Top 5 Government Schemes For Startups And MSMEs In India

"The Government of India and the Ministry of MSME have introduced a number of innovative government programmes and policies intended to support startups and MSMEs in India. We have discussed the top 5 government programmes for SMEs and startups that can spur growth and increase business.

Pradhan Mantri Mudra Yojana

In the Pradhan Mantri Mudra Yojana, which PM Modi introduced, Micro Units Development and Refinance Agency Banks, or MUDRA Banks, lend money at low interest rates to non-banking and microfinance organisations, which in turn lend money at cheap interest rates to start-ups and MSMEs. As a result, Pradhan Mantri Mudra Yojana is a unique fund of funds that was created with the intention of empowering Indian entrepreneurs. Under the MUDRA programme, loans up to Rs 10 lakh may be obtained.

Credit Guarantee Trust Fund for Micro & Small Enterprises (CGTSME)

One of the largest Startup Loan Programs introduced by India's Ministry of MSME is CGTSME. A collateral-free loan of up to Rs 1 crore is given to qualified startups and MSMEs under this government programme. The loan is distributed by the Ministry of MSME and Small Industries Development Bank of India through a trust called Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) (SIDBI).

Financial Support to MSMEs in ZED Certification Scheme

ZED's aim is to inspire manufacturers to produce better products with high quality and zero faults by focusing on both new and existing production facilities. The goal is to give manufacturers the tools they need to adopt top-notch manufacturing practises and employ technology to make sure their goods are the finest in their respective categories.

Credit Linked Capital Subsidy for Technology Upgradation (CLCSS)

The government is well aware that technology can help Indian entrepreneurs and MSMEs compete on a global scale. The Credit Linked Capital Subsidy for Technology Upgrading (CLCSS) Government Scheme was developed as a result, and under it, the Government offers MSMEs financial assistance so that they can modernise their technology and implement cutting-edge technological platforms for their businesses.

Design Clinic for Design Expertise to MSMEs

Every startup and MSME should have a design-centric approach to solving the problems of its niche because design and innovation are essential for any sector. The MSME Ministry has established a Design Clinic for introducing design-related skills for startups and MSMEs in an effort to promote and inspire small enterprises to explore and test out innovative designs for their products.

Bonus: Get Wealth of Knowledge, Information at Startup India Portal

The Government of India and the Ministry of MSME have developed a large web called StartupIndia, which offers new and seasoned business owners a wealth of knowledge and tools for their startups, companies, and MSMEs. Entrepreneurs can get more information about patents, copyright laws, best hiring practises, market research reports, all startup loan schemes, entrepreneur development programmes, and other topics on this platform.

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