps to Register with the Loan Schemes: 

● Step 1: Go to the desired bank’s official online portal associated with the scheme 
● Step 2: Register on the portal and log in through the One-Time Password (OTP)
authentication 
● Step 3: Agree to the terms and conditions of the Government loan scheme 
● Step 4: Enter your financial credentials and other information required 
● Step 5: Proceed further and continue with filling the forms and uploading the
required documents
Conclusion :

There are small business grants are awarded to help launch a start up or new
business, with the aim to generate jobs and stimulate the economy. To be successful
in sustainable business practices often requires entrepreneurship and innovation. This
chapter provides an overview of entrepreneurship and innovation as it relates to
sustainable business. The discussion is most relevant to sustainable businesses
focused on offering new products and services in response to societal concerns. The
importance of entrepreneurship and innovation also applies to companies that change
how they produce products and services.
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THANK YOU