Stand-Up India Scheme provides funding to women entrepreneurs and people who come under SC/ST category of the society. Stand-up India scheme was introduced by Government of India to provide credit services majorly to SC/ST category people. The primary purpose of this scheme is to help banks in offering loans between Rs. 10 lakh and Rs. 1 crore to at least one SC/ST applicant and one women entrepreneur per bank branch in enabling them to set-up their own enterprise.

Download Loan Application Form for Stand Up India Scheme by visiting standupmitra.in

Stand-up India Scheme – Interest Rate & Eligibility – 2021
Interest Rate Bank’s MCLR + 3% + tenor premium
Repayment tenure Max. 7 years with moratorium period up to 18 months
Min. age criteria 18 years for SC/ST and women entrepreneur
Loan amount Between Rs. 10 lakh and Rs. 1 crore
Loans offered for Only Green Field Projects (first time venture)
Shareholding stake 51% for Non-Individual Enterprises
Borrower’s financial repayment status Never defaulted to any bank or NBFC
Margin Max 25%
Working Capital Limit Up to Rs. 10 lakh in form of Cash Credit limit

Features of Stand-up India Scheme
Interest rate applicable is set by the desired bank for that category that is banks’ not to exceed MCLR + 3% + tenor premium
Minimum age criteria to get loan under Stand-up scheme is 18 years for SC/ST people and women applicants
Loans are only offered for Green Field Projects that means for entrepreneurs who are venturing in manufacturing or trading sectors for the first time
Applicant should not have defaulted before to any bank or NBFC
Composite loan (that includes term loan and working capital) is offered between Rs. 10 lakh and up to Rs. 1 crore
Loans may be secured by collateral security or guarantee of Credit Guarantee Fund Scheme, as decided by the banks
Loans can be used for SC/ST and women entrepreneurs to set up new enterprise only in trading, services and manufacturing sectors
The repayment period is a maximum up to 7 years with maximum moratorium period up to 18 months
No subsidy is offered under Stand-up India Scheme
Stand up India Loan details
Loan Amount offered is the 75% of the project cost that is inclusive of term loan or working capital loan. The standup mitra applicant shall not be applicable if borrower’s contribution along with conjunction support from any other scheme surpasses 25% of the project cost.

Features:
Interest Rate: (Base Rate + (MCLR) + 3% + Tenor Premium)
Loan Amount: Minimum Rs. 10 lakh & Maximum up to Rs. 1 crore
Repayment Tenure: Up to 7 years, including moratorium period of 18 months
Collateral: Required as primary security or guarantee of Credit Guarantee Scheme for Stand-up India Loans (CGFSIL)

How to apply for loans under the Stand-Up India Scheme?
To apply for loans under Stand-Up India, applicants need to visit the nearest bank branch and find out whether 1-person quota for SC/ST category or one women entrepreneur per bank branch is available or not. If yes, then he/she can fill in and submit the application form along with required documents to apply for loan under Stand-up India scheme. The application form can be downloaded from standupmitra or standup India portal.

Eligibility
Minimum age of 18 years for SC/ST or women entrepreneur
Loan available only for Green Field Projects
At least 51% of shareholding stake to be held with either SC/ST or women entrepreneur, in case of non-individual enterprise
Applicant should not have defaulted in any previous loan(s)
Indian citizen with no criminal records

Steps to register for Stand-up India Scheme
Step 1: Visit Stand-up India’s official website ‘https://www.standupmitra.in/Login/Register’

Step 2: Fill in the registration form by firstly entering the business location that include business address, state, district, village, town, city and pin code.

Step 3: Select whether promoter belongs to women category and holds 51% stake or higher and same applicable to SC/ST category.

Step 4: Next applicant can select the nature of the business planned, desired loan amount, nature and description of business activity, status of space for business and select the drop down of first time entrepreneurs.

Step 5: Further he/she needs to mention his/her past business experience by mentioning business activity, years of experience and nature of business.

Step 6: Next one need to tick the desired hand holding support, as per the need and interest.

Step 7: Last and final step of registration is regarding applicant’s personal information that is name, name of enterprise, user name, mobile number, email and type of constitution.

Step 8: By clicking on register applicant will be able to apply for the Stand-up India scheme with the respective financial institution and their officials will contact for further formalities.

Documents required
Passport-sized photographs
Identity Proof: Passport, driving license, voter’s ID card, PAN card, etc.
Residence Proof: Voter’s ID card, passport, latest electricity and telephone bills, property tax receipt, etc.
Business address proof
Memorandum and Articles of Association of the company
Partnership deed of the partners
Photocopies of lease deeds
Rent agreement
Last 3 years’ balance sheets of association
Assets and liabilities statement of the promoters and guarantors

Stand-up India has always worked to promote economic empowerment and helped in the creation of employment. The scheme is set to benefit minimum 2.5 lakh borrowers through 1.25 lakh bank branches located nationwide. This scheme provides a digital platform to support entrepreneurs from SC/ST category and women entrepreneurs via credit guarantee, hand holding support and providing information on financing. Additional services offered under this scheme are training, mentorship, guidance and skill development programmes for entrepreneurs.