Scheme Primer
Women Empowerment
ngo-practitioners
Stand-Up India — Rs. 10 Lakh to Rs. 1 Crore for SC/ST and Women Entrepreneurs
Last verified: May 2026 · 6 min read · JaBaSu Knowledge Commons
At a Glance
| Parameter |
Detail |
| Full Name |
Stand-Up India Scheme |
| Launched |
5 April 2016 |
| Nodal Ministry |
Ministry of Finance (Dept. of Financial Services) |
| Implementing Banks |
All scheduled commercial banks |
| Status |
Active — extended beyond 2025; coverage expanded |
| Target |
At least 2 SC/ST or women borrowers per bank branch |
| Loan range |
Rs. 10 lakh to Rs. 1 crore (composite loan) |
| Purpose |
Setting up a greenfield enterprise in manufacturing, services, agri-allied, or trading sectors |
| Margin money |
10% minimum (can include convergent subsidies) |
| Repayment |
Up to 7 years (including moratorium up to 18 months) |
| Security |
Primary security is the assets financed; no collateral required separately |
| Interest |
Lowest applicable rate for the category, not exceeding base rate + 3% + tenor premium |
| Portal |
standupmitra.in |
| Helpline |
1800-180-1111 |
Who Is Eligible?
For SC/ST borrowers
- Any adult Indian citizen belonging to a Scheduled Caste or Scheduled Tribe community
- Setting up a greenfield enterprise — the business must be new, not an expansion of an existing enterprise
- Personal income tax payer status is acceptable (unlike MUDRA, there is no income taxpayer exclusion)
- Not in default with any bank or financial institution
For women borrowers
- Any adult Indian woman entrepreneur
- Greenfield enterprise — first time in this business
- Not in default
Sectors eligible
- Manufacturing (any product)
- Services (any service business)
- Agri-allied (poultry, dairy, fisheries, bee-keeping — not crop cultivation)
- Trading (retail, wholesale)
What Is It?
Stand-Up India is India's dedicated enterprise credit scheme for Scheduled Caste (SC) and Scheduled Tribe (ST) borrowers and women entrepreneurs — specifically for setting up a new (greenfield) enterprise. Where PM MUDRA provides working capital for existing micro-enterprises, Stand-Up India provides larger loan amounts (Rs. 10 lakh to Rs. 1 crore) for first-time entrepreneurs from marginalised communities to establish a new business for the first time.
The scheme's mandate is specific and intentional: at least one SC or ST borrower and at least one woman borrower must be served per bank branch. With approximately 1.67 lakh bank branches in India, this target creates a nationwide network of Stand-Up India accounts — ensuring that entrepreneurship capital reaches communities that formal banking has historically excluded.
The loan covers all components of enterprise setup: term loan (for equipment, machinery, infrastructure) and working capital (for inventory, operations) — combined into a composite loan under one account.
What Stand-Up India Provides
Composite loan: Rs. 10 lakh to Rs. 1 crore covering:
- Term loan for machinery, equipment, land, building (as needed)
- Working capital in the form of a Cash Credit limit
The composite structure means an entrepreneur doesn't need to manage two separate loan accounts — one for capital equipment and one for operations.
Margin money: Minimum 10% of the project cost must come from the borrower. This can be from personal savings, or from any convergent government subsidy — specifically:
- PMEGP (Prime Minister's Employment Generation Programme) subsidy
- CGTMSE (Credit Guarantee Fund Trust for Micro and Small Enterprises) coverage
- Any state government subsidy applicable to the enterprise type
Repayment: Up to 7 years, with moratorium of up to 18 months before principal repayment begins. This extended moratorium specifically accommodates the gestation period for new enterprises.
RuPay debit card: An overdraft-linked RuPay card for the working capital component enables digital transactions for the enterprise.
How to Apply
-
Visit standupmitra.in: The national portal for Stand-Up India provides enterprise search, loan application, handholding support (incubation, skill development) connections, and branch-level tracking.
-
Approach your bank branch directly: The scheme is implemented through all scheduled commercial banks. Approach any branch with your business plan and documents.
-
Handholding support (if needed): For entrepreneurs without a ready business plan, SIDBI (Small Industries Development Bank of India) provides handholding through SIDBI's network and through MUDRA. Skill development training, enterprise mentoring, and business plan preparation support is available through the portal.
Documents typically required:
- Aadhaar card
- Caste certificate (SC/ST borrowers) or proof of women ownership
- Business plan (can be a simple document for smaller enterprises)
- Proof of address for business premises (owned/rented)
- Quotations for machinery/equipment (for term loan component)
- Bank statements (6-12 months if existing account)
What NGOs Need to Know — the Practical Reality
1
Rs. 10 lakh minimum is higher than most informal enterprise needs — MUDRA fills the gap below. Stand-Up India's Rs. 10 lakh minimum means it is for established enterprise concepts, not micro-livelihood activities. An SC woman wanting Rs. 50,000 to expand her tailoring enterprise needs MUDRA Kishor, not Stand-Up India. NGOs must correctly match aspiring entrepreneurs to the right credit product based on the scale of their enterprise plan.
2
The "greenfield" requirement is strictly interpreted. The enterprise must be genuinely new — not an expansion of an existing family business or a continuation of an enterprise previously run by the applicant. A woman who ran a tea stall for three years and now wants to formalise it into a shop cannot use Stand-Up India. An SC entrepreneur starting a milk processing unit for the first time can.
3
The 10% margin money is the most common barrier for poor borrowers. For a Rs. 20 lakh enterprise, the borrower must bring Rs. 2 lakh. For SC/ST and women borrowers from poor backgrounds, this is a significant barrier. NGOs can help by connecting borrowers with convergent subsidies (PMEGP, state government SC/ST enterprise subsidies, Mission Shakti loan for women) that count toward the margin money requirement.
4
Bank branch reluctance is documented. Despite the mandatory "one borrower per branch" target, many branches are reluctant to lend under Stand-Up India due to risk perception about first-time entrepreneurs from marginalised communities. NGOs with enterprise development expertise — who can help strengthen the borrower's business plan and vouch for the enterprise viability — significantly improve loan approval rates.
5
The new scheme announced for SC/ST and women entrepreneurs (Budget 2025-26) may partially supersede Stand-Up India. The Union Budget 2025-26 announced a new scheme for 5 lakh SC/ST and women first-time entrepreneurs — providing term loans up to Rs. 2 crore over 5 years with online capacity building. This appears to be an enhancement of Stand-Up India rather than a replacement. The EFC (Expenditure Finance Committee) note was being prepared as of early 2026. NGOs should monitor the official announcement.
How JaBaSu Helps NGOs Connect Their Communities
Enterprise development support
JaBaSu's back-office and enterprise development services help aspiring SC/ST and women entrepreneurs in partner NGO communities prepare business plans, financial projections, and documentation packages — dramatically improving loan application quality and approval rates.
Bank branch interface
JaBaSu maintains relationships with Lead District Managers (LDMs) and bank branch managers in Odisha's tribal districts. For qualified applicants who face branch-level reluctance, JaBaSu can formally escalate through the LDM channel.
Margin money convergence
JaBaSu maps available margin money sources for each type of enterprise — PMEGP subsidy, state SC/ST enterprise subsidies, Mission Shakti SHG loan for women's share — and helps borrowers assemble the 10% margin from multiple convergent sources.
Mentorship linkage
JaBaSu connects Stand-Up India borrowers with experienced entrepreneurs in their sector through its CSR and corporate network — providing business mentorship that reduces enterprise failure risk.