Stand Up India Scheme — How to Apply, Eligibility & Benefits

Stand Up India is a Government of India scheme that facilitates bank loans between ₹10 lakh and ₹1 crore to at least one Scheduled Caste (SC) or Scheduled Tribe (ST) borrower and at least one woman borrower per bank branch for setting up a greenfield enterprise. Launched in April 2016 and anchored by the Department of Financial Services (Ministry of Finance), the scheme promotes entrepreneurship among SC, ST and women communities.

What is Stand Up India?

The scheme mandates that every bank branch in India must provide at least two such loans — one to an SC/ST entrepreneur and one to a woman entrepreneur — for starting a new business in manufacturing, services, trading or agriculture-allied activities. SIDBI (Small Industries Development Bank of India) operates the Stand Up Mitra portal as the scheme's facilitation platform.

Who is Eligible?

• SC/ST individuals or women (of any caste) aged 18 years and above
• Must be a first-time entrepreneur (not previously taken a loan for a business)
• The enterprise must be a greenfield project (new venture, not expansion of existing)
• In case of a non-individual enterprise (partnership/company), at least 51% shareholding must be held by an SC/ST or woman entrepreneur
• Must not be a defaulter with any bank or financial institution
• Loan amount: ₹10 lakh to ₹1 crore (composite loan including term loan + working capital)

Benefits of Stand Up India

Documents Required

• Aadhaar card and PAN card
• Caste certificate (SC/ST category) — issued by competent authority
• Identity proof for women applicants
• Address proof (Aadhaar/Voter ID/passport)
• Business plan/project report
• Passport-size photographs
• Bank account statements (last 6 months)
• IT returns (last 2 years, if applicable)
• Quotations for machinery and equipment
• Premises documents (rent agreement/ownership proof)
• Partnership deed/MOA/AOA (for non-individual enterprises)
• Certificate of registration of business (if already registered)

Step-by-Step Application Process

Online (via Stand Up Mitra Portal)

1. Visit the Stand Up Mitra portal at standupmitra.in
2. Click on "Register" and select "Borrower"
3. Fill your registration details — name, mobile, email, Aadhaar, category (SC/ST/Woman)
4. Complete your profile with business details, project cost and location
5. Upload the required documents and project report
6. Submit your application
7. The portal connects you with a Lead District Manager (LDM) or a bank branch
8. Visit the bank with original documents for verification
9. Bank evaluates your project report and creditworthiness
10. Loan sanction — bank issues a sanction letter
11. Loan disbursement in stages — typically term loan first, then working capital
12. Commence your business operations

Direct Bank Approach

1. Visit any Scheduled Commercial Bank branch near you
2. Inform the branch manager about your intent to apply under Stand Up India
3. Submit your project report and documents
4. Bank processes the application as per Stand Up India guidelines
5. Loan sanctioned within the prescribed timeline

Fees

There is no application fee or processing charge specifically mandated under the scheme. However, banks may levy standard loan processing charges as per their norms.

Processing Time

• Application processing: 30–60 days from submission
• Loan sanction: Within 15–30 days of complete documentation
• Disbursement: Within 15 days of sanction (in stages)

Important Tips

1. Prepare a strong project report — clearly outline the business model, revenue projections and break-even timeline
2. The 25% margin money can be arranged through convergence with other subsidy schemes like PMEGP or state-level schemes
3. If a bank refuses, you can escalate through the Stand Up Mitra portal's grievance mechanism or approach SIDBI
4. Each bank branch must give at least 2 Stand Up India loans — use this mandate to your advantage
5. Trading activities are also covered — not just manufacturing and services

Frequently Asked Questions

Can a general category woman apply for Stand Up India?

Yes. All women regardless of caste/category are eligible for Stand Up India loans. The scheme targets SC/ST borrowers AND women borrowers separately.

Can I apply for Stand Up India if I have an existing business?

No. Stand Up India is for greenfield (new) enterprises only. If you already have a business and need expansion funds, explore other schemes like PMEGP 2nd loan or MUDRA.

Is collateral required for Stand Up India loans?

No collateral or third-party guarantee is required. The loan is covered under the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) scheme.

What types of businesses are covered?

Manufacturing, services and trading sectors are all covered. Agriculture-allied activities (like food processing, agri-clinics, fisheries) are also eligible. However, pure agricultural activities (farming) are not covered.

Can two people from the same family apply?

The scheme allows one SC/ST borrower and one woman borrower per bank branch. Two people from the same family can theoretically apply at different branches, but each must be a first-time entrepreneur with a separate greenfield project.

What is the interest rate on Stand Up India loans?

The interest rate is the base rate or MCLR of the lending bank, which is the lowest rate offered by the bank. This is typically lower than standard business loan rates.

This guide is for informational purposes only and is not affiliated with any government body. Visit standupmitra.in for official details.