Eligibility Criteria Under Stand Up India Loan Scheme
Stand up India is yet another initiative taken by the government of India in the middle of January this year. According to the scheme, eligible candidates will get a loan up to a certain amount with which they can start their own business. This loan facility is specially designed for the people who belong to backward classes and economically weaker group. Also women, especially widowers are also eligible to apply for the loan. According to the authorities most of the Indian start ups have failed due to lack of financial backup. Indian Government has initiated this scheme for the potential business owners who are efficient to bring commercialization in Indian economy. There are a few yet a bunch of eligibility criteria that one entity must meet before applying for the Stand up India loan. They are:
- Nature of the company
The company that you are owning must be a
- Private limited company under companies act 2013 or
- LLP firm registered under LLP act 2008 or
- Partnership firm registered under Indian partnership act 1938.
- Turn over
Company that you are running must not have annual turnover of rupees 25 crores. You will not be eligible for this support if your yearly turnover crosses the mentioned limit.
- Company age
The company that is applying for the stand up India scheme should not be older than 5 years. The company must set up equals or less than 5 years. The time will be counted from the date of registration of the company under the company act.
- Nature of products & services
Stand up India supports the development and commercialization of the Indian industrial Economy. So the products or services your company is providing must promote commercialization, deployment, development and innovation process.
As per the guidelines of Stand up India, one must get approval from the DIPP. One of the several letters that you need to submit while applying for the loan is the patent. Your company should have granted patents to meet up the guidelines of DIPP.
- Other documents / Letter
There are some other letters / documents needed before you apply for the loan. These letters are to show that your company is innovative and is approved by DIPP. These letters are
- Recommendation letter by incubator in PG Indian College
- Recommendation letter from incubator funded by Indian Government
- Recommendation letter by incubator recognised by Indian Government
- Granted patent by Indian patent and trademark office that is related to business
- Funded by incubation fund / private equity fund / angel fund / accelerator / angel network.
If you have all these letters and documents with you to submit then you are through to the stand up Indian loan scheme.
Eligibility criteria for stand up India – quick tips
|What are the Criteria?||Requirements|
|Nature of company||Private limited company / Partnership firm / Limited Liability Partnership registered under appropriate act|
|Age of company||Not more than 5 years|
|Company turn over||Not more than 25 Crores per annum|
|Nature of product & service||Anything that encourages development, deployment, innovation, commercialisation etc.|
|Funding||Patents granted, funded by Angel fun / accelerator / incubation fund /private equity fund|
|Letters for DIPP approval||PG Indian College, funded by GoI, recognised by GoI|