Objective and Scope:

Provide financial assistance to start-ups recognized by DPIIT

Foster innovation, entrepreneurship, employment, and inclusive socio-economic growth

Scheme applicable pan-India

Eligibility:

Start-ups working on innovation, development, or scalable business models

Entity types: Private Ltd Co., LLP, Partnership recognized under Start-Up India

Should be registered with DPIIT/GOI, valid up to 10 years from incorporation

Promoters' minimum CIBIL score: 700 (some exceptions allowed)

Start-up should not be a split/reconstruction of an existing business

Not for speculative/real estate purposes

Nature of Facilities:

Term Loan and Working Capital (Cash Credit/Non-Fund Based)

Quantum of Finance

Minimum: ₹10 lakh

Maximum: ₹20 crore (fund + non-fund based combined)

Credit guarantee cover available under CGSS by NCGTC

Margin:

Working Capital: 25%

Term Loan: 25%

Venture Capital / Angel Funds invested may be treated as margin/equity

Tenure:

WC: On demand, subject to review

Term Loan: up to 7 years (moratorium max 1 year)

Security

Term Loan: Hypothecation/Mortgage of Assets created out of the Bank finance

Working Capital: Hypothecation of Stocks/Book Debts/Receivables etc

Charge on intellectual Property rights (if financed by the Bank)

Right/Lien on all products /Patents/Copyrights and results created out of Bank Finance

Credit Guarantee Scheme:

Coverage of 85% of default amount up to ₹10 crore and 75% of default amount for exposures above ₹10 crore (max ₹20 crore)

Annual Guarantee Fee: 1–2% depending on category

Other Key Conditions:

Start-up status valid up to 10 years from incorporation or until turnover exceeds ₹100 crore

Funds cannot be used for speculative purposes

One-Time Settlement (OTS) allowed after 1 year of NPA at 20% haircut

Additional Benefits:

50% concession on applicable Processing charges

25 BPS concession in interest rates to women beneficiary and young entrepreneurs