Launch of TN Credit Guarantee Scheme, offering loans up to Rs 40 lakhs
What is TN Credit Guarantee Scheme | Tamilnadu Credit Guarantee Scheme Online registration, eligibility and benefits, required documents | According to the authorities, the government of Tamil Nadu is taking steps to facilitate the expansion of the micro, small and medium enterprise sector. The government’s objective in establishing programs like these is to foster the growth of local business people and individuals who are interested in starting a new business. The government of Tamil Naidu has introduced a brand new program known as TN Credit Guarantee Scheme.
The plan calls on the government to provide loans to micro, small and medium-sized enterprises (MSMEs) so that they can continue to operate their businesses. Micro, small and medium enterprises would be eligible for loans of up to 40 lakh from this organization. A MSME refers to small businesses that have fewer employees and use less cash to run their operations. Because of this, it may be easier for them to grow. In the following article we will provide you with information about the TN Credit Guarantee Planincluding details such as plan objectives, benefits, required papers, eligibility, etc.
TN Credit Guarantee Scheme
Tamil Nadu Chief Minister MK Stalin launched the Tamilnadu Credit Guarantee Scheme to provide monetary assistance to the state’s micro, small and medium enterprise sector. A budget of Rs. 100 crores for this scheme.
Under this program, ERP systems will be developed to help MSMEs deal with issues of late payment or any other type of interruption by suppliers. In addition, under the TN Credit Guarantee Scheme, three banks can provide the loan to MSMEs in a short period of time (24 hours).
Additionally, the government said it has received more than 10,555 applications, of which 9,212 have been approved. It is a guaranteed loan for micro, small and medium enterprises. Business people who want to invest in their business but do not have the money to do so can apply for a loan under this program. Click to check more details about MSME RAMP program
Tamilnadu Credit Guarantee Scheme objective
This program is designed with the aim of providing loans and other forms of finance to Micro, Small and Medium Enterprises (MSMEs) and was initiated by the Government of Tamil Nadu. Under this scheme, there would be a reduced security deposit requirement for these businesses to get their loan applications approved. The growth of micro, small and medium enterprises will be promoted through this program. This program gives lenders peace of mind in case a micro, small or medium enterprise fails to repay the loan.
Online registration at Tnvelaivaaippu
benefits of TN Credit Guarantee Scheme
Here is a list of the benefits that can be obtained through the use of TNCGS to obtain credit guarantees for financial institutions that provide loans to MSMEs:
- The program will provide unsecured loans to start-up businesses without fear of default.
- The TN Credit Guarantee Program will contribute to the development of micro, small and medium enterprises; assist in the development of micro, small and medium-sized enterprises
- TN Credit Guarantee Scheme will help develop MSMEs
- Encourage the growth of micro, small and medium industries by making available 90% guaranteed loans for small businesses for amounts up to 40 lakh. Additionally, qualified borrowers would get an 80% guarantee on loans over Rs 40 lakh but less than Rs 2 crore.
- The program will help new small business owners to start their business without feeling threatened, with the aim of developing the MSME sector through the provision of financial assistance.
TN Credit Guarantee Scheme Eligibility
Eligibility points are listed below:
- Citizens of Tamilnadu
- Must belong to the MSME sector to receive program benefits.
- Must not be a government employee.
TN and Sevai portal
TN Credit Guarantee Program Registration
The TN Credit Guarantee Program is a recently launched program, and its official website for registering to participate in the program has not yet been made public. You can count on us to provide you with information as soon as a notice is available.