UYEGP Scheme:- In addition to dealing with numerous other business difficulties, an entrepreneur starting a new company must immediately secure financing. Due to a lack of experience, revenue stability, repayment history, or trust, banks, and NBFCs occasionally or occasionally could be reluctant to finance new business owners. The Tamil Nadu government has established a loan program for small firms to deal with this circumstance. The program, known as UYEGP (Unemployed Youngsters Employment Generation Program), is designed to support young entrepreneurs and inspire unemployed youth to launch their businesses. Read below to get detailed information related to the UYEGP Scheme 2023 like objectives, benefits, features, eligibility criteria, application procedure, and much more
Table of Contents
UYEGP Scheme 2023
This is a major initiative of the Tamil Nadu government’s (MSME) Micro, Small, and Medium Enterprises Department. With the help of this plan, the socially and economically poorer members of society can lessen their unemployment issues. It is specifically made for educated unemployed people to start their businesses in their hometowns on their own, preventing mass migration from rural to urban regions owing to unemployment. This is accomplished by providing funding for these young people to start manufacturing, service, and business ventures. They receive loans from the State Government in addition to subsidies totaling up to 25% of the project’s cost.
TN UYEGP Scheme Objectives
The main goal of this UYEGP program is to reduce unemployment among those in the socially and economically disadvantaged sectors of society, especially among the educated unemployed who can establish their service, manufacturing, or business enterprises with loan financing and state government subsidies.
Unemployed Youngsters Employment Generation Program Benefits
Some of the key benefits of the UYEGP Scheme 2023 are as follows:
- Every beneficiary is required to participate in a seven-day course for the Entrepreneur Development Program (EDP).
- To achieve equitable benefit distribution across all districts, the program focuses on district-level beneficiary selection.
- Loan repayment and moratorium durations are determined by the bank.
- Numerous banks and financial institutions, including nationalized banks, commercial banks, and the Tamil Nadu Industrial Cooperative Bank, provide quick access to funds.
- To assist with marketing, the general manager of the relevant (DIC) District Industries Center will schedule buyer-seller meetings regularly.
- With CGTMSE, there are no collateral or security requirements for loans up to Rs. 10 lakhs. For banks or other financial institutions, the credit guarantee trust will guarantee the necessary security standards.
UYEGP Scheme Features
Some of the key features of the UYEGP Scheme 2023 are as follows:
- The contribution of the promoter is 10% for the General and 5% for the Special Category Scheme to help the socially and economically disadvantaged sectors of society with their unemployment issues
- Assistance from Commercial Banks with Loans
- Manufacturing, trading, and service project costs: Maximum project expenses are Rs.15.00 lakh, Rs.5.00 lakh, and Rs. 5 lakh respectively
- Capital Subsidy for Individuals @ 25% of Project Cost (Maximum Rs. 2.50 lakh)
Unemployed Youngsters Employment Generation Program Eligibility Criteria
The eligibility criteria for UYEGP Scheme 2023 are given in the table below:
- Only Individuals are eligible to apply for this loan
- Applicant must have qualified 8th standard or above
- The age limit for General Category Candidates must be between 18 to 35 Years
- The age limit for Special Category Candidates must be between 18 to 45 Years
- The applicant’s family annual income must not exceed Rupees 5, 00,000/-
- The applicant must be a resident of Tamil Nadu for a minimum of 3 years and in the same area
- The applicant is not eligible for UYEGP if they have received a loan or subsidy for another project.
- The Maximum Project Cost of Business must be Rs. 5 Lakhs
- The Maximum Project Cost of Service is Rs. 5 Lakhs
- The Maximum Project Cost of Manufacturing is Rs. 10 Lakhs
UYEGP Scheme Documents Required
The application form must be correctly completed and delivered to the appropriate District Industries Center. The documents required for UYEGP Scheme 2023 are as follows:
- Project Report (Original & Duplicate)
- Community Certificate (Two Copies)
- Transfer certificate/ Record Sheet issued by School/College (Two Copies)
- Ration Card (Two Copies)
- In case of applicants who don’t possess a valid Ration Card, a Nativity certificate from the Thasildhar / photocopy of Aadhaar card/photocopy of Election Voter’s ID card (Two Copies)
- Valid Quotations (Original & Duplicate) with GST number
- Ex-Serviceman /Differently abled /Transgenders should apply with a valid certificate (Two copies)
- An affidavit in the required format must be prepared on non-judicial stamp paper costing Rs. 20 and duly certified and signed by a notary public before being presented to the bank for loan approval together with a copy of the rental or lease agreement.
Steps to Apply for UYEGP Scheme 2023
To apply for UYEGP Scheme 2023, applicants need to follow the below-given steps:
- First of all, go to the official website of the Micro, Small, and Medium Enterprises Department
- The homepage of the website will open on the screen
- Now from the homepage, go to the UYEGP option.
- A new page will be displayed on the screen.
- Now on the Apply Online tab, click on the New Application option.
- A new page with an application form will appear on the screen.
- Now you have to enter your details in the application form.
- After that, upload all the relevant documents.
- Cross-check the details carefully and in the end, click on the submit option
Download Filled Application Form
You can download your application form after finally submitting it by just simply following the process given here.
- After successful submission, you can click on the Download Filled Application option from the same Apply Online Tab.
- A new page will open on the screen.
- Enter your phone number in the given box.
- After that, click on the submit option.
- The application form will be displayed on the screen.
- Click on the download option to get it downloaded to your device.