The Micro Small Enterprise Funding Scheme was initiated by the Government of Tamil Nadu to advance the growth and competitiveness of micro and small enterprises (MSE). The Tamil Nadu Industrial Investment Corporation Limited (TIIC) is charged with overseeing and executing this scheme. Even the Government of Tamil Nadu provides financial assistance under this MSE funding scheme. Moreover, to the New or Well-Known Units in Micro and Small Enterprises with an overall project outlay of Rs.50.00 lakhs.
What are the Objectives of the Micro Small Enterprise Funding Scheme, Tamilnadu?
The main objective is to the extension of financial assistance. To new/existing micro and small enterprise units with a cumulative project outlay of Rs.50 lakh. Other purposes are as follows:
- Upgrading infrastructure facilities in new or existing MSE industrial zones through financial assistance provided.
- For the creation of fixed assets in small businesses and small businesses (MSE). They are improving the growth of micro/small businesses through the advancement of technology. Also, the skills, and quality, access to markets, access to resources. Also, to increase the potential of the SMEs. By forming self-help groups, consortia, up-gradation of associations, etc. Construction of research centres, training centres, depots of raw materials, effluent disposal, complementary manufacturing methods, etc.
What are the Eligibility Criteria for the Micro Small Enterprise Funding Scheme, Tamilnadu?
The conditions for eligibility for financial assistance under the Micro / Small Enterprises Funding Scheme here: New micro and small-scale enterprises for the manufacturing, storage, or processing of products, regardless of location. Also, for service sector ventures such as hospitals, fast food restaurants, etc. Except for small road transport operators [SRTOs], and new micro and small-scale enterprises. Even the Tamil Nadu Current Micro and Small Scale Enterprises (MSE) Units. Moreover, the Service Businesses, Growth, Modernization, Gradation of Technology and Diversification are Important to all property, Partnership, and Limited companies like LLP.
The cost of a project under the Micro and Small Enterprises Funding Scheme never exceeds Rs.50 Lakh. Also, this amount is only for the new units. In respect of existing MSE units, the cost of the project never exceeds Rs.50. Lakhs. Under the Micro and Small Enterprises Funding Scheme, the allotment of the Loan depends on the type of user:
Firstly, subject to the project cost, a term loan of 80% is granted for new MSE units. That governs a maximum of up to Rs.40 lakhs.
Secondly, for existing MSE units, a term loan of 75% of the project cost. That governs to a maximum of Rs.37.50 lakhs.
The Minimum Promoter’s contribution to the Micro and Small Enterprises Funding Scheme is set at 20% of the project cost. But in Detail :
So, all the new units receive a Promoter’s Contribution of 20% of the Project Cost.
Also, the Promoter contributes 25% of the Project Cost to all the existing units.
What are the Documents Needed Micro Small Enterprise Funding Scheme, Tamilnadu?
- KYC documents
- Proof of ID: Aadhar card, PAN card, Passport, voter ID
- Proof of residential address
- Projected balance sheet/ Project report
- Business address proof
- Business registration Proof: – Partnership title / Certified copies of MOA / AOA
- Bank statement 6 months ago( If existing unit)
In the above list, a Business plan also known as a project report is a crucial document when applying for a bank loan. The bank uses this document to analyze the overall feasibility, risks, financial viability, and potential of a project. A well-crafted and convincing project report increases the chances of loan approval. With Finline you can craft a compelling project report in less than 10 minutes. That too in your language. Also, all public and private sector banks working in India accept our project report. Click to create your project report.
