Scheme for SSI / MSI Sector (PIPDIC)
The scheme aims to extend financial support to establish new, or expand/modernize existing, Small Scale Industry and Medium Scale Industry units. Benefits include term loans up to ₹10,00,00,000/- for fixed asset acquisition.
About This Scheme
Benefits
₹10.0 Cr
Financial assistance (Term Loan) up to a maximum of ₹10,00,00,000/- per project.
Loan proceeds may be used for acquiring fixed assets, including the purchase of land, construction of buildings, and procurement of machinery, equipment, electricals, and miscellaneous fixed assets.
The maximum repayment period is 8 years, which includes a maximum moratorium period of 2 years.
##### Benefit Disbursement Criteria
₹25.0 L
The Debt Equity Ratio (DER) must be 3:1 for loans up to ₹25,00,000/-.
₹25.0 L
The Debt Equity Ratio (DER) must be 2:1 for loans above ₹25,00,000/-.
##### Conditions
Collateral security in the form of immovable property must be offered as per the lending policy of the corporation.
The valuation of properties offered as security must be assessed by engaging Chartered Engineers or valuers from the approved panel of the Corporation.
In respect of immovable property situated in the Union Territory of Puducherry, the value of the property offered must be not less than the amount of the term loan sanctioned.
In respect of immovable property situated outside the Union Territory of Puducherry, the value of land with building offered must be not less than 150% of the loan amount.
If the property offered outside the Union Territory of Puducherry is only land, its value must be not less than 200% of the loan amount.
For units promoted by Women, Scheduled Caste, Scheduled Tribe, or Differently Abled persons, the value of the property to be offered as collateral security is fixed at 50% of the loan amount.
Eligibility
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Required Documents
- ✦Copy Of Acknowledgement Of Micro, Small, And Medium Enterprise Registration Certificate Obtained From Industries Department.
- ✦Copy Of Lease Deed For The Work Premises In ₹10.00 Rupees Stamp Paper.
- ✦Copy Of Sale Deed For The Work Premises (In Case The Premises Is Owned By The Applicant).
- ✦Quotation From Selected Supplier For All Machinery And Equipment Proposed With Detailed Specification And Catalogue (Original To Be Produced).
- ✦Two Comparative Quotations From Standard Suppliers For All Machinery And Equipment Proposed (Original To Be Produced).
- ✦Selected Machinery Supplier’s Client List With Detailed Postal Address.
- ✦Proof For Sale Price Of End Product And Quotations For Main Raw-Materials To Be Used.
- ✦Tie-Up Letters For Marketing The Product.
- ✦Copy Of Partnership Deed And Acknowledgement Of Registrar Of Firm (In The Case Of Partnership Concern).
- ✦Copies Of Pan Card, Voter’s Identity Card, Ration Card, Aadhaar Card, And Bank Pass Book.
- ✦Profitability Statement Detailing Monthly Sales, Income, And Expenditure Details.
- ✦Consent Letter To Offer Collateral Security To The Extent Required By Pondicherry Industrial Promotion Development And Investment Corporation Limited.
- ✦Investigation Fee At 0.50% On The Loan Amount Applied Plus Applicable Service Tax (For Women/Scheduled Caste/Scheduled Tribe/Differently Abled Entrepreneurs, 50% Concession Has To Be Paid).
- ✦Site And Factory Building Plan With Machinery Layout And Civil Estimate (2 Copies) (Obtained From Approved Panel Valuer Of Pondicherry Industrial Promotion Development And Investment Corporation Limited).
- ✦Comparative Statement For Machinery With Justification For Choosing The Supplier.
- ✦Copy Of Proof For Having Registered As An Approved Supplier With Other Financial Institutions / Banks (Along With Selected Machinery Supplier’s Client List).
- ✦Proof For Sale Price Of End Product From The Existing Manufacturer / Dealer.
- ✦Quotation / Bill Copies For Each Item Of Raw Materials To Be Used With Arrangements For Regular Supply.
- ✦Manufacturing Process Details With Flow Chart.
- ✦Statistics For Demand And Supply Position Of Product With Proof, Existing Competitions, Major Consumers Details, And Tie-Up Letters For Marketing The Product.
- ✦Memorandum And Articles Of Association (In The Case Of Private Limited Company).
- ✦Bio-Data Of All The Promoters (Duly Filled In All Respect As Per The Format Enclosed).
- ✦Mandatory Furnishing Of Details Asked For In The Application At Page Numbers 12, 13, 14, And 15 To Prepare The Appraisal Report.
- ✦Consent Letter From Bank For Sanction Of Working Capital Loan.
- ✦Balance Sheet And Profit And Loss Account For The Last 3 Years And Banker’s Details (For Interested Concerns/Existing Unit).
- ✦Copy Of Registered Lease Deed For The Work Premises For A Period Not Less Than 8 Years Or Consent Letter To Produce Registered Lease Deed For The Work Premises.
- ✦Detailed Project Report On The Project.
- ✦Track Record, Name And Address Of Concerns, And Type Of Consultancy Service Rendered By The Consultant (If Any).
- ✦Details Of Effluent And Arrangement Proposed For Treatment And Disposal Of Effluent (If Any During Process).
- ✦Investigation Fee At 0.75% On The Loan Amount Applied Plus Applicable Service Tax (For Women/Scheduled Caste/Scheduled Tribe/Differently Abled Entrepreneurs, 50% Concession Has To Be Paid).
- ✦Applicable Licence Copies, Including Inspector Of Factories Approval, Municipal / Panchayat Permission, And Pollution Clearance, Etc..
- ✦Puducherry Planning Authority Approval (For Loans Above ₹10,00,000/-).
- ✦Original Title Deed.
- ✦Antecedent Title Deeds.
- ✦Encumbrance Certificate For 30 Years.
- ✦Valuation Certificate From Approved Panel Valuer Of Pondicherry Industrial Promotion Development And Investment Corporation Limited.
- ✦Field Measurement Book Copy (FMB Copy).
- ✦Patta Copy.
- ✦Legal Opinion Report For Collateral Security Property.
✦ Required ◦ Optional
How to Apply
The applicant must access the PIPDIC website. Click "Login". To register as a new customer, the applicant must click the “New customer” link under the “Login” menu, enter a username, email-id, password, and captcha, and then click the "Register" button. Following successful registration, the applicant must use the registered email-id to log in, which initiates the process of sending an OTP to the registered email address. The applicant is then required to enter the OTP received in the email and
Quick Info
- Level
- Central Government
- Max benefit
- ₹10.0 Cr