So, you have decided to be job giver – An Entrepreneur

Applying for a loan at a physical location, means that you are approaching just one lender. When you apply for a loan in person, you may need to book an appointment. You could be waiting in a queue. You may have to travel for a while, to reach the lender’s physical premises.

Before we began the loan journey, remember that business loans can be used for setting up new enterprise or stepping up (expansion, diversification, modernisation, technology upgradation). These can be for

  • Acquisition of factory, land and construction of building spaces,
  • Purchase of Plant and Machinery including lab equipment, testing equipment, furniture, electric fittings, etc,
  • Meeting working capital requirements, like raw materials, stock-in-progress, finished goods, etc,
  • Trade Finance (Bill discounting) – for paying the creditors, while awaiting payment from debtors
  • Launch of new product range, expansion of business, warehousing need, credit for marketing and advertising purpose
  • Additional monitory assistance for any eligible purpose.
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launching ceremony

It’s good that you have made up mind for applying business loan online. You will have choices of wider range of lenders (Banks / NBFCs / SFBs/ FinTechs) who can access your application and according to your geographic location the nearest lender may approach you or a fintech from another city may also touch base you.

This means you can apply online 24/7. You can apply even in your spare time at leisure. If you have your budget / documents / information ready, you will find the application forms are easy to fill in.

So...

Please Click here for the documents / papers / information required for filling the application faster.

Please Click here for applying loan on your chosen portal www.udyamimitra.in upto Rs 10 crore under MSME which is accessible by 145+ lenders (Banks / NBFCs / SFBs/ FinTechs).

First let’s understand MSMEs

MSME (Micro, Small & Medium Enterprises) are classified in two ways :-

  • Manufacturing Enterprises engaged in the manufacture or production of goods pertaining to any industry or deploying plant and machinery in the process of value addition to the final product having a distinct name or character or use and
  • Service Enterprises engaged in providing or rendering of services

The Manufacturing Enterprise are defined in terms of investment in Plant & Machinery and Service Enterprises are defined in terms of investment in equipment Let’s understand it in a better way

Enterprises Manufacturing Sector (Investment in plant & machinery) Service Sector (Investment in equipment’s)
Micro Enterprises Does not exceed twenty-five lakh rupees Does not exceed ten lakh rupees
Small Enterprises More than twenty-five lakh rupees but does not exceed five crore rupees More than ten lakh rupees but does not exceed two crore rupees
Medium Enterprises More than five crore rupees but does not exceed ten crore rupees More than two crore rupees but does not exceed five crore rupees
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Under MUDRA and Standup India, Trading Activities are also Covered.

Also, according to the latest announcement decision by Cabinet; Government of India (GoI), businesses with revenue of as much as Rs 5 crore shall be called a micro enterprise, those having sales between Rs 5 crore and Rs 75 crore will be viewed as small and those with revenue between Rs 75 crore and Rs 250 crore shall be classified as medium-sized enterprises. Notification is issued once it is passed by parliament.

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Finding Difficult in Filling Application

Need not to worry the portal will help finding the correct person / right agency to fill the form on your behalf. All you need is to Click here and fill in basic personal details with request for agency / person (small amount of fees may be charged by the agency / person). This facility is called as HAVE (Handholding in a virtual Environment).

Online Support

For information Its helpful

We have uploaded some of the bankable project profiles on the portal grouped under industry, MSME classification and loan amount which will help you in preparing Detailed Project Report (DPR) or Techno Economic Viability (TEV).

Click here for more information

Subsidies and incentives are provided by the Government of India

Various Subsidies and incentives are provided by the Government of India to promote a vibrant business. For any entrepreneur / promoter setting up a new startup or having an established business, it is important to know about these subsidies and incentives which can be availed while incurring capital expenditure to reduce capital cost, lessen interest burden and to achieve break-even faster. So, it’s the right place to

Click for various subsidy schemes available at both the central level and state level and for SC/ST and women entrepreneurs.

shake hand

No collateral security?

and in need of credit facilities / loanYou should know that for loan to a maximum of Rs 200.00 lakh collateral free coverage can be applied through banks. Government of India and SIDBI have set up the Credit Fund trust for Micro and Small Enterprises (CGTMSE) Also, National Credit Guarantee Trustee Company (NCGTC) has been set up by the Government of India to act as the Trustee to operate the Credit Guarantee Funds for Educational Loans, Skill Developments Loans and any other funds to be set up from time to time.

For More Information Please Click here

 
Udyog Aadhaar

Udyog Aadhaar (UA)

MSMEs are required to obtain Udyog Aadhaar (UA) which is for running units. It is not required for upcoming units. For registering yourself as a MSME under Udyog Aadhaar Memorandum(UAM) you can visit Web link:

Click here for Udyog Aadhaar Memorandum(UAM) Registration

Your enquiry (as an applicant, Handholding agency or bankers) can be aptly handled at

FAQ (Frequently Asked Questions) section click here.

 
 

Facing Liqudity Problems

MSMEs face constraints in obtaining adequate finance, particularly in terms of their ability to convert their trade receivables into liquid funds. The problem of timely realization of receivables persists despite the fact that the MSMED Act, 2006 mandates payments to MSMEs be made within 45 days of acceptance of goods and services.

TReDS is an online electronic institutional mechanism for facilitating the financing of trade receivables of MSMEs through multiple financiers. The TReDS Platform will enable discounting of invoices/bills of exchange of MSME Sellers against large Corporates including Govt. Departments and PSUs, through an auction mechanism, to ensure prompt realization of trade receivables at competitive market rates.

Receivables Exchange of India Ltd (RXIL), is a joint venture promoted by Small Industries Development Bank of India (SIDBI) and National Stock Exchange of India Limited (NSE). RXIL operates the Trade Receivables Discounting System (TReDS) Platform.

MSMEs benefit due to timely payments in a transparent mechanism at very competitive pricing. Assured of timely cash flows ensures better quality of products and processes in the long run for MSME sector

Facing Liqudity Problems

All the best for entrepreneurial journey!