Stand Up India Scheme is for financing SC (Scheduled Caste) or ST (Scheduled Tribe) and/or Women Entrepreneurs.
About the Scheme
The objective of Stand-Up India scheme is to facilitate bank loans between â‚¹ 10 lakh and â‚¹ 1 crore to Scheduled Caste (SC) or Scheduled Tribe (ST) borrower and Woman borrower for setting up a greenfield enterprise (first time venture), in manufacturing, services or 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.
|Nature of Loan||Composite Loan (inclusive of term loan & working capital) between INR 10 Lakh and up to INR 100 lakh(Rs. In lakh)|
|Size of Loan||Composite loan of 75% of the project cost inclusive of term loan and working capital.
The stipulation of the loan being expected to cover 75% of the project cost would not apply if the borrowers contribution along with convergence support from any other schemes exceeds 25% of the project cost
|Interest Rate||The rate of interest would be lowest applicable rate of the bank for that category (rating category) not to exceed (base rate (MLCR) + 3% + tenor premium)|
|Security||Besides primary security, the loan maybe 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 a maximum moratorium period of 18 months.|
Stand Up India is operated by all the branches of scheduled Commercial Banks in India.