Madhya Pradesh Self Employment Scheme

The Government of Madhya Pradesh has introduced the Self Employment Scheme, also known as Mukhya Mantri Yuva Swarozgar Yojana. Under this scheme, the eligible entrepreneur will get maximum assistance of Rs. 10 lakhs in the form of loan for setting up a new enterprise. The implementation of the scheme is performed by the Department of Commerce, Industries and Employment, which act as the nodal agency. In this article, we look at the Madhya Pradesh Self Employment Scheme in detail.

Objectives of the Scheme

The objectives of the self-employment scheme are given below:

To promote the establishment of new enterprises in manufacturing / service / business sectors in the state.
To support entrepreneurs and Self-Employment by providing an enabling environment for job creation and entrepreneurship.

Eligibility Criteria

The eligibility criteria are listed below:

The applicant should be the native of Madhya Pradesh to get the benefits under the scheme.
The applicant should not avail any financial assistance or loan under State or Central Government relating to self-employment scheme.
The applicant's age limit should be 18 to 45 years at the time of applying for this scheme.
The applicant must have passed 8th standard from recognised institutions to apply for the scheme.
The applicant should not have been punished for any criminal offence.

Subsidy Rate

The subsidy provided under the MP self-employment are as follows:

S.No.	Categories of Beneficiaries	Subsidy Rate
1.	General Category	15%
2.	Special Category (SC / ST / OBC /Minority Special (SC / ST / OBC / Minorities/Women, Ex-servicemen, Physically handicapped)	30%

Quantum of Loan

Minimum: The minimum loan amount of Rs. 50,000 can be obtained.

Maximum: The maximum loan amount of up to Rs. 10 Lakhs can be obtained.

Margin

The margin amount for the entrepreneur loan is 20% of the total project cost.

Security and Repayment Period

No collateral security is required under self-employment scheme and the repayment period fixed for the borrower is up to 7 years.

Documents Required

The following documents are required for Self Employment Scheme:

Copy of Project report
Self-certification in the prescribed format for native resident / local resident of Madhya Pradesh
Aadhar Card
Academic qualification certificate
Birth certificate
Passport Photograph
If the land/building is rented then the rent notice (if applicable)
Quotation of current rates for machinery / equipment / furnishings (if applicable)
Caste certificate (if applicable)
Income certificate issued by the concerned authority in case of excess of the limit of creamier under other backward classes
If you have received entrepreneurship development training, then attach the certificate (if applicable)
Copy of BPL Ration Card (if applicable)
Affidavit of self and family related to the income limit, and the income tax details of the last 3 years, if applicable.

Application Procedure

The applicant has to visit the MSME portal of Madhya Pradesh Government and download the Mukhya Mantri Yuva Swarozgar Yojana application form from the list of schemes. Fill the application form with all the required details and then attach all the necessary documents and submit your application to the selection committee of the respective department. After submitting the proposal, you will receive an acknowledgement number for future reference. The selection committee will review the application within 15 days from the date of application. If the application is approved, the concerned authority will sanction the loan for the entrepreneurs. The application form for MP Self Employment Scheme is attached below for your reference: [pdf-embedder url="https://www.indiafilings.com/learn/wp-content/uploads/2019/05/self-1.pdf" title="self 1"]