Government schemes for SC / ST entrepreneurs.
Reserved-category programmes for Scheduled Caste and Scheduled Tribe entrepreneurs — composite loans, equity funds, expanded term-loan windows, and special-category subsidies stacked on top of standard schemes.
Two flagship programmes
Stand-Up India mandates every Scheduled Commercial Bank branch to fund at least one SC / ST borrower for a composite loan of ₹10 L – ₹1 Cr for greenfield enterprises. 7-year tenure, 18-month moratorium.
The Venture Capital Fund for SC / ST Entrepreneurs, managed by IFCI Venture, has a ₹500 Cr corpus for equity / debt investments in SC / ST-led entities. It was recently expanded with a ₹2,000 Cr term loan window for first-time SC / ST women entrepreneurs.
Stacking with PMEGP and MUDRA
PMEGP margin-money subsidy for SC / ST applicants is 25% (urban) / 35% (rural), compared to 15% / 25% for general category — a meaningful uplift on a ₹50 L manufacturing project. MUDRA loans, while not reservation-based, are widely used by SC / ST entrepreneurs for working capital under Shishu / Kishore / Tarun tiers.
Schemes that apply
8 schemes
MUDRA — Pradhan Mantri MUDRA Yojana
Collateral-free working-capital ladder. 4 tiers from Shishu (≤₹50K) to Tarun Plus (₹10-20L). 8-12% p.a., 0.25% concession for women. ~67% of loans go to women.
Stand-Up India
Composite loan ₹10 L–₹1 Cr for SC/ST and women first-time entrepreneurs. Each SCB branch mandated to fund at least one SC/ST and one woman borrower. 7-yr tenure, 18-mo moratorium.
PMEGP — PM's Employment Generation Programme
New-unit setup loan with 15-35% margin money subsidy. Special category (women, SC/ST, OBC, NER, hilly) gets 25% urban / 35% rural. Works for shops, manufacturing, services.
Udyam Registration
Free, online MSME credential. De facto mandatory for accessing CGTMSE, PMEGP, public procurement, delayed-payment protection. File alongside DPIIT.
CGTMSE — Credit Guarantee Trust
Collateral-free loan guarantee up to ₹10 Cr. AGF as low as 0.37% p.a. Cover 75-85% of bank's loss. Retail and services now eligible.
ZED Certification
Quality certification for MSMEs with subsidized fees. Useful for manufacturing exports and government procurement positioning.
Kerala Startup Mission (KSUM)
Tiered grants: idea (₹3-5 L), MVP (₹5-7 L), market acceleration (₹10-15 L). Virtual incubation. NRI-friendly.
VC Fund for SC/ST Entrepreneurs
IFCI Venture-managed ₹500 Cr corpus, expanded with ₹2,000 Cr term loan window for first-time SC/ST women entrepreneurs.
Frequently asked questions
What is the maximum loan amount under Stand-Up India for SC / ST entrepreneurs?+
A composite loan (term loan + working capital) of ₹10 lakh to ₹1 crore for greenfield enterprises in manufacturing, services, or trading. The scheme mandates every SCB branch to fund at least one SC / ST and one woman borrower.
What is the VC Fund for SC / ST Entrepreneurs?+
A ₹500 Cr corpus managed by IFCI Venture, providing equity and debt to SC / ST-led entities. The window has been expanded with an additional ₹2,000 Cr term loan facility specifically for first-time SC / ST women entrepreneurs.
How much is the PMEGP subsidy for SC / ST applicants?+
Margin-money subsidy of 25% in urban areas and 35% in rural areas — versus 15% / 25% for general category. Applies to loans up to ₹50 L (manufacturing) or ₹20 L (services).
What documents are needed to claim SC / ST benefits?+
A valid caste certificate from the competent authority of your state, alongside standard KYC and business documents. Banks and scheme administrators verify caste certificates directly with issuing authorities, so use the original / e-District issued version.