Swayamsiddha Foundation

Both the government and private sectors are working towards developing the Economy by bringing financial assistance to entrepreneurs. One of the major initiatives is the Cent Kalyani Scheme for women entrepreneurs. The scheme aims at helping women establish their own businesses or expand the existing one.

What is Cent Kalyani Scheme? Cent Kalyani Scheme is a unique loan scheme from the Central Bank of India. It aims at financing women’s business dreams and helps them expand their business too. This means, women can apply for this scheme to fund their working Capital, purchasing machinery or equipment or other relevant business needs. Women from micro and small enterprises can avail this loan scheme.

Cent Kalyani Scheme- Loan Amount & Interest Rate Under the Cent Kalyani Scheme, an applicant can avail a loan up to Rs. 100 lakhs along with a margin rate of 20%. The base interest rate is 9.70%. Cent Kalyani Scheme Loan Amount (INR) Interest Rate (%) Rs. 10 lakhs 9.70% + 0.25% = 9.95% Rs. 10 lakhs-100 lakhs 9.70% + 0.50% = 10.20 Purpose of Cent Kalyani Scheme Listed below are the purpose of the scheme- 1. To Cater One of the main objectives of Cent Kalyani Scheme is to cater women entrepreneurs and help them through various government priorities such as offer them jobs, loans, subsidies, etc. 2. To Identify Another objective is to identify women with needs and encourage them by giving financial assistance to achieve their goals. 3. To Guide One of the major motto objectives behind the scheme is to guide women with business expansion and other business needs. 4. To Co-ordinate One of the main objectives is to coordinate with government and non-government organisations to help more women to gain benefits from the bank’s scheme. Eligibility for Cent Kalyani Scheme Women involved in the following trade deals can apply for this scheme:.

Professionals (Doctors, Chartered Accountants, Architects, etc) Self-employed (Catering services, canteen service, beauty parlour, boutiques, daycare centres, tailoring services, etc) Documents Required for Cent Kalyani Scheme Following are the documents to be submitted: 1. Identity Proof Voter Id Passport Driving license PAN Card KYC documents 2. Address Proof Telephone bill Property tax Receipt Electricity bill Voter’s ID card 3. Income Proof Balance sheets Profit and loss account Other financial documents 4. Business Proof Profile of business enterprise Letters of Interest, understanding, continuity and hypothecation.

Source

Official Website

Promotion of the product of Micro and Small Entrepreneurs is one of the major objective of the Corporation. In the present competitive scenario a need has been felt to facilitate Micro and Small Enterprises to market their goods / services individually or collectively through ‘Consortium’. Accordingly, the scheme for promoting the products of the MSEs has been reviewed in 2011 & named as “Consortia and Tender Marketing Scheme”.

1. The special features of the scheme:-

• (i) The scheme will cover Micro & Small Enterprises registered with NSIC under its Single Point Registration Scheme (SPRS). It would also cover Micro & Small Enterprises who apply to get themselves registered with NSIC under the SPRS along with all required documents in terms of the scheme and their factory is inspected before filing of tender in terms of the Tender Marketing Scheme.
  The scheme shall not cover unit(s) engaging in ‘trading activities’ without value addition/packing/ branding.
• (ii) The scheme also covers the method of selection of the units for participation in the open tenders and single tenders on nomination basis.
• (iii) The scheme takes cares of providing EMD and security deposit on back to back basis.
• (iv) The scheme inter alia includes the procedures for formation of Consortium, Capacity Building of MSEs by formation of consortia of the units manufacturing similar products, participation in tenders on behalf of units in a ‘consortia’ to secure orders in ‘bulk’ quantities, distribution of orders amongst units in a ‘consortia’ as per their capacities, facilitate the ‘consortia’ members in meeting their raw materials requirements & facilitating ‘Credit’ for the supplies made.
• (v) To accommodate provisions of this scheme, the legal document such as individual agreement by the units, agreement to be executed by the consortium, board resolution, power of attorney and other related document have been revised and simplified.
• (vi) For facilitating promotion and development of Micro & Small Enterprises, the Government of India, Ministry of MSME vide Gazette Notification No. S.O. 581(E) dated 23rd March, 2012 has circulated the Public Procurement Order 2012 for MSME. In the above Public Procurement Order, the Govt. of India has mentioned that that “Annual goal of procurement also include sub-contracts to Micro and Small Enterprises by large enterprises and consortia of Micro and Small Enterprises formed by National Small Industries Corporation”.
• (vii) NSIC formed Consortia of Micro & Small Enterprises under its Consortia & Tender Marketing Scheme and is supplying the required stores / items and rendering the services as required by the Govt. Depts. / PSUs. NSIC offices continuously monitor the consortia and form new ones depending upon the requirements.

2. APPLICATION FORM:

The application form, in the prescribed format (Annexures – A and A-1) for enlistment under the Tender Marketing Scheme is to be submitted by the applicant Micro & Small Enterprise (MSE), duly signed by the authorized signatory i.e. Proprietor / Partner(s) / Director(s) of the firm / company / society along with the documents mentioned in the application form. These documents would also suffice wherever the enlisted unit wants to participate in the tender and /or form/join a consortium.

3. FIXATION OF LIMIT FOR TENDER PARTICIPATION:

• 3(a)In respect of enlisted units willing to participate in tender through NSIC, the branch office shall fix an overall limit up to which the tender(s) can be participated on behalf of such unit at any point of time. The limit shall be the higher of:
  1. 300% of the monetary limit fixed for the unit under the Single Point Registration Scheme, or
  2. Last year’s turnover, (The ‘Last year’s turnover’ should be turnover for a financial year and the same may either be as per the last audited accounts or as per the provisional results for a financial year, duly certified by the Chartered Accountants).
  3. Where during the financial year in progress the unit has recorded an appreciable hike in its turnover (duly certified by the Chartered Accountant) with which it exceeds its last year’s turnover or the overall limit as mentioned at (i) above, benefit shall be extended to such units and their overall limit may be fixed at the highest value amongst i, ii, or the value of turnover during the financial year in progress.
• 3(b)While fixing the overall limit the operating and installed capacity of the unit may also be considered.
• 3(c)The fixation of the limit shall be done by the committee consisting of the Branch Head, Accounts Head and Business Head.
• 3(d)The limit so fixed shall remain valid for a year and is subject to review/ renewal annually.
• 3(e)While deciding the overall limit to be fixed for units operating as a consortium, the limits fixed in respect of individual unit as per procedure mentioned above, shall be clubbed. The limit so fixed for a consortium shall remain valid for a year and is subject to review/ renewal annually.
• 3(f)In case a consortium gets expanded (by the additions of a unit / units) and / or shrunk (by the withdrawal of a unit / units) then:
• 3(g)On expansion of the consortium, the overall limit shall be enhanced after working out the limit in respect of the unit / units added by fixing their limits as per the procedure mentioned above.
• 3(h)On withdrawal of unit / units from a consortium, the overall limit shall stand reduced equivalent to the limit fixed in respect of such units.
• 3(i)However, the limit of the unit shall get vacated to the extent of the order already executed. (For example a unit having a limit of Rs. 15 crore and an order in execution for Rs. 10 crore out of which it has already executed order worth of Rs. 3 crore, the balance limit available for tender participation at this point shall be Rs. 8 crore).

After completion of the above, in respect of units found fit for enlistment under the scheme, an Enlistment Letter shall be issued by the branch.

1. Annual Fee Structure of Enlistment & Renewal under Consortia & Tender Marketing SchemeS.No.CategoryAnnual / Renewal Fee1.If Monetary Limit under SPRS is up to Rs. 100 lacsRs. 1,000 + GST2.If Monetary Limit under SPRS is more Rs. 100 lacs and up to Rs. 500 lacsRs. 2,500 + GST3.If Monetary Limit under SPRS is above Rs. 500 lacsRs. 5,000 + GST4.Units owned by SC/ST entrepreneurs are exempted from the enlistment fee5.There will be no fee for the formation of new / renewal of Consortia. However, while at the time of participation in tender by consortia members, enlistment fee mentioned above will be applicable.
2. SERVICE CHARGES UNDER CONSORTIA & TENDER MARKETING SCHEME (on line/off line) Opender Tender/Limited enquiries/nomination basis/Repeated Orders etc.
   
   The service charges for various types of above said tenders are proposed on the basis of value of tender irrespective of their category.Tender value (Rs.in Cr.)Revised Service charges on Bill value before GST (%)IndividualConsortiaUp to 5545-104310 & above32.5
   In case of micro units we may reduce the service charges by 0.5% on the above said charges.
   In case EMD /and/ or Security Deposit are arranged by NSIC 1% Additional Service Charges would be charged. The said service charges are excluding GST. The services charges shall be deducted from the payment receipt from the buying department and after deducting eh service charges balance amount may be released to the MSE/Consortia. .
   Note:
   Where the NSIC is required to participate in pre-dispatch inspection team along with the buyer department or other agency, a higher rate of service charge can be levied on case to case basis.

Validity of Consortia Agreement

Consortium agreement entered into between the Corporation and Consortium shall be valid till officially liquidated by all members and the intimation being served on the respective branch that they (Consortium) do not want to continue as a Consortia members. However, in case of inclusion of new member/s or member/s leaving the consortia of change in Constitution of any member , fresh agreement may be obtained. In order to ascertain the change in the Constitution or addition/deletion of the members, a declaration to the effects to be taken from consortia members that their consortium is alive and there is no change.

National Scheduled Caste and Scheduled Tribe Hub

India is witnessing rapid growth and prosperity. For this to be truly inclusive, all sections of the society need to partake in this prosperity. Besides wage employment and education, the marginalized sections of the society also need to envision, create and scale – up ventures to be a major participant in this growth story. While in the past, there has been some increase in the number of SC/ST owned enterprises, this needs to increase substantially to enable the socio-economic empowerment of the SC/ST communities. In this context, the National SC/ST Hub is an initiative of the Government of India targeted towards developing a supportive ecosystem towards SC/ST entrepreneurs.

The National SC/ST Hub (NSSH) would provide professional support to the SC/ST enterprises thereby enabling them to effectively participate in public procurement process. This would involve participation by CPSEs/Central Ministries, States, Industry Associations such as DICCI and others. The Hub would also work towards the development of new entrepreneurs to participate in procurement process leveraging on the ‘Stand up India’ programme. Selected entrepreneurs would be provided with support and mentoring by industry experts, CPSEs, and incubators.

To start with, the Ministry of Micro, Small and Medium Enterprises (M/o MSME), has made an initial allocation of Rs. 490 Crore for the period 2016-2020 for the National SC/ST Hub. Discussions with various stakeholders have enabled the Ministry to create an initial agenda for action on this front. While the agenda for action is flexible and would evolve with further inputs from stakeholders and more robust data, initially it attempts to address gaps that exist across multiple drivers of the entrepreneurial eco-system.

The Hub would operate out of the National Small Industries Corporation (NSIC) headquartered in Delhi, supported by a special cell created for this purpose. All new and existing SC/ST entrepreneurs would be registered on the MSME Databank (www.msmedatabank.in) of the Ministry of MSME that would form a reliable database to enhance accessibility for the procurement agencies. A separate website www.scsthub.in has been launched to apprise the stakeholders about the activities of the Hub.

High Powered Monitoring Committee

Minister of MSME is the chairperson of the committee. The committee members are representatives of various stakeholders including states, various ministries, industry associations & SC/ST entrepreneurs.

Advisory Committee

The Chairperson of this committee is Shri Milind Kamble, Chairman, DICCI (Dalit Indian Chamber of Commerce & Industry). This committee would work under the High Powered Monitoring Committee in order to bring the industry and SC/ST entrepreneurs’ perspective to the Hub with the purpose of developing an effective, mutually beneficial relationship between the target group and the Government.

Empowered Project Approval Committee

Secretary, Ministry of MSME chairs this committee. As the Hub is dynamic in nature and would evolve over the envisaged period, requirement of funds for various activities is likely to evolve depending on the emphasis areas or changes in identified focus areas. This Committee would ensure such flexibilities with a view to accommodate changing requirements of SC/ST entrepreneurs.

Visit National SC / ST Hub

RMA against Bank Guarantee

Raw Material Assistance Scheme aims at helping MSMEs by way of financing the purchase of Raw Material (Both indigenous & imported). This gives an opportunity to MSMEs to focus better on manufacturing quality products.

Benefits of the Scheme

• Facilitating procurement of Raw Material with credit support up to 180 days
• MSMEs helped to avail Economics of Purchases like bulk purchase, cash discount etc.

How to Apply

The Entrepreneurs are required to apply for Raw Material Assistance only on the prescribed application forms. The application forms downloaded from the link given below may be filled and can be submitted to the nearest Branch Office. The blank forms are also available free of charge from the Branch offices.

The Process

• Duly filled application form is to be submitted along with the Application
• Preliminary appraisal and Unit inspection is carried out by NSIC.
• Sanction of Limit to the Unit.
• Signing of agreement between NSIC and Unit.
• Disbursement of assistance to the unit.

Terms and Conditions

• Security in the form of Bank Guarantee from Approved Banks.
• The rate of interest would be as under:

Assistance against the security of BG :

Rate of interest in respect of assistance availed on or after 01.10.2020

Additional rate of interest on delayed payment (beyond 180 days), over and above the normal rate of interest, would be as under:

Processing Fee :

For Detailed Information, Click Here

To meet the credit requirements of MSME units, NSIC has entered into a Memorandum of Understanding with various Nationalized and Private Sector Banks. Through syndication with these banks, NSIC facilitates MSME in accessing credit support (fund based or non-fund based limits) from the banks. NSIC assists MSMEs in completion of the documentation for submitting the proposals to the banks and also does the follow up with the banks. These handholding support are provided by NSIC without any cost to the MSMEs.

Frequently Asked Questions (FAQs)

Detailed Information

Ask Questions, Seek Answers, Talk & Interact. Use the discussion board below to ask questions.

FINANCIAL ASSISTANCE

• Financial assistance to Greenfield Units for setting up new units which includes:
• purchase of land,
• construction of factory building,
• purchase of equipment, plant & MFA etc.

Key Features

• Attractive RoI
• Quicker sanction

Eligibility

• New Entities or Greenfield units are eligible
• Promoters should have minimum 5 years of business experience
• Promoters Contribution – Minimum 25% Standard Norms apply (CIBIL / CMR, due diligence checks etc.)

Target Groups

MSMEs setting up units in identified sectors under (as per the list identified by GoI), high growth / sunrise sectors and other important sectors

Loan Amount & Validity

• TL upto `2000 Lakh, subject to maximum of 75% of the project cost
• Till October 31, 2022 (or) utilization of the corpus as allocated/decided from time to time, whichever is earlier.

Rate of Interest

• Interest Rate- 6.00% to 7.30% p.a. for first year with reset applicable thereafter (as per internal rating)
• Repayment – Generally upto 7 years
• Moratorium – Upto 2 years

Details : Click here

Target Group

• Future export champions with high potential
• Units having unique technology, products or processes
• High export potential sectors, i.e. Automobiles, Aerospace & Defence, Chemicals, Food Processing, IT & ITeS, Pharmaceuticals, Precision engineering, Textiles and allied sectors, etc.

Loan Amount

• Need based financial assistance, subject to maximum of 80% of the project cost.
• Joint financing with EXIM Bank available.

Key Features

• Attractive RoI
• 20% promoters’ contribution (30% for greenfield units)
• Facility of TL/FCTL available
• Technical Assistance for mentorship support, equity support, etc.
• Upto 25 bps performance / milestone linked interest incentive.

Interest Rate

• Interest Rate – Based on MCLR of the Bank / Repo rate, with applicable spreads (as per internal rating)
• Repayment – Generally upto 6 years (Extendable upto 10 years)
• Moratorium – Upto 2 years

Eligibility

• New units – Promoters having sufficient experience in the proposed line of business and major projected revenue from exports. For units co-funded by technocrats from premier institutions (like IIT, IIM, IISc, NIT etc.), sufficient experience in the proposed line of business shall not be insisted upon.
• Existing units – Fundamentally strong export oriented small and mid-sized companies with satisfactory financials.
• Standard Norms apply (CIBIL / CMR, due diligence checks, etc.)

Details : Click here

SIDBI AND GOOGLE PARTNERSHIP FOR ASSISTANCE TO MICRO ENTERPRISES (SANGAM)

Objective :

Financial assistance shall be provided in the form of term loans to micro enterprises for Capex or meeting working capital requirement.

Key Features :

• Up to 100% finance
• Funding of both Capex and working capital requirement.
• Nil processing fee.
• Interest rate of 6% p.a. (5.50% p.a. for women run / owned enterprises).
• Repayment upto 5 years (3 years for WCTL).
• Availability of CGTMSE cover.

Eligibility

• Term loans to Micro enterprises.
• Minimum 2 years operations of the unit required.
• WCTL shall be provided to only those enterprises not availing WCL / OD facility from any Banks / FIs.
• Operating profit during past 2 years.
• Cash profit during past one year.
• No default / delinquency to any bank /FI, etc., during past 24 months.
• Standard Norms apply (CIBIL / CMR, due diligence checks etc.)

Target Group

Preference to women run / owned enterprises and entrepreneurs from smaller cities (beyond Metros).

Loan Amount

• TL upto 100 Lakh, subject to maximum 40% of the Net Sales for manufacturing units and 75% of Job work income / gross receipts for job work / service sector enterprises.
• Upto March 31, 2022 for sanctions.

Interest Rate

Interest Rate- Interest rate of 6% p.a. (5.50% p.a. for women run / owned enterprises).

Details : https://www.sidbi.in/en/products#section19

SIDBI’S TERM LOAN TO ENHANCE PRODUCTION OF MSMES (STEP) SCHEME GUIDELINES

Objectives

• To provide medium/short term financial assistance to eligible MSMEs for augmenting NWC and / or to execute urgent confirmed orders.
• Incremental working capital requirement may also be funded after satisfying about non enhancement of regular WC limit from existing lenders.

Key Features

• Both in rupee and foreign currency.
• Generally, upto 3 years (including moratorium upto 6 months).
• Availability of CGTMSE cover
• Simplified documentation
• Quick sanction and disbursement

Eligibility

• Existing MSMEs as per MSMED Act
• Minimum 3 years operations of the unit required. (2 years for Existing customer of SIDBI)
• WCTL shall be provided to only those enterprises not availing WCL / OD facility from any Banks / FIs.
• Operating profit during past 2 years ( 1 year for Existing Customers).
• Standard Scheme Norms apply (CIBIL / CMR, due diligence checks etc.)
• should not be in default to any bank/FI.

Target Group

Micro, Small and Medium Enterprises

Loan Amount

• Upto Rs 300 lakh for existing customers
• Upto Rs 200 lakh for New Customers

Interest Rate

MCLR based ROI as per internal rating.

Details : Click here