Stand-Up India scheme has been launched by Hon'ble Prome Minister from 5 April 2016. This Stand Up India scheme of central government aims to finance SC/ST and/or Women Entrepreneurs. Read this article till the end to know how to apply online for Standup India Scheme, eligibility, list of documents required and other aspects regarding the scheme.

Stand Up India Loans Apply Online Process

  • On the opened page, go to "Important Steps - You may Access Loans" section and click at "Apply Here" link.
  • Then Stand Up India Scheme registration page will appear as shown below:-
  • Enter name of applicant, email ID, mobile number and click at "Generate OTP" button to open Standup India Scheme application form.
  • Next enter personal details, professional details and click at "Save" button to complete form fillup process. 
  • Finally, make login to apply for loans under Stand-Up India Scheme.

About Stand-Up India Scheme 2023

Standup India scheme will facilitate bank loans b/w Rs. 10 lakh and Rs. 1 crore to atleast one SC or ST borrower and atleast one women entrepreneur per bank branch for setting up a green field enterprise. This enterprise may be in manufacturing, services, agri-allied activities or the trading sector. In case of non-individual enterprises at least 51% of the shareholding and controlling stake should be held by either an SC/ST or woman entrepreneur. 

Eligibility Criteria for Stand Up India Scheme

  • SC / ST and /or Women entrepreneurs, above 18 years of age
  • Loans under the scheme is available only for Green Field Projects. Green Field signifies, in this context, the first time venture of the beneficiary in the manufacturing or services or agri-allied activities or trading sector.
  • In case of non-individual enterprises, 51% of the shareholding and controlling stake should be held by either SC/ST and/or Women Entrepreneur.
  • Borrower should not be in default to any Bank / Financial Institution.

Features of Loans under Standup India Scheme

  • Nature of Loan - Composite loan (inclusive of term loan and working capital) b/w Rs. 10 lakh and upto Rs. 1 crore.
  • Purpose of Loan - For setting up a new enterprise in manufacturing, services, agri-allied activities or the trading sector by SC/ST/Women entrepreneur.
  • Size of Loan - Composite loan of 85% of the total project cost inclusive of term loan and working capital. The stipulation of the loan being expected to cover 85% of the project cost would not apply if borrower's contribution along with convergence support from any other schemes exceeds 15% of the project cost.

Interest Rate/Repayment of Loan under Stand-Up India Scheme

  • Interest Rate - The rate of interest would be lowest applicable rate of the bank for that category (rating category) not to exceed (base rate (MCLR) + 3%+ tenor premium).
  • Security - Besides primary security, the loan may be secured by collateral security or guarantee of credit guarantee fund scheme for stand up India loans (CGFSIL) as decided by the banks.
  • Repayment - The loan is repayable in 7 years with maximum moratorium period of 18 months.
  

Working Capital under Standup India Scheme

  • In order to draw working capital upto Rs. 10 lakh, the same may be sanctioned by way of overdraft. Rupay debit card would be issued for convenience of the borrower.
  • Working capital limit of more than Rs. 10 lakh would be sanctioned by way of cash credit limit.

Margin Money for Stand-up India Scheme

Stand Up India Scheme has the provision of providing 15% margin money which is given in convergence with eligible central / state schemes. While such schemes can be drawn upon for availing admissible subsidies or for meeting margin money requirements, in all cases, the borrower shall be required to bring in minimum of 10% of the project cost as own contribution.

Stand Up India Scheme is being operated by all branches of Scheduled Commercial Banks in India. 

References

Stand Up India Official Website - https://www.standupmitra.in/