Motivation of Entrepreneurs and Financial Assistance for Rehabilitation of Sick Industries
in Puducherry
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Motivation of Entrepreneurs and Financial Assistance for Rehabilitation of Sick Industries in Puducherry
Motivation of Entrepreneurs and Financial Assistance for Rehabilitation of Sick Industries is a government scheme available to eligible residents of Puducherry.
Apply for Motivation of Entrepreneurs and Financial Assistance for Rehabilitation of Sick Industries in Puducherry
Scheme Overview
Through this scheme, the cost of implementing suggestions given by the experts in the field of technology, marketing and finance engaged to advise sick units is reimbursed. 50% subsidy towards the cost of diagnostic study by technical institutions initiated through Financial Institutions/Banks/etc.
Eligibility Criteria
The applicant should be MSME unit those who have obtained UAM/EM(Part-ll)/Permanent Registration.
The applicant should be a "Sick" Industrial Enterprise. "Sickness" is defined as follows at present and shall be revised as per RBI guidelines from time to time:
- Continuous decline in gross output compared to the previous two financial years.
- Delay in repayment of loan, taken from institutional sources, for more than 12 months.
- Erosion in net worth due to the accumulated losses to the extent of 50% of the net worth during the previous accounting year.
Other firms taking over a sick unit for rehabilitation will also be eligible.
Benefits
Subsidy @ 50% on the cost of diagnostic study by technical institutions initiated through Financial Institutions/Banks/Government with a maximum of ₹50,000/-.
50% of fees (maximum ₹50,000/- per unit) will be reimbursed on implementing suggestions given by the experts in the field of technology, marketing and finance engaged to advise sick units.
Interest subsidy @ 5% per annum limited to ₹3,00,000/- per year for 3 years on additional finance disbursed by Banks/Financial Institutions for Rehabilitation.
*The interest subsidy will be paid through the financial institution.
*The financial institution shall mean and include PIPDIC or any other Government Corporation, Scheduled Banks including Co-operative Banks.
Required Documents
| # | Document |
|---|---|
| 1 | Entrepreneurs Memorandum Part-2 (UAM/ PMT) Registration/ Commencement of Production Certificate. |
| 2 | Certificate issued by the Financial Institution/Bank. |
| 3 | Any other document, as required by the Committee. |
How to Apply in Puducherry
Step 1: The sick enterprise should take print from the prescribed form from the Directorate of Industries and Commerce, Puducherry.
Offline Step 1: The sick enterprise should take print from the prescribed form from the Directorate of Industries and Commerce, Puducherry.
Step 2: In the application form, fill in all the mandatory fields, and attach copies of all the mandatory documents.
Offline Step 2: In the application form, fill in all the mandatory fields, and attach copies of all the mandatory documents.
Step 3: The enterprise should submit the duly filled and signed application form and the documents to the Director of Industries either in person or by post.
Offline Step 3: The enterprise should submit the duly filled and signed application form and the documents to the Director of Industries either in person or by post.
Step 4: Request a receipt or acknowledgement from the concerned authority at the Directorate.
Offline *The State Level Committee will go into the merits of each case to decide whether the unit qualifies for the grant of financial assistance.
Common questions in Puducherry
Who can apply for Motivation of Entrepreneurs and Financial Assistance for Rehabilitation of Sick Industries in Puducherry?
Eligible residents of Puducherry who meet the scheme’s overall criteria can apply for Motivation of Entrepreneurs and Financial Assistance for Rehabilitation of Sick Industries. Refer to the eligibility section above for the complete checklist.
What documents are required for Motivation of Entrepreneurs and Financial Assistance for Rehabilitation of Sick Industries in Puducherry?
Applicants in Puducherry typically need identity proof (Aadhaar), state residency proof, bank account details, and any scheme-specific documents listed in the documents section.
Frequently Asked Questions
The Committee for Rehabilitation of Sick Enterprises, chaired by the Secretary to Government (Industries and Commerce), makes the final decision regarding assistance for rehabilitation.