SIDBI THEMATIC ASSISTANCE FOR PURCHASE OF CAPITAL ASSETS IN NEW ENTERPRISES (STHAPAN)

Small Industries and Financial Bank of India has launched a new scheme known as SIDBI Thematic Assistance for Purchase of Capital Assets in new enterprises (STHAPAN). 

This scheme is applicable to those units which are setting up MSMEs (Micro Small Medium Enterprises) in the identified sectors under the production linked incentive scheme implemented by the central government. 

Financial assistance is offered to the applicants of SIDBI under STHAPAN Scheme to buy land, machinery, equipment, etc., for the development of enterprises. 

The objective of the STHAPAN Scheme 

The main objective of the SIDBI Thematic Assistance for Purchase of Capital Assets in new enterprises scheme is to provide financial support to the new and existing MSMEs for achieving growth opportunities. 

 The key features of the STHAPAN Scheme 

• The STHAPAN Scheme provides affordable ROI (Return on Investment).
• The loan will be sanctioned quickly.

Eligible enterprises of the STHAPAN Scheme 

Entities that are eligible under the SIDBI Thematic Assistance for Purchase of Capital Assets in new enterprises (STHAPAN) scheme are given below: - 

• Under the production linked incentive scheme, MSME (Micro, Small & Medium Enterprises) will set up the units in identified sectors.
• The sunrise sector, high growth sector & other important sectors are eligible for the STHAPAN Scheme.

Eligibility criteria of SIDBI Thematic Assistance for Purchase of Capital Assets in new enterprises (STHAPAN) scheme 

The eligibility criteria for getting a loan under the STHAPAN scheme are listed below: - 

• Greenfield units and new enterprises are eligible for the STHAPAN scheme.
• Standard norms are applied such as CMR, CIBIL, Due diligence, etc.
• The contribution of promoters should be a minimum of 25% to get financial assistance.
• To avail the loan under STHAPAN Scheme, Units of MSMEs must have a minimum of at least 5 years of operations with cash profit and stable sales.

 Also read: - SIDBI Schemes - Features, Interest Rate, Steps to Apply for Loan

Quantum of Assistance 

Under the STHAPAN Scheme by SIDBI, it offers up to Rs. 2000 lakhs to the borrowers. 

• A maximum of 75% of the project cost.
• Financial assistance is given in the form of a term loan.

Validity of the scheme 

• The SIDBI Thematic Assistance for Purchase of Capital Assets in new enterprises (STHAPAN) scheme under SIDBI, is valid up to 31st October 2022, for the sanctions of the loan.

The interest rate of the STHAPAN Scheme 

• The rate of interest under the SIDBI Thematic Assistance for Purchase of Capital Assets in new enterprises (STHAPAN) scheme is 6.00% to 7.30% per annum for 1st year with a reset applicable as per internal rating.

Repayment period of STHAPAN Scheme  

• Small Industries and Development Bank of India offers a repayment schedule of up to 7 years with a moratorium period of up to two years under the STHAPAN Scheme.

Documents required for the SIDBI Thematic Assistance for Purchase of Capital Assets in new enterprises (STHAPAN) scheme 

The documents required for the STHAPAN Scheme are listed below: -   

• Proforma invoice of quotation (machinery).
• Copy of trust deed, MOA (Memorandum of Association), and Partnership deed.
• Documents of identity proof.
• Financial statements for the last 3 years.
• KYC documents as per the guidelines of banks.
• Statement of immovable directors and promotors.
• Copy of lease agreement and rent.
• Documents of existing power load.
• Documents of address proof.
• Copy of registration certificate of GST for the registered units.
• Copy of UAM (Udyog Aadhar Memorandum)
• Copy of consent to establish from Process Control Book.
• Application filed for the requirement of additional power load.
• Copy of sanction letters from other banks for the current banking agreement.
• Information of loans provided by other banks, financial institutions, and NBFCs (Non-Banking Financial Companies) that are currently outstanding.

Application procedure for the STHAPAN Scheme 

The procedure of application for SIDBI Thematic Assistance for Purchase of Capital Assets in new enterprises (STHAPAN) scheme is given below: - 

• The eligible micro-enterprises require to access the online application page of SIDBI to apply for the scheme.
• The registration page will be displayed on their screen, click on the registration tab to register as a new user in SIDBI to get a loan.
• The entities are required to provide information of enterprise phone number, name, total loan requirements, and email address.
• After the completion of registration, the password and username will be given to the entity.
• Then, log in to the portal and fill in a one-page application form.
• After the verification of KYC documents and due diligence, the loan amount will be credited to their respective account within 48 hours (about 2 days).

Conclusion 

SIDBI Thematic Assistance for Purchase of Capital Assets in new enterprises (STHAPAN) scheme will raise the capital investment in greenfield manufacturing units. 

Get loan at an attractive interest rate and loan amount up to Rs. 2000 lakhs with quick sanctions. 

Financeseva helps you to avail STHAPAN Scheme at best rates and terms. 

 Also read: - SIDBI Assistance to Export Oriented MSMEs under UBHARTE SITAARE PROGRAMME