PM Modi Ji promises â‚¹ 1 Crore Loan to MSMEs within 59 minutes
It can never be negated that the upliftment and overall development of the small businesses in India have been the key drive behind Startup India initiative of our government.
In a bid to the grant the Indian Micro, Small and Medium Enterprises easy accessibility to loans and to boost their overall development, the Honorable Prime Minister of India Sh. Narendra Modi has given a great Diwali Gift to all the MSMEs.
PM Sh. Narendra Modi has announced the launch of the MSME Support and Outreach Programme (SOP), wherein the MSMEs will now be able to avail easy loan up to â‚¹ 1 crores within one hour.
#1. What is the MSME Support and Outreach Programme?
The MSME Support and Outreach Programme (SOP) is an initiative of Indian Government for granting MSMEs easy access to credit and financial assistance.
- Under this scheme, all the MSMEs having an MSME registration certificate will now be able to avail the easy loans up to â‚¹ 1 crores within 59 minutes.
- In this regard, Modi Ji has said a link to this portal will be made available through the GST portal. This will be done so as to enable easy access to credit for all MSMEs.
- He has further said that loans up to â‚¹ 1 crore will be granted in-principle approval via this newly launched portal, in just 59 minutes.
- Through this scheme, the Prime Minister has clearly asserted his viewpoint of a New India, where no one should be compelled to visit a bank branch again and again.
#2. How will this scheme benefit the MSMEs having GST registration?
The Prime Minister has made a second announcement, according to which all those MSMEs that have a GST registration will be granted a 2% subsidy in the interest rate on all fresh or incremental loans. This will surely boost tax compliance among the MSMEs and will enhance their ease of doing business.
#3. How will the MSME-SOP scheme benefit the exporters?
- The Honorable Prime Minister has given a huge relief to all the exporters who avail loans during the pre-shipment and post-shipment period.
- PM Modi Ji has announced a steep rise in the rebate in the interest rate for the exporters having a GST registration and a unique Import Export Code from 3% to 5%.
#4. How will the MSME-SOP scheme benefit the large-scale entities?
The Prime Minister has made the 3rd announcement for all large-scale companies. All those companies with a turnover exceeding â‚¹500 crore will now be brought under the Trade Receivables e-Discounting System (TReDS). On becoming a member of this portal will enable the large-scale entities to access easy credit from the banks and financial institutions, based on their trade receivables. This will solve their problem of the cash crunch.
#5. What are the documents needed to avail loan under MSME-SOP programme?
An MSME must have the following documents if they want to avail the loan up to â‚¹ 1 crore.
- MSME registration certificate.
- GST Identification Number, i.e. GST registration.
- Income tax returns in XML format for the past 3 years
- Bank statement of past six months in pdf format
- Director/Owners details: Basic, personal, educational & ownership details and net-worth.
Upon submission of the aforesaid documents, we can help the MSME avail loan under the MSME-SOP Programme.
- The loan shall be approved for shall be done within 1 day.
- Loan shall be disbursed in 7 days.
If you need any further assistance related to the process of getting a loan under MSME-SOP Programme, or you need any help regarding MSME registration, GST registration procedure or Import Export Code registration, feel free to contact our business advisor at 8881-069-069.
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