Credit Guarantee Trust Fund for Micro & Small Enterprises (CGT SME)
As we known that the financing is the pain area for the msme or start-up units so it is very important to facilitate them for loan facility without collateral security however government has initiated the CGT SME loan facilities.
We will understand following questions?
What is CGT SME?
It is called Credit Guarantee Trust Fund for Micro & Small Enterprises (CGT SME)
Ministry of Micro, Small and Medium Enterprises and Small Industries Development Bank of India (SIDBI) jointly established a Trust named Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) in order to implement Credit Guarantee Scheme for Micro and Small Enterprises.
The corpus of CGTMSE is contributed by Government of India and SIDBI. 75% of the loan amount to the bank is guaranteed by the Trust Fund.
What is the Nature of assistance?
Collateral free loan up to a limit of ₹ 100 lakh is available for individual MSE on payment of guarantee fee to bank by the MSE.
Who can apply?
Both existing and new enterprises are eligible under the scheme.
How to apply?
Candidates meeting the eligibility criteria may approach banks / financial institutions, and select Regional Rural Banks which are eligible under the scheme. Web links are www.dcmsme.gov.in/schemes/sccrguarn.htm
Whom to contact?
1) CEO, CGT SME
2) JDC, O/o DC, MSME
Email : deepak[dot]rao[at]nic[dot]in
Contact to writer:
CA. Rajeev Ranjan Shrivastava
(GST & MSME Consultant)