The scheme aims at providing existing units with upgradation assistance regarding expansion, whereas financial assistance to the well set-up performing units. Furthermore, the scheme will also facilitate entrepreneurs towards automations and new technology modernization in the present unit.
Maximum subsidy allowance would be 15% of the total project cost (and 20% for Hill States and NER). The financing banks will provide the term loans as the balance amounts of the total project cost.
SCHEME APPLICABLE FOR
Existing and well accomplished PMEGP/MUDRA units.
Financial assistance schemes will enable the present PMEGP/MUDRA units towards upgradations and expansions for Service/ Trading units from the year 2018-19.
Maximum cost of projects for upgradation under Service/Trading sector INR 25.00 lakh and INR 1.00 crore for the manufacturing sector.
Maximum subsidy is 15% of the project and 20% of the Hills states and NER i.e. INR 15.00 lakh for Non-NER and INR 20.00 Lakh for Hill states and NER.
Present units which have been financed under PMEGP/MUDRA Scheme whose margin money claims have been addressed and first loan availed has been repaid in stated time also qualify for these benefits.
The units require to have a record of profits for the last three years.
The beneficiaries are open to apply to the same financing bank that sanctioned the unit loan or to any other financing bank, whichever is facilitating credit for second loan.
The beneficiaries are open to opt for any implementing agency, even if different from the existing agency for the first loan.
Udyog Aadhar Memorandum (UAM) registration is compulsory.
The 2nd loan should further give growth to opportunities and employment generation.
The beneficiaries have to apply by filling application form on PMEGP e-Portal to submit the application under 2nd loan for up-gradation.