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 in Rent to MSEs" provides financial assistance to Micro and Small Enterprises (MSEs) that have acquired a rented or leased shed for manufacturing activities.
Benefits at a glance
| Scheme name | Scheme for Assistance to Micro, Small and Medium Enterprises (MSME): Assistance in Rent to MSEs (SAMSMEARM) |
|---|---|
| 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 | Not given in the official listing |
| 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
- Financial Support: Reimbursement of 65% of rent paid, up to Rs. 1,00,000/- per annum.
- Long-term Assistance: Available for a maximum period of 5 years.
Who qualifies
- The enterprise must be a Micro or Small Enterprise (MSE).
- The enterprise must be engaged in manufacturing activities.
- The business must have acquired a rented/leased shed for its operations.
- The shed owner must have legal ownership and possession of the property.
- The manufacturing unit must be consuming electricity/power for its activities.
- The assistance will be applicable from the rent deed date or three months prior to production, whichever is later.
Papers to keep ready
- Copy of Udyam/IEM/LOI Registration certificate.
- Copy of the Constitution of the enterprise.
- Supporting documents for SC/ST Enterprise.
- CA certificate for fixed capital investment.
- Copy of Self Certified Share Holding Pattern (If applicable).
- Copy of rent / Leased agreement.
- Copy of Rent Receipt.
- Copy of Lessor’s PAN Card.
- Copy of Property Document/ Copy of Index/Copy of sale deed and Copy of the approved plan for the project from Competent Authority/other approvals.
- Copy of Electricity Bill.
- Undertaking for any assistances from GOG and GOI.
- Copy of PAN Card of Enterprise, Promoters/Directors/Partners, authorized person.
- Copy of GST registration. (if applicable).
- Copy of CA Certified Balance Sheet of the last financial Year/Annual report.
- Copy of Bank Statement reflecting payment of Rent.
- Bank details for RTGS payment (Cancelled cheque).
- Self-Attested documents/ details to be submitted by the Authorized Person.
- Copy of Board Resolution/Consent Letter/Power of Attorney.
- Declaration for rent Agreement is not between Blood relation/ family member.
- Other Documents (if any).
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 |
|---|
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 in Rent to MSEs"?
The component "Assistance in Rent to MSEs" provides financial assistance to Micro and Small Enterprises (MSEs) that have acquired a rented or leased shed for manufacturing activities.
Who can apply for this assistance?
Any Micro or Small Enterprise (MSE) engaged in manufacturing activities and operating from a legally rented or leased shed is eligible to apply.
What percentage of rent is reimbursed under this scheme?
The scheme provides reimbursement of 65% of the rent paid by the enterprise, subject to a maximum limit of Rs. 1,00,000/- per annum.
For how many years can an enterprise receive this assistance?
The assistance is available for a maximum period of 5 years.
When does the rent assistance become applicable?
The assistance is provided from the date of the rent deed or three months before the start of production, whichever is later.
Are enterprises engaged in service or trading activities eligible for this assistance?
No, only manufacturing enterprises are eligible, while service and trading businesses are not covered under the scheme.
Is it mandatory for the manufacturing unit to consume electricity or power?
Yes, the enterprise must be consuming electricity or power as part of its manufacturing activities to qualify for the assistance.
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.
The details on this page are from the official listing and have not been rewritten or reviewed by our team yet. Confirm them on the official portal before applying.
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