SIDBI (Direct Financing)Term Loan (Capex / Expansion)SC / ST EntrepreneursVerified: 2026-09-29

Stand-Up India Scheme - SC/ST Greenfield Enterprises (Up to ₹1 Crore)

Primary Lending Institution:Small Industries Development Bank of India (SIDBI)

Greenfield enterprise credit from ₹10 Lakh to ₹1 Crore for Scheduled Caste and Scheduled Tribe founders.

Connected Central Government Scheme: Stand-Up India Scheme - Scheduled Caste (SC) Greenfield EnterprisesView Government Scheme Guidelines →

Interest Rate8.50% – 10.25%Linked to EBLR / MCLR / Risk

Loan Amount Quantum₹10 Lakh to ₹1 CroreBased on turnover & project cost

Repayment TenureUp to 7 years (with 18 months moratorium)With moratorium where applicable

Collateral SecurityCollateral-free through CGFSI guarantee coverage or asset hypothecation

What's Missing: Crucial Fine-Print & Exclusion Gaps

Only greenfield enterprises eligible. Beneficiary must hold valid SC/ST certificate issued by revenue authority. 51% controlling stake mandatory in partnerships.

Note: Eligo publishes these regulatory and commercial exclusions directly from bank product guidelines and CGTMSE rules to protect MSME applicants from unexpected fee debits or loan rejection surprises.

What is Stand-Up India Scheme - SC/ST Greenfield Enterprises (Up to ₹1 Crore)?

Statutory central credit program mandating every commercial bank branch in India to provide credit between ₹10 Lakh and ₹1 Crore to at least one Scheduled Caste or Scheduled Tribe borrower for setting up greenfield ventures.

Key Benefits & Features

Up to ₹1 Crore capital for SC/ST founders; bank finances up to 85% of project cost; composite term loan and cash credit line; handholding support via Stand-Up Mitra.

Government Subsidy & Credit Guarantee Coverage

Credit Guarantee Scheme for Stand-Up India (CGFSI); Margin money convergence

Enterprise Eligibility Criteria

SC or ST entrepreneur above 18 years establishing first venture in manufacturing, services, trading, or agri-allied activities.

Business VintageNew & Existing units eligible

Min. Annual TurnoverTurnover proportionate

Processing FeeConcessional processing fee

Prepayment TermsZero prepayment penalty on floating rate loans

How to Apply (3 Verified Paths)

💼Path 1: Current Account Portal

Apply online at standupmitra.in or approach local commercial bank branch.

🌐Path 2: Official FinTech / Govt Portal

🏢Path 3: SME Banking Center Walk-In

Visit nearest bank branch with caste certificate and business plan.

Eligo does not collect business loan applications or financial data. Apply directly on the verified official domain:

Visit Official Portal↗

Documents Required Checklist

Valid SC/ST Certificate, Detailed Project Report, PAN, Aadhaar, Proof of business premises, Quotations for machinery.

Frequently Asked Questions

Is every bank branch required to sanction an SC/ST loan?

Yes, the scheme mandates that every scheduled commercial bank branch must sanction at least one SC or ST borrower and one woman borrower.

Can trading businesses apply under Stand-Up India?

Yes, agriculture-allied activities and commercial trading enterprises are fully eligible alongside manufacturing and services.

What handholding support is available?

Stand-Up Mitra connects borrowers with specialized handholding agencies for DPR preparation, financial literacy, and skill training.

What is the interest rate cap?

The interest rate cannot exceed the bank's base lending rate (MCLR/EBLR) + 3% + applicable tenor premium.