Features


Entrepreneurial guidance and loan facility to greenfield business endeavours of SC/ST and women entrepreneurs. 

Stand Up India is a scheme that provides bank loans to scheduled caste, scheduled tribe and women borrowers. The loan is provided for setting up greenfield business enterprises in manufacturing, services, trading, and agriculture-allied services. 

This scheme falls under the Department of Financial Services, Ministry of Finance, Government of India. It was launched on April 5, 2016, to promote grassroots-level job creation and entrepreneurship. 

Key features 

The main features of the Stand-Up India scheme are: 

  1. Loans under this scheme can be composite loans consisting of working capital and term loans.  
  2. Loans of ₹10 lakh to ₹1 crore are provided under the scheme. 
  3. The composite loan can be up to 85% of the project cost. This is not applicable if the borrower’s contribution to the project cost exceeds 15%. 
  4. The interest rate charged must be the lowest in the category. It cannot exceed the base rate/MCLR + 3% + tenor premium. 
  5. Based on the bank’s discretion, the loan may be covered under the guarantee of Credit Guarantee Fund Scheme for Stand-Up India loans. 
  6. The repayment term for Stand-Up India loans is seven years, while the maximum allowable moratorium period is 18 months. 
  7. Working capital up to ₹10 lakh is provided by way of an overdraft. Cash credit is provided for a higher amount. 
  8. 15% margin money can be provided under eligible central or state government schemes. The borrower must contribute at least 10% of the project cost. 
  9. Stand Up India Loans are provided by all branches of scheduled commercial banks, with each branch providing loan to at least one SC/ST borrower and at least one woman borrower. 

Why is the Stand Up India scheme important? 

In seven years, the Stand Up India scheme has sanctioned over ₹40,700 crore to more than ₹1.8 lakh accounts. The scheme acts as a facilitator and support to an entrepreneurial ecosystem among SC, ST and women entrepreneurs. It provides hassle-free credit to aspiring entrepreneurs and reaches out to a less-catered segment of the business community. It has helped in job creation and improving the standard of life of entrepreneurs and employees engaged in such greenfield projects. 

Benefits of the Stand-Up India initiative 

Here are some of the benefits that you can enjoy under the Stand-Up India initiative: 

  1. The Stand-Up India scheme caters to entrepreneurs from sections of society which have traditionally been sidelined. 
  2. It offers a substantial portion of the project cost, which eases the pressure on the entrepreneurs. 
  3. Loans under this scheme can be availed online. The scheme’s portal guides entrepreneurs on setting up the business, training, loan application, etc. Link- www.jansamarth.in/apply/hdfc  
  4. For HDFC Bank customers, the applicant gets the assistance of HDFC Bank staff to get onboard the Jan Samarth portal, thus facilitating digital loan application and document submission. 


Eligibility and documentation required for Stand-Up India scheme 
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  • The scheme is available for SC/ST and/or women borrowers. 
  • The applicant must be above 18 years of age. 
  • The scheme applies to greenfield projects only, i.e., the first-time business of the beneficiary in manufacturing, services, trading, or agri-related sectors. 
  • In the case of non-proprietary businesses, at least 51% of the shares and control of the business must be held by SC/ST or women entrepreneur. 
  • The applicant must not have a history of default with any other bank or financial institution.