Aatmanirbhar Gujarat Scheme for assistance to MSMEs: Rehabilitation of Sick Enterprise

Description
The "Aatmanirbhar Gujarat Scheme for MSMEs" is an umbrella scheme launched by the Industries and Mines Department, Gujarat. It aims to empower the state& 39;s dynamic MSME sector, which significantly contributes to employment, GDP, and exports. Effective from October 5, 2022, to October 4, 2027, this initiative supports growth, investments, and the vision of "Aatmanirbhar Gujarat" and "Aatmanirbhar Bharat." The component "Rehabilitation of Sick Enterprise" scheme supports MSME sick industrial enterprises that meet RBI& 39;s criteria for sickness by reimbursing part of the costs for preparing a diagnostic report and rehabilitation plan.

Exclusions
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Definitions
New Enterprise
(Source: https://msmec.gujarat.gov.in/uploads/homepagescroll/GR09082023.pdf)

Existing Enterprise
(Source: https://msmec.gujarat.gov.in/uploads/homepagescroll/GR09082023.pdf)

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) required for manufacturing the end product/ rendering of services. Assets acquired and paid for during the eligible investment period of the project under this scheme shall be considered for determining the gross fixed capital investment.
(Source: https://msmec.gujarat.gov.in/uploads/homepagescroll/GR09082023.pdf)

Eligible Fixed Capital Investment (EFCI)
(Source: https://msmec.gujarat.gov.in/uploads/homepagescroll/GR09082023.pdf)

Benefits
• &gt; **Cost Reimbursement:**
• **Reimbursement:** 50% of the cost for preparing the Draft Rehabilitation Scheme. - **Financial Assistance:** ₹1,00,000/- during the scheme&amp;#39;s operative period.
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Eligibility Criteria
1. The firm must be a Micro/Small/Medium enterprise.
2. The enterprise must have obtained acknowledgment or registration from the Ministry of MSME or the Department for Promotion of Industry and Internal Trade (DPIIT), as applicable.
3. The enterprise must be a new manufacturing enterprises or existing enterprises undertaking expansion or diversification.
4. The enterprises should have commenced commercial production during the operative period (October 5, 2022, to October 4, 2027).
5. The enterprise must be an MSME classified as a sick industrial enterprise per RBI guidelines.
6. Diagnostic reports must be prepared by an expert or expert agency.
7. The application must be submitted during the scheme&amp;amp;#39;s operative period.

Application Process
Step 1: 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 r…
Online

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.
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.

Required Documents
• Application form in prescribed format
• Copy of constitution of enterprise i.e partnership deed/ Article of Association/
• Memorandum of Association, ROC certificate etc.
• Copy of EM Part II registration or Udhyog Aadhar.
• Last three years Audited Balance Sheet and Profit Loss account.
• CA certificate for fulfillment of RBI guideline of sick unit by the Enterprise
• Letter of Government Department / Bank/ Financial Institution who recommended to prepare diagnostic study report for rehabilitation of enterprise.
• Copy of letter of confirmation by Expert/ Expert Agency agreed to prepare diagnostic study report with cost for preparation of report.
• Copy of receipt of payment by Expert/ Expert Agency.
• Copy of diagnostic study report submitted by Expert/ Expert Agency.

Frequently Asked Questions
Q: What is the "Aatmanirbhar Gujarat Scheme for Assistance to MSMEs"?
A: The "Aatmanirbhar Gujarat Scheme for Assistance to MSMEs" is a state initiative designed to support and strengthen the MSME sector in Gujarat. It aims to enhance growth, encourage investments, and contribute to the vision of self-reliant Gujarat and India.

Q: When is the scheme operative?
A: The scheme is operative from October 5, 2022, to October 4, 2027, covering a period of five years.

Q: What are the objectives of the scheme?
A: The scheme aims to boost MSME growth, enhance the industrial ecosystem, encourage investments, and contribute to Gujarat's and India's self-reliance vision.

Q: What are some initiatives included in the scheme?
A: The scheme includes the establishment of new industrial estates, sector-specific parks, and infrastructure projects, along with amendments to the Gujarat Industrial Policy 2020 to further support MSME growth.

Q: Who is eligible to benefit from the scheme?
A: MSMEs established and operating within Gujarat are eligible to benefit from the scheme, as per the criteria defined in the policy framework.

Q: What is the purpose of the "Rehabilitation of Sick Enterprise" component?
A: The component aims to assist MSME sick industrial enterprises by reimbursing a portion of the costs for preparing diagnostic reports and rehabilitation plans.

Q: Who is eligible for this scheme?
A: MSME enterprises classified as sick industrial enterprises as per RBI guidelines are eligible to apply.

Q: How can an enterprise apply for sick enterprise registration?
A: An eligible enterprise must submit an application to the MSME Commissionerate along with its balance sheets for scrutiny.

Q: What is sick enterprise registration?
A: It is a certification provided by the MSME Commissionerate confirming that the enterprise is classified as sick according to RBI guidelines.

Q: Does registration guarantee financial assistance?
A: No, the registration only indicates that the enterprise is sick as per RBI guidelines; it does not provide direct financial assistance or one-time settlements (OTS) from the state government.

Q: What expenses are reimbursed under the scheme?
A: The scheme reimburses 50% of the cost incurred for preparing the Draft Rehabilitation Scheme, up to a maximum of [?]1,00,000/-.

Q: Who can prepare the diagnostic report for the enterprise?
A: The diagnostic report must be prepared by a recognized expert or expert agency.

Q: Can the enterprise receive reimbursement for reports prepared before the scheme’s operative period?
A: Reimbursements are only provided for reports prepared during the scheme's operative period or for expenses explicitly covered under the GR.

Q: Can the enterprise avail financial assistance from banks through this scheme?
A: While banks or financial institutions may assist sick enterprises as per their policies, this scheme does not provide direct financial support.

Q: Does the scheme cover expenses for other types of assistance?
A: No, the scheme only covers expenses related to the preparation of diagnostic reports and rehabilitation plans.