Scheme for margin money grant to Nano Units

 Objectives

To promote/incentivize deserving entrepreneurs in setting up nano enterprises within the state through margin money grant for loan linked projects.

Eligibility

All new Nano proprietary enterprises in manufacturing / food processing and job works and units engaged in service sector having any type of value addition, whose project cost including fixed capital and working capital up to 10 lakhs are eligible for the assistance under the scheme. Preference is given to special categories such as women, handicapped persons, ex servicemen and persons belonging to SC/ST.Youth entrepreneurs up to the age of 40 are also given priority under the scheme.30% of the beneficiaries under the scheme shall be women entrepreneurs.

Financial assistance

Maximum limit of margin money grant under the scheme shall be Rs 4 lakhs per unit as follows.

a.     Loan given by financial institution/KFC/Co-operative bank: Minimum 40 % of the project cost

b.     Promoter’s contribution: Minimum 30 % of the project cost

c.     Margin money grand by Industries dept: 30 % of the project cost limited to a maximum of 3 lakhs

d.     In case of special categories MMG will be 40 % of the project cost limited to a maximum of 4 lakhs and promoter’s contribution shall be 20%.

Procedure

a.     Application shall be submitted to the Assistant District industries officer,Taluk Industries Office concerned with all supporting documents including the sanction letter with recommendation from the bank.

b.     Copy of pass book showing the details of beneficiary contribution remitted to be submitted along with application.

Sanctioning Authority

General Manager, District Industries Centre is the sanctioning authority.

For Application Form

http://industry.kerala.gov.in/images/Schemes/Nano-Grant-Application-Form.pdf