New Delhi. Every startup starts with an idea, but to bring this idea to life, it requires efficient leadership and sufficient funds. Startups can get funding through angel investors, friends and family or loans. The government has launched many schemes to support startups in India.
To avail the benefits of these schemes, you have to keep these three things in mind. The first is credit history. Lenders prefer to give loans only to those startups which are capable of repaying the loan. The second is the type of business. Loan may be sanctioned depending on the type of business and the risks associated with it. If your startup is profitable and capable of repaying the loan in future, the lender will be confident in giving the loan. Let us know about these schemes and their eligibility.
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1. Pradhan Mantri Mudra Yojana (PMMY)
Under this scheme, which was started in 2015, loans up to ₹ 10 lakh are given to non-corporate and non-agricultural small and micro enterprises. Loans worth about ₹ 5,32,358 crore were distributed under this scheme in 2023-24.
Types of Loan
Child: Up to ₹50,000.
Kishore: ₹50,001 to ₹5 lakh.
Tarun: ₹5 lakh to ₹10 lakh.
2. Stand Up India Scheme
Under this scheme, which was started in 2016, loans ranging from ₹10 lakh to ₹1 crore are given to SC/ST and women. This scheme is applicable only for new projects (Greenfield Projects).
Who can take loan?
Persons above 18 years of age.
Private Limited, LLP, or Partnership Firm.
Firms with turnover less than ₹25 crore.
3. Credit Guarantee Fund Scheme (CGSS)
Launched in 2016 under the Startup India Action Plan, this scheme provides unsecured loans to recognized startups.
eligibility
Startups recognized by DPIIT.
Startups with stable revenue stream.
There should not be any defaulter or NPA.
4. Prime Minister’s Employment Generation Program (PMEGP)
This scheme provides financial assistance for setting up new micro-enterprises and generating employment in rural and urban areas.
loan limit
₹25 lakh for construction sector.
₹10 lakh for service sector.
eligibility
Persons above 18 years of age.
At least 8th class passed.
Applicable to new projects only.
These government schemes not only encourage startups but also help in their development. If you are planning to start a startup or need funds for an existing startup, then take advantage of these schemes.
Tags: business news, Indian startups
FIRST PUBLISHED: December 28, 2024, 18:13 IST