Stand Up India Scheme: Important Features And Eligibility Criteria
The Stand Up India program intends to provide persons from the nation’s scheduled castes, scheduled tribes, and women with loans ranging from Rs.10 lakhs – To rs. 1 crore, depending on their needs. The goal is to encourage them to start businesses. Each of the 1.25 lakh local banks would be required to lend the money to at minimum one Dalit or tribal businessman and one women businessman in their services generally every year under the program.
Stand Up India’s Major Features
Mr Narendra Modi, India’s Prime Minister, introduced the Stand Up India Program in April 2016, urging individuals first from scheduled castes and tribes, as well as women, throughout the nation to create businesses by giving them money.
- The plan is part of a Finance ministry commitment to stimulate entrepreneurship enterprises even by the Department of Financial Services (DFS).
- A loan of between Rs 10 lakhs and Rs 1 crore would be offered, including cash flow for the establishment of a new business.
- According to the plan, each banking institution should support two entrepreneurial enterprises in aggregate. One after a woman entrepreneur and another for SC/ST.
- For credit withdrawals, a RuPay direct debit would be given.
- The bank will keep track of the lender’s credit record to ensure that the funds are not utilised for personal benefit.
- To aid individuals with online registrations and support services, a web interface has been built.
- The major goal of this programme is to enhance the formal credit architecture by extending out to underserved segments of the population through non-farm bank debt.
- The plan will also benefit other Depts’ current schemes.
- The Dalit Indian Association of Commerce and Industry will be involved in the Stand Up India scheme, which will be led by the Small Industries Development Bank of India (SIDBI) (DICCI). Several industry institutes will be involved, in addition to DICCI.
- SIDBI and the National Bank of Agriculture and Rural Development will be designated as Stand Up Connect Centres (SUCC).
Stand Up India Scheme Eligibility Criteria
The people requesting the loan must meet specific eligibility criteria:
- The person must be at least 18 years old.
The business must be a privately held company (LLP) or a partnership.
- The company’s annual revenue must not exceed 25 crores.
- For a person who belongs to scheduled tribes or scheduled tribes, the entrepreneur must be a woman.
- The financing will only be used to finance infrastructure projects, which are those that are being undertaken for the first time in the manufacturing as well as service sectors.
- The client must not be a defaulter with a bank or another institution.
- Any commercial or creative consumer goods should be handled by the corporation.