Investment Promotion Scheme (IPS) for MSME Sector: Assistance To Small And Medium Enterprises (SME) For Raising Of Capital Through SME Exchange

Investment Promotion Scheme (IPS) for MSME Sector: Support for Small and Medium Enterprises (SME) in Capital Acquisition via SME Exchange

The Investment Promotion Scheme (IPS) for the MSME sector is a pivotal initiative aimed at facilitating capital acquisition for small and medium enterprises (SMEs) through the SME Exchange. Launched by the Department of Industries, U.T. Administration of Dadra & Nagar Haveli and Daman & Diu, this scheme not only promotes business growth but also aims to enhance the overall economic landscape of the region.

Overview of the Scheme

The “Assistance to Small and Medium Enterprises (SME) for Raising of Capital Through SME Exchange” operates under the broader framework of the Investment Promotion Scheme (IPS) for the MSME Sector. Initially introduced on July 3, 2015, the scheme was designed for a five-year duration and has since been extended to continue providing support until May 19, 2027.

Objectives of the Investment Promotion Scheme (IPS)

The primary goal of the IPS is to empower the MSME sector by offering incentives and assistance. This initiative aims to:

• Nurture and protect MSMEs against market fluctuations.
• Encourage women’s participation in the business sphere.
• Reduce unemployment rates among local residents.
• Incentivize industries to hire local laborers.

Specific Objectives of the Sub-Scheme

This sub-scheme aims to provide one-time assistance to SMEs to cover the costs associated with raising funds through the SME Exchange. This support is contingent upon the successful acquisition of equity in line with the approved scheme by the SME Exchange during the active period of the initiative.

Benefits of the Scheme

Eligible enterprises can receive a financial benefit of 25% of the expenses incurred while raising funds through the SME Exchange, with a maximum limit of ₹5,00,000.

Eligibility Criteria

<pTo qualify for this scheme, applicants must meet the following conditions:

• Must be a new or existing manufacturing/service unit engaging in expansion/diversification in the MSME sector.
• The unit should have commenced commercial production between May 20, 2022, and May 19, 2027.
• Must be located within the Union Territory of Dadra and Nagar Haveli & Daman and Diu.
• Applications must be submitted within one year from the listing date on the SME Exchange.

Application Process

To apply for the scheme, follow these steps:

Online Registration Process

1. Navigate to the registration page on the official website.
2. Complete the required fields with accurate information and click “Register.”
3. Verify your email address using the link sent to your inbox (check spam if not received).
4. Click the link in the email to finalize your account verification.
5. Enter “111111” as the OTP to validate your mobile number. A PIN will be sent to your registered email.
6. You will receive login credentials in your registered email after successful registration.

Application Submission Steps

1. Go to the user login page on the official website.
2. Input your registered mobile number and PIN, then click “Log In.”
3. Once logged in, click on the “Departments & Services” tab from the left menu.
4. Scroll to “District Industries Centre DD & DNH” and click “Click Here” to apply for the Investment Promotion Scheme (2022 to 2027).
5. The “Common Application Form” will appear. Fill in all required fields and upload necessary documents.
6. Review all entered details for accuracy and click “Submit” to complete your application.

Contact Information

For assistance, reach out to:

Official Source

For more detailed information, visit: myScheme.gov.in.