Industrial Enterprise Development Institute (IEDI) has opened submissions for this year’s ‘Startup Enterprise Loan’ scheme. Announced on 27 August, the deadline for the scheme closes within 21 days of the announcement, says the institute.
| What is a startup enterprise?
A “startup enterprise” refers to a business that emphasises innovation and creativity across its development, production, operations, and distribution of goods, services, and processes. It operates with growth potential and seeks to advance through new research and inventive approaches. Additionally, it often leverages information technology to enhance its offerings and processes. |
The approved projects can get a loan facility ranging from NRs 500,000 to a maximum of NRs 2.5 million at 3% interest rate for a tenure of up to 5 years, where their project will serve as collateral (No fixed assets collateral required).
Some of the eligibility criteria include:
- Firms registered for no more than 10 years
- The annual turnover must not exceed NRs 150 million rupees in any fiscal year after the establishment
- Private firms, partnership firms, and companies or co-operatives should be registered within the industrial registration bodies.
- Applicant firms must be of new business enterprises without any merger with other companies or organisations.
- Firms should be based on new ideas with innovation which must demonstrate the growth potential in the business.
Last fiscal year, the government disbursed over NRs 170 million concessional loans to 165 projects out of the 183 selected projects for the 2023/24 ‘Startup Enterprise Loan’ program.
If you are a startup enterprise eager for funding, you can apply online or offline.
