Features Of Prime Minister’s Youth Business Loan Scheme.
Features of Prime Minister’s Youth Business Loan scheme.
PRIME MINISTER’S YOUTH BUSINESS LOAN SCHEME:
Purpose of Scheme:
To provide small business loans in shape of Term loan focus on (but will not restricted to)
unemployed youth, especially educated youth looking for establishing or extending business
Females age between 21 to 45 year having ability to start their own business or intend to
expand the existing business. Applicant should have some experience of relevant field or holds
a business related diploma/certificate pertaining trade of proposed business setup.
Maximum 7 years. The tenor will depend upon the nature of business, pattern of income and
Minimum Finance Limit : Rs. 500,000/-
Maximum Finance Limit : Rs. 2,000,000/-
Processing time will not exceed 15 working days after submission off complete basic documents
by the applicant.
10% of the loan amount
From Rs. 500,000/- to Rs 749,999/- will be secured against Hypothecation of stocks/Assets &
two personal guarantees of high net/credit worthy individuals including one of government
servants minimum in BPS 17.
From Rs. 750,000/= up-to Rs 2,000,000/= will be secured against tangible securities such as Lien
on deposit certificates, property mortgage, pledge of gold ornaments, Pledge of stocks.
Repayment of Loan:
Equal monthly installments with grace period of 6 months for principal payment
Sector and Products
All sectors. Borrowers will be encouraged to obtain standardized
schemes/projects/undertakings from SMEDA or any other body but this will not be mandatory
for the borrower .
Prime Minister’s Youth Business Loan Scheme Support