The Motivation of Unemployed Persons to Start Self-employed Enterprises scheme, implemented by the District Industries Centre, Department of Industries and Commerce, UT of Puducherry, aims to encourage self-employment among the youth by supporting manufacturing and service activities. This initiative is designed to bolster the growing economy of the Union Territory of Puducherry by providing financial assistance and promoting entrepreneurship among unemployed individuals.
Benefits
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Quantum of Loan:
Loans are provided ranging from ₹10,000 to ₹2,00,000. -
Subsidy:
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For projects not exceeding ₹10,000: A subsidy of 50% of the project cost (excluding preliminary and pre-operative expenses).
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For projects exceeding ₹10,000 but less than ₹2,00,000: A subsidy of 25% of the project cost (excluding preliminary and pre-operative expenses), subject to a maximum of ₹25,000.
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Interest:
Loans are charged at the normal bank rate of interest prevailing on the date of disbursement. -
Disbursement:
Loan disbursement occurs once the beneficiary completes the formalities required by the banks for their project.
Eligibility
To be eligible for the scheme, the applicant must:
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Have an age as per the existing norms of banks.
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Possess the ability to read and write fluently.
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Be a permanent resident of the area for at least 3 years.
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Engage in any economically viable service or industrial activity (both manufacturing and service sectors are eligible).
Application Process
The application process is offline:
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Print Application Form:
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Obtain a print copy of the prescribed application form.
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Fill and Attach Documents:
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Complete all mandatory fields in the form.
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Affix a passport-sized photograph (signed across, if required) and attach copies of all mandatory documents (self-attestation is acceptable where specified).
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Submission:
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Visit the District Industries Centre at Thattanchavady, Puducherry – 605 009 during office hours.
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Submit the duly filled and signed application form along with the required documents to the General Manager.
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A unique number is assigned upon receipt for tracking and future reference.
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Note: Applications are scrutinized and successful candidates are called for an interview once a quarter. Those who pass the interview have their applications forwarded to the respective banks for further action.
Documents Required
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Aadhaar Card
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Applicant’s Photo
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Residence-cum-Nativity Certificate (issued by the competent authority)
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Age Proof
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Residence Proof
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Project Proposal
Frequently Asked Questions
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What is the range of loan amounts provided under this scheme?
Loans range from ₹10,000 to ₹2,00,000. -
How is the subsidy calculated for projects under this scheme?
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For projects up to ₹10,000, the subsidy is 50% of the project cost.
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For projects over ₹10,000 and less than ₹2,00,000, the subsidy is 25% of the project cost, capped at ₹25,000.
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What is the applicable interest rate for the loans provided in this scheme?
The normal bank rate of interest on the date of loan disbursement applies. -
When does the disbursement of the loan take place?
Disbursement occurs once the beneficiary completes all required formalities with the banks. -
What are the eligibility criteria regarding the applicant’s residence?
The applicant must be a permanent resident of the area for at least 3 years. -
Are there any specific educational requirements for applicants?
Applicants should be able to read and write fluently. -
Which authority issues the Residence-cum-Nativity Certificate, and is it mandatory?
The certificate is issued by the competent local authority and is mandatory for the application. -
What documents are mandatory for the application process?
Required documents include the Aadhaar Card, photo, Residence-cum-Nativity Certificate, Age Proof, Residence Proof, and the Project Proposal. -
Where can an interested applicant obtain the prescribed format of the application form?
The application form can be obtained from the District Industries Centre. -
What should an applicant do after filling in the application form and attaching the required documents?
They must visit the District Industries Centre during office hours to submit the form and documents. -
How is each applicant uniquely identified in the application process?
A unique number is assigned upon receipt of the application for future reference. -
How often are successful candidates called for an interview under this scheme?
Successful candidates are called for an interview once every quarter. -
What happens after the successful completion of the interview process?
Applications of successful candidates are forwarded to the respective banks for further processing. -
Can self-attestation of documents be done during the application process?
Yes, self-attestation is acceptable where specified.