Detailed Guide on Stand-Up India, Startup India
The unemployment rate in India has been rising for the last two years and is at 7.6 % from 4% during the year 2017-2019. As a countermeasure, the Government of India has introduced several schemes such as Stand Up India, Start-up India as initiatives to provide subsidised business funding to aspiring entrepreneurs.
The programme came into effect on 16thJanuary 2016 and aimed to provide advances ranging between Rs. 10 Lakh and Rs. 1 Crore to the SC or ST and women entrepreneurs. To avail start-up business loans at a subsidised interest rate under this scheme, you will have to meet its eligibility criteria mandatorily.
Along with meeting the eligibility criteria, you will have to furnish some documents required for business loan while you avail loans under Stand-up India scheme.
Your lender might ask you to furnish other documents apart from the above, as per their policy.
You can apply for a loan under the Stand-up India scheme in two ways:
These loans are provided at the lowest interest rate (depending on the existing MCLR) of the financial institution you are availing it from. This low rate of interest is one reason why you should avail such loans to start investing for your start-up today.
You can apply for such advances online by visiting the lender’s official website. Fill the application form with some relevant details. A representative of your lender will collect the documents from you, and your loan amount will be disbursed accordingly.
Besides the above, you also get to enjoy tax benefits under section 80 IAC and section 56 of the Income Tax Act. The tenor allowed for repayment is extended up to 7 years with 18 months moratorium period.