MSME loan approval in 59 minutes is a Diwali gift from the government for the micro, small and medium enterprises. Small Industries Development Bank of India (Sidbi) has set up this portal. As a part of the government’s support and outreach initiative for MSMEs, there will
- Relaxation in labor law
- Changes in company laws
- Easier compliance with environmental rules
Prime Minister Narendra Modi said, “Minimum government and maximum governance is the core principle of our government. This is new India where no one needs to go around government offices”. Know more about this loan below.
Features of MSME loan
- The portal is compatible with existing banking process
- The application for MSME loan can be sent to multiple banks at once
- There is high-level of Information Security to keep data of MSMEs secured
- The credit policy allows the creation of customized loans
- The MSME can get a collateral free loan with CGTMSE integration
Documents required for MSME loan
- GST Number
- Last six months bank statement
- Income tax returns
- Business owner’s personal, educational and ownership details
The process of getting MSME loan in 59 minutes
- Register yourself on Sidbi portal with your name, email id, and mobile.
- Answer four questions with a Yes or No on GST, tax returns, etc.
- Provide your GST details
- Next, either upload your ITR documents or login with Income Tax Returns credentials
- Similarly, upload your bank statements or fetch them via net banking
- Provide the company’s information, details of business and reason for the loan
- Mention collateral security and detail of the previous loan if any
- Select the bank you wish to take a loan from. PSB include SBI, PNB, Indian Bank Allahabad Bank, IDBI Bank, Canara Bank, Bank of India, Union Bank, and more.
- Pay a one-time fee to proceed and receive an in-principal letter in the registered email
After receiving the in-principal letter, the loan is likely to be disbursed in 7 to 8 working days. The loan amount may vary from 10 lakhs to 1 crore. The processing time will reduce from 20-25 days to just 59 minutes.
In this league, PM Modi has been trying to get MSME online to expand their small business big via B2B marketplaces to digitize India.