Stand Up India Loan: Apply for SC/ST/Women Entrepreneurs (₹10L–₹1Cr)

What is Stand Up India Scheme?

Stand Up India is a Government of India scheme launched on 5 April 2016 to promote entrepreneurship among SC (Scheduled Caste), ST (Scheduled Tribe), and Women entrepreneurs. The scheme provides bank loans between ₹10 lakh and ₹1 crore for setting up a new enterprise in manufacturing, services, trading, or agriculture-allied activities.

Each Scheduled Commercial Bank branch must provide at least one loan to an SC/ST borrower and one loan to a woman borrower for setting up a greenfield enterprise. This ensures wide coverage across the country.

Disclaimer: CitizenNest is an independent informational platform and is not affiliated with any government body. Always verify details on official portals.

Key Highlights

Who is Eligible?

Must meet ALL of these:

• SC or ST entrepreneur (male or female), OR woman entrepreneur (any caste)
• Age: 18 years or above
• New enterprise — Greenfield project (not expansion or modernisation)
• Non-individual enterprises — At least 51% shareholding/controlling stake held by SC/ST/woman
• Should not be a defaulter to any bank/financial institution

Not Eligible

• Existing enterprises
• Enterprises already availing subsidy under other central/state schemes (in some cases)
• Applicants who are defaulters in any bank

Enterprise Types Covered

• Manufacturing — Any manufacturing unit
• Services — Hotels, salons, logistics, IT services, etc.
• Trading — Wholesale and retail trade (added later to the scheme)
• Agriculture-allied — Dairy, fishery, poultry, beekeeping, food processing, etc.

Loan Structure

The Stand Up India loan is a composite loan that covers:

Funding Pattern

The promoter's 10% contribution can be met through subsidies from eligible central/state schemes.

Documents Required

• Identity proof — Aadhaar card, Voter ID, PAN card, Passport
• Address proof — Aadhaar, utility bill, ration card, passport
• Caste certificate — SC/ST certificate from competent authority (for SC/ST applicants)
• Business plan / project report — Detailed plan with financials
• Proof of business address — Rent agreement, property papers, or NOC from owner
• Bank statements — Last 6 months (if existing bank customer)
• Income proof — ITR, salary slips (if applicable)
• Passport-size photographs — 3-4 copies
• Partnership deed / MOA / AOA — For partnership/company applicants
• Quotations for machinery/equipment
• Registration certificates — Udyam, GST, Shop Act (as applicable)

Step-by-Step: How to Apply for Stand Up India Loan

Method 1: Online via Stand Up Mitra Portal

1. Visit https://www.standupmitra.in/
2. Click "Register" — Create a new account with your mobile number and email
3. Login to the portal
4. Click "Apply for Loan"
5. Fill the application form — Personal details, category (SC/ST/Woman), project details, loan amount required
6. Upload documents — Project report, identity proof, caste certificate, etc.
7. Select preferred bank branch — The portal shows nearby bank branches
8. Submit the application
9. The application is forwarded to the selected bank branch
10. Bank contacts you for further documentation and verification
11. Bank processes the loan and sanctions if eligible
12. Loan disbursement as per the bank's standard process

Method 2: Direct Bank Branch Visit

1. Visit any Scheduled Commercial Bank branch (SBI, PNB, BOB, Canara, HDFC, ICICI, etc.)
2. Ask for Stand Up India loan application
3. Submit your project report and documents
4. Bank evaluates the project and conducts due diligence
5. Loan sanction and disbursement

Method 3: Through SIDBI Connect Centres

1. Visit a SIDBI Connect Centre — These are present in many districts
2. Get guidance on preparing project report
3. SIDBI facilitates the bank loan process
4. Handholding support through the entire process

Handholding Support

Stand Up India provides handholding support to applicants through:

• Stand Up Mitra Connect Centres — Run by SIDBI across the country
• SIDBI (Small Industries Development Bank of India) — Acts as facilitator
• DIC (District Industries Centre) — Help with project reports
• NABARD — Support for agri-allied projects
• SHG networks — Through NRLM/DAY for women

The support includes:

• Help in preparing the project report
• Guidance on documentation
• Connecting with the right bank branch
• Post-disbursement mentoring

Interest Rate and Repayment

The interest rate is the lowest applicable rate of the lending bank for that category, not exceeding base rate (MCLR) + 3% + tenor premium.

How to Check Application Status

1. Login to https://www.standupmitra.in/
2. Go to "My Applications"
3. View the current status of your loan application
4. You will also receive SMS/email updates at each stage

Convergence with Other Schemes

Stand Up India allows convergence with other government schemes to meet the promoter's contribution:

• PMEGP — See our PMEGP guide for subsidy details
• MUDRA — For additional working capital
• State government subsidies — Many states offer additional subsidies for SC/ST/women entrepreneurs
• CGTMSE — Credit Guarantee Fund Trust for collateral-free loans

Important Tips

1. Prepare a strong project report — This is the single most important factor. Include market analysis, competition, financial projections, and breakeven analysis
2. Apply through standupmitra.in first — The portal tracks your application and ensures accountability from the bank
3. Don't get discouraged by initial rejection — If one bank rejects, apply to another branch. Each branch has a mandate to approve these loans
4. Get your caste certificate ready — SC/ST certificates take time; apply early from your district administration
5. Explore convergence — Combine Stand Up India with PMEGP or state subsidies to reduce your own contribution to nearly zero

Frequently Asked Questions (FAQs)

1. Is Stand Up India a subsidy scheme?

No. Stand Up India is a loan scheme, not a subsidy scheme. The loan must be repaid to the bank. However, you can use subsidies from other schemes (like PMEGP or state schemes) to meet your 10% promoter contribution.

2. Can a general category woman apply for Stand Up India loan?

Yes. All women — regardless of caste — are eligible for Stand Up India loans. The scheme covers SC entrepreneurs, ST entrepreneurs, and all women entrepreneurs.

3. What is the minimum and maximum loan amount?

The minimum loan is ₹10 lakh and the maximum is ₹1 crore. The loan covers both term loan (machinery, equipment) and working capital.

4. Can I use Stand Up India loan for an existing business?

No. Stand Up India is only for greenfield (new) enterprises. Expansion, modernisation, or diversification of existing units is not covered.

5. Is collateral required for Stand Up India loans?

The scheme allows collateral-free loans through CGTMSE (Credit Guarantee Fund Trust for Micro and Small Enterprises) coverage. Banks are encouraged to use CGTMSE for loans up to ₹2 crore, which eliminates the need for collateral.

6. How long does it take to get the loan?

Typically 2–4 months from application to disbursement, depending on the bank's processing speed, completeness of documents, and project verification.

7. Can I apply for both PMEGP and Stand Up India?

You can use PMEGP subsidy to meet the promoter's contribution for Stand Up India. However, you cannot get two loans for the same project. Discuss convergence options with your bank and DIC.

8. What if the bank refuses my application?

If a bank refuses your loan, escalate through the Stand Up Mitra portal. Each bank branch is mandated to give at least one loan to an SC/ST borrower and one to a woman borrower. You can also approach the Lead District Manager (LDM) or SLBC for resolution.