Loan under Stand Up India Scheme
Stand-Up India Scheme facilitates bank loans between Rs.10 Lakh to Rs. 1 Crore to following persons: -
- Scheduled Caste (SC) or
- Scheduled tribes (ST) or
- Women entrepreneur
This enterprise can be from any kind of sectors like manufacturing sector, services sector or trading sector or E-commerce.
In case of non-individual enterprises like a private limited company, LLP, partnership firm, OPC at least 51% of the shareholding and controlling stake should be held by either an SC/ST or woman entrepreneur to avail Stand-Up India Scheme.
The core objective of Standup India scheme is to provide financial assistance for starting small-scale businesses.
Mechanism for Availing loan under Stand-Up Scheme
-Applicant must be SC/ST/Any Women entrepreneur
-Above 18 years of the age
-In case of Company/LLP/OPC/Partnership Firm, SC or ST or any Women entrepreneur must hold 51% or more shareholding.
-Borrower should not be in default of any bank/financial institution
Loan shall be a composite loan for the purchase of assets & for working capital as well.
Tenure of Loan
Maximum loan shall be granted for 7 years with maximum moratorium* period of 18 months
*Moratorium period means on which no EMI is payable.
Amount of Loan
Loan can be sanction for Rs 10 lacs to Rs 1 Crore
How to apply for a loan?
- Approach directly to any branch of scheduled commercial banks
- Apply through SIDBI’s Standup India Portal
- Apply through Lead District Manager
Whether Collateral required or not?
Banks may ask for collateral as per their norms. Further, in absence of no collateral, you may apply for credit guarantee.
The scheme of credit guarantee for Stand-Up Loans has been notified visit site www.ncgtc.in
What documents required while applying for a loan?
- Proof of Identity
- Proof of Residence
- Proof of business address
- In case of Company/OPC/LLP/Partnership Firm – Incorporation Proof
- Assets & Liabilities statement of promoters along with ITR for last 3 years
- Clearance from pollution control board, if applicable
- SSI/MSME Registration, if applicable
- Photocopies of lease deeds/ title deeds of all the properties being offered as primary and collateral securities
- Documents to establish whether the applicant belongs to SC/ST Category, wherever applicable
- Detailed Project Report for prospective business containing
- Profile of the promoters including past experience, qualification, education, etc
- Last three years balance sheets of the Associate / Group Companies (if any).
- Project report (for the proposed project if term funding is required) containing details of the machinery to be acquired, from whom to be acquired, price, names of suppliers, financial details like capacity of machines, capacity of utilization assumed, production, sales, projected profit and loss and balance sheets for the tenor of the loan, the details of labour, staff to be hired, basis of assumption of such financial details etc.
- Manufacturing process if applicable, the major profile of executives in the company, any tie-ups, details about raw material used and their suppliers, details about the buyers, details about major-competitors and the company’s strength and weaknesses as compared to their competitors etc.
Our professionals may help you to prepare project report & compile requisite documents for loan application under Stand-Up India Scheme.
For any assistance feel free to call us @ 011-65442500 or write us @ [email protected]
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