6 ways to get Start-up loan from Government


The government of any country promotes small scale industry set-ups and start-ups, as the revenue generated by them would be counted in the country’s GDP which would, in turn, benefit the government as well, and they help these by giving them start-up loan.

An added benefit that the government has in the expansion of these start-ups is the overall increase in the consumption and saving rates.

It has a bit of economic perspective attached to it but what all you need to know is that in all the ways possible it is going to benefit the government.

So why would the government ignore anything that works in its own favour? Here are some of the schemes that the government has come up with in order to lend the start-up loan:



Mudra yojana

This is the loan that is provided to the micro-business enterprises. The Micro-unit Development and Refinance Agency were set up with the sole object to provide easy and affordable funds in the form of loans to new business start-ups.

This start-up loan is a three-tier setup that provides loans according to the need and requirements of the people. The first category is the Shishu loan then comes the Kishore and last is the Tarun loan scheme, providing loans up to 50,000 Rs. , 5,00,000Rs., and 10,00,000Rs. respectively.

Any startup can easily secure a loan by visiting the nearest commercial, corporate, or government bank. There is a simple and quick procedure all you need to have are some valid and legal documents.

NSIC Subsidy

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The National Small Industry Corporation Subsidy is another such organisation that was formed to provide easy credit. This one is a bit different from all the others as it is a step ahead.


Under this scheme, you can take loans under two category for buying raw material or for marketing support. All types of raw materials are covered under the scheme whether it be imported or exported.

You  may like reading Five strategies that will help grow your start ups



This is the most popular that gives loans to the Medium, Small and micro enterprises. The scheme was launched in 2018 and with the perspective of providing loans up to 1 cr.

Though the whole procedure takes nearly a week or so it is said to be the 59 minutes MSME loan facility as the instant procedure in which you are required to be present physically is of only 59 minutes. After that, the documents are processed further which is time-consuming but that is a different story.

To secure this start-up loan in addition to all the legal documents you are also supposed to have a GST number, you are also required to show your bank statement.


Stand up India Loan

Stand up india

This scheme was initiated as a social step for the upliftment of the scheduled caste and tribe in a corporate and competitive world. Though this scheme SC/ST are easily able to raise any amount ranging between 10 lakh and 1 cr.

If you are having a start-up in some partnership with a person who fulfils the criteria then you can also opt for this one.

Get inspired by the awe-inspiring story of Nineleaps

Make In India Soft Loan

Make in India

This one was sponsored by SIDBI and offers a large amount loan with a minimum value of 25 lakhs. There is no specified upper ceiling though. These are the start-up loan that covers your startup even if it is in its running stage. Click here to know more

If you are planning for some further expansion project and are in need of some money then the government is ready to sponsor you as well.


CGS Loans

The credit guarantee scheme was also launched to provide loans to the MSME’s. So like the MSME loan scheme it also covers the same sector and loan is also provided on the basis of the enterprise that you are planning to work in.

In simple terms, the amount of start-up loan would vary and increase with the micro, small or medium enterprise.

How to apply for a government loan?

Start-up loan

Applying for a start-up loan has became very easy these days with everything being online it’s just about one click.

Things to keep in mind:

  • Check whether you are eligible for securing the start-up loan not.
  • Have the necessary document and keep them updated.
  • Select the scheme according to the type of loan and start-up you are planning to start.
  • Checking the age is also an important criterion there are some schemes that require a minimum age limit.

How to fill the form:

  • Go on the government website and check for the option from where you can apply for the start-up loan
  • Simply visit the website of the bank and start to apply for the start-up loan
  • It would ask you to fill some easy form with your personal details
  • Then you would be required to upload some related documents.


So this was all about the latest government schemes on which you can rely upon and climb the ladder of success.

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sanskriti gupta | GENUINE MATTERS
Sanskriti Gupta
Like researching, reading and dwelling deep in the topic to bring out the best of any subject matter, because Being opinionated is important and appreciated only if you have the appropriate and right amount of knowledge and facts to back up your material with.

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