About this business scheme
The "Scheme for Assistance to Micro, Small and Medium Enterprises (MSME)" launched by the Industries and Mines Department aims to position Gujarat as a global business hub, promoting sustainable manufacturing, MSME growth, and export competitiveness.
The scheme "Scheme for Assistance to Micro, Small and Medium Enterprises (MSME)" is an umbrella scheme launched by the Industries and Mines Department, Gujarat. It aims to empower the state's dynamic MSME sector, which significantly contributes to employment, GDP, and exports. Effective from August 7th, 2020 to August 6th, 2025, this initiative supports entrepreneurs and strengthens MSMEs, making them globally competitive.
The component "Assistance for Reimbursement of CGTMSE Fees" provides financial assistance for the implementation of Information and Communication Technology (ICT) infrastructure. The support covers equipment required for communication, networking, and cloud computing.
Benefits at a glance
| Scheme name | Scheme for Assistance to Micro, Small and Medium Enterprises (MSME): Assistance for Reimbursement of CGTMSE Fees (SAMSMECGT) |
|---|---|
| Launched by | Industries and Mines Department |
| Launch year | 2020 |
| Benefit type | Cash (money paid to your bank account) |
| Category | Business |
| Level / State | State · Gujarat |
| Official portal | ifp.gujarat.gov.in (link at the end of this page) |
Key facts
| Scheme for | Infra |
|---|---|
| Application mode | Online |
| Last date | 06 Aug 2025 |
| DBT (direct bank transfer) | No |
| Age | 18 to 60 years |
Who can apply (quick check)
- 👤All genders
- 🎂Age 18 to 60 years
- 📝Online
Quick check from official data. Full conditions are in the Eligibility section.
What you receive
Collateral-Free Loans:
- Government of India has instructed financial institutions to sanction collateral-free loans up to Rs. 2,00,00,000/-.
Support for MSEs:
- Assistance is provided to Micro and Small Enterprises (MSEs) under this scheme.
- Service fees charged by banks/financial institutions are eligible for reimbursement.
Annual Service Fees:
- 1st Year: 1.8% + Risk Premium.
- 2nd Year Onwards: 0.85% or as amended by CGTMSE/RBI.
Reimbursement Assistance:
- 100% reimbursement of the annual service fees paid by entrepreneurs for up to 5 years.
Who qualifies
- The firm must be a Micro/Small/Medium enterprise.
- The enterprise must have availed of a collateral-free term loan under CGTMSE.
- The application must be submitted within within one year from the date of first disbursement of Term loan, or on or before the date of commencement of commercial production, whichever is later.
Who is not eligible
- Enterprises engaged in service or trading activities are not eligible.
- Enterprises that have not availed of CGTMSE-backed loans are not eligible.
Papers to keep ready
- Printed copy of the application along with declaration and undertaking in the application form signed by an authorized person, including their designation and name with the enterprise's stamp.
- Copy of acknowledgment of Udyog Aadhaar / Udyam Registration.
- Copy of term loan sanction letter.
- Copy of term loan account statement / bank certification of first disbursement certificate.
- Copy of the constitution of the enterprise (registered partnership deed for partnerships).
- Copy of DPR of the enterprise (for projects up to Rs. 5 crores); for projects above Rs. 5 crores, DIC will ask for a bank appraisal report.
- Shop & Establishment Certificate (for service sector enterprises in municipal corporations).
- Copy of GST registration (if applicable).
- Copy of PAN card of the enterprise.
- Copy of ITR for the last financial year showing plant & machinery value (new enterprises must submit a self-declaration for the first time).
- Copy of birth certificate/school leaving certificate (for entrepreneurs under 35 years as of the bank loan sanction date).
- Copy of caste certificate from a competent authority.
- Copy of certificate for differently abled persons from a competent authority.
- Copy of CTE issued by the GPCB (if applicable).
- Self-certified/certified copy of documents such as 7/12 Utara, Namuna 6, copy of index, property card, etc. (any one).
- NA permission (if applicable).
- Copy of notarized rent deed (agreement) with the owner's proof/affidavit for ownership of land/property.
- Copy of lease deed (agreement) with the owner's proof of ownership of land/property.
- Copy of the property tax receipt (for service activities).
- Board resolution for signing authority (in case of partnerships, LLPs, Pvt. Ltd., or Limited Companies).
- Declaration and undertaking regarding other investments in Gujarat.
- Annexure of the balance sheet showing the gross fixed capital investment of the previous financial year.
- CA certificate showing the gross fixed capital investment before initiating expansion/diversification/forward or backward integration.
Registration walkthrough
Online
Registration Process:
Step-1: Visit the Investor Facilitation Portal (IFP) portal. Click on "New Investor Registration" to access the registration form.
Step-2: Fill in the Registration Form. Click on "Submit".
Step-3: Verify the E-mail ID using the link sent on your registered E-mail ID.
Step-4: After verification, you will be registered successfully.
Post-Registration Process:
Step-1: Visit the Investor Facilitation Portal (IFP) portal. Click on "Login".
Step-2: Enter the email address and password you used during registration.
Step-3: Click the "Login" button to access your account.
Step-4: Now fill in the required details and mandatory documents about your business to complete the application process.
Helpdesk: Contact Here.
Important dates
| Launch / start | 07 Aug 2020 |
|---|---|
| Last date | 06 Aug 2025 Closed |
Terms used in this scheme
- Micro, Small and Medium Enterprise
An Enterprise which satisfies the conditions of Micro, Small and Medium Enterprises as per the definition under the MSME Development Act, 2006 and subsequently amended from time to time by Government of India and has obtained acknowledgement of “Udyog Aadhaar Memorandum / Udyam Registration.
- New Enterprise
New Enterprise means MSME, which has filled Udyog Aadhar / Udyam Registration as prescribed by the Government of India and commences commercial production during the operative period of the scheme.
- Existing Enterprise
An Existing Enterprise means MSME which has commenced commercial production before the date of announcement of the scheme.
- Expansion
Expansion means where an existing/New Enterprise increases its investment in gross fixed capital by at least 50% (out of which at least 60% of investment is made in plant and machinery for which expansion is carried out) of its existing gross fixed capital investment on the date of initiating expansion and compared with the date of commencing production during the operative period of the scheme.
- Gross Fixed Capital Investment (GFCI)
Gross Fixed Capital Investment means the investment made in building, plant and machinery, utilities, tools and equipment, and other assets (excluding Land) to manufacture the end product.
- Forward integration, Backward Integration and Diversification
- Forward Integration: An Investment made in GFCI for the product which is raw material of the enterprise will be termed as backward integration.
- Backward Integration: An Investment made in GECI for the further value addition in the end product of the enterprise will be termed as forward integration.
- Diversification: An investment made in GFCI for the product other than the end product of the enterprise will be termed as diversification.
- Term Loan
Term loan means loan sanctioned by the financial institution / Bank (Except NBFC) for the acquisition of GFCI of the enterprise. However, only the amount actually disbursed against the sanctioned will be considered for the incentives under the scheme.
- Pipeline Enterprises
The Enterprises which have obtained first disbursement of term loan as effective step and could not start commercial production on or before 07/08/2020, shall be considered eligible as pipeline enterprise for incentive under previous scheme. Such enterprise should commence commercial production on or before 31/03/2021.However the enterprise which has obtained first disbursement on or before 07/08/2020 may opt for new scheme. Term Loan disbursement made during the policy period will be eligible for the enterprise which has opted for this scheme.
Frequently asked questions
What is the "Scheme for Assistance to Micro, Small and Medium Enterprises (MSME)"?
The "Scheme for Assistance to Micro, Small and Medium Enterprises (MSME)" aims to position Gujarat as a global business destination by promoting sustainable manufacturing, inclusive development, and balanced regional growth.
What is the duration of the scheme?
The scheme is effective from August 7, 2020, and will remain in operation until August 6, 2025.
What is the objective of the component "Assistance for Reimbursement of CGTMSE Fees"?
The component provides financial support to Micro and Small Enterprises (MSEs) by reimbursing the annual service fees charged on collateral-free loans availed under the CGTMSE scheme.
Who is eligible to apply for this reimbursement?
Any Micro or Small Enterprise (MSE) that has availed of a collateral-free term loan under CGTMSE and meets the application criteria is eligible to apply.
How much reimbursement can an entrepreneur receive?
An entrepreneur can receive a 100% reimbursement of the annual service fees paid to the bank or financial institution for up to five years.
What is the service fee structure for CGTMSE loans?
In the 1st year, the service fee is 1.8% + Risk Premium, and from the 2nd year onwards, it is 0.85% or as revised by CGTMSE or RBI.
How long is the reimbursement assistance available?
The reimbursement assistance is available for a maximum period of five years.
Are service-based businesses eligible for this reimbursement?
No, service and trading activities are not eligible for this scheme. Only manufacturing and production-based enterprises can apply.
Can an entrepreneur apply if they have taken a secured loan?
No, this scheme is only applicable to collateral-free term loans sanctioned under CGTMSE.
Submit your application yourself on the official portal; it costs nothing. Treat anyone demanding money to "get you approved" as a scam.
- Guidelines ic.gujarat.gov.in (PDF)
- Online Application Portal ifp.gujarat.gov.in
tsmpb.in is not affiliated with any government department. Apply only on the official portal and never pay anyone for an application.
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