Rajasthan Laghu Udyog Protsahan Yojana: Bhilwara woman obtains Rs 4.95 crore loan
The woman, Baby Banu Mansoori, is the proud owner of The Baby Hotel Bhilwara.
JAIPUR: Mukhyamantri Laghu Udyog Protsahan Yojana (MLUPY) is proving a boon for many aspiring entrepreneurs. The scheme helped a woman from Bhilwara fulfil her dream of running her own hotel. She secured a loan of Rs 4.95 crore under the scheme and now employs 37 people to run her hotel.
The woman, Baby Banu Mansoori, is the proud owner of The Baby Hotel Bhilwara. She said that she wanted to be her own boss by setting up a business. Due to her background, she wanted to build a hotel but needed a huge amount of capital for this. She approached banks for a loan, but the interest rates were so high, she realized it wouldn’t be financially feasible.
That’s when someone told her about the Chief Minister’s Small Industries Promotion Scheme. She prepared a business plan and contacted District Industries and Commerce Centre, Bhilwara. The officials there explained to her the benefits of the scheme. Due to all the subsidies and favourable interest rates, she decided to build the hotel. She secured a loan of Rs 4.95 crore under the scheme.
Baby Banu said that the grant received from the state government helped her fulfil her dream of becoming a hotelier. She provides employment to 37 other people along with her. She says that she is also getting the subsidy on the interest paid on the loan on time.
Baby Banu says, ‘I am happy that I have been able to establish my enterprise through the state government’s scheme. I hope that like me other unemployed people will also become entrepreneurs by taking advantage of government schemes and making life successful.
What is Rajasthan Laghu Udyog Protsahan Yojana?
The scheme aims at helping entrepreneurs in the state get subsidized loans through financial institutions. By helping these entrepreneurs, the state government is encouraging the establishment of enterprises. This also creates employment opportunities. Both new and already established enterprises can apply for subsidized loans from nationalized commercial banks, private sector scheduled commercial banks, scheduled small finance banks, regional rural banks, Rajasthan financial corporations, SIDBI and urban cooperative banks.
Who is eligible for MLUPY?
- Not only registered private limited and limited liability companies, but also proprietors of individual firms, societies and self-help groups can apply for this loan. From setting up enterprises to expansion, diversification, and modernization, financial assistance is provided for a variety of operations.
- The minimum age of the applicant is 18 years.
How much loan can you get under MLUPY?
- While setting up a new enterprise, an entrepreneur can apply for a loan of up to Rs 10 crore. For already established enterprises, the maximum loan amount is Rs 1 crore. The applicant doesn’t need to furnish any collateral for a loan up to Rs 10 lakh.
- The interest rate is 8% on a loan of up to Rs 25 lakh, 6% on a loan of up to Rs 5 crore, 5% on up to Rs 10 crore.
- The subsidized interest rate will be available for five years.
- The applications are accepted online.
How to apply online for MLUPY?
Applying for the scheme is easy. The applicant can use the SSO ID and find the application form under the MLUPY icon in the Citizen App there.
Here are a few things the applicant must keep in mind when applying online for Rajasthan Laghu Udyog Protsahan Yojana:
- If you are applying for a loan of more than Rs 10 lakh, you will need to appear in an interview. The application will be scrutinized by the District Level Task Force Committee. Only after the committee’s approval, the application will be forwarded to the bank or financial institution.
- There is no need for an interview for a loan up to Rs 10 lakh.