Details
The scheme “Back Ended Interest Subsidy (BEIS)” by the Micro Small and Medium Enterprises Department, Government of Tamil Nadu, is introduced with the objective of reducing financial burdens of all new micro and small manufacturing enterprises who have already availed loans from banks/ other government organizations by assisting them through a subsidy on term loans for a period of 5 years.
Benefits
- Subsidy of 5% on term loans subject to a maximum of ₹ 20,00,000 is given for a period of 5 years to all new micro and small manufacturing enterprises for term loans up to ₹ 2,00,00,000 obtained for Credit Guarantee Fund Trust Scheme (CGTMSE).
- Subsidy of 5% on term loans subject to a maximum of ₹ 25,00,000 is given for a period of 5 years to all new micro and small manufacturing enterprises for term loans up to ₹ 5,00,00,000 obtained for technology up-gradation / modernization.
- The maximum amount of BEIS payable per loan shall be ₹ 10,00,000 only on loans taken up to ₹ 1,00,00,000.
Mode of payment
Interest subsidy shall be reimbursed once in three months on a quarterly basis to the financial institutions.
Eligibility
- Micro and Small Enterprises who have availed of term loan under Technology upgradation/modernization schemes, National Equity Funds Scheme (Renamed as Micro / Small Enterprises Funding Scheme), Scheme for ISO Certification / R & D under NSIC -SIDCO Consortium and Credit Guarantee Fund Trust Scheme.
- New Enterprises that have set up their facilities, or existing Micro, Small, and Medium Enterprises, which upgrade their existing plant and machinery with state-of-the-art technology, with or without expansion, by induction of well-established and improved technologies in specified sub-sectors / products as listed in the guidelines on Credit Linked Capital Subsidy Scheme (CLCSS) Scheme of Government of India.