Venture Capital Fund for Scheduled Castes Entrepreneurs

The Government of India has launched the Venture Capital Fund for Scheduled Castes’ with an initial capital of Rs. 200 crore. IFCI Ltd. will act as Sponsor, Settler and Asset Management Company (AMC) / Nodal Agency to operate the scheme. The Venture Capital Fund for Scheduled Castes Entrepreneurs started for specially scheduled castes entrepreneurs considering with multiple objectives. The main objective behind introducing this scheme is to promote entrepreneurship among the scheduled castes and to provide concessional finance to them and to develop SC entrepreneurs economically. Under this scheme loan up to R.5 Crore and more than that is provided. Under the scheme, financial assistance up to Rs. 15.00 Crore for a period up to 6 years would be provided to the SC entrepreneurs

Benefits of Venture Capital Fund for Scheduled Castes Entrepreneurs:

Venture Capital Fund for Scheduled Castes Entrepreneurs provides benefits as a loan for starting business or to set-up business to scheduled castes entrepreneurs
Under the scheme, financial assistance up to Rs. 15.00 Crore for a period up to 6 years would be provided to the SC entrepreneurs
Financial assistance up to Rs. 5 Crore – Investment under this category shall be funded maximum up to 75% of the project cost and the balance 25% of the project cost will be funded by the promoters
Financial assistance above Rs. 5 Crore: Investment under this category shall be funded maximum up to 50% of the project cost. At least 25% of the project cost has to be financed by bank/other institutions. Balance 25% of the project cost will be funded by the promoters. The proposals forwarded by Banks or other financial institutions with the sanction of 25% of the total project shall be considered. In this case, the projects shall have to be compulsory
Concessional finance assistance is provided

Required eligibility and conditions for applying Venture Capital Fund for Scheduled Castes Entrepreneurs:

The project candidate wants to set up should be related manufacturing and services sector ensuring asset creation
While selecting the SC entrepreneurs, Women SC entrepreneurs would get preference
Companies having at least 60% stakeholding by Scheduled Caste entrepreneurs for the past 12 months with management control are eligible for availing loan
Applicant must belong to Scheduled Caste and residence of India
The companies applying for assistance of more than Rs. 5 Crore shall preferably get their project appraised by the banks / FIs before approaching for assistance under the scheme
For companies with sanctioned assistance of above Rs. 5 Crore, the money released by the Trust/ Fund Manager would be in proportion to the loan tranche released by the bank
The SC promoters of Investee Company will not dilute their stake below 60% in the company till the exit under the scheme
A prior written approval from Asset Management Company (AMC) would be required

Document required for applying Venture Capital Fund for Scheduled Castes Entrepreneurs:

Document required for applying this scheme are not mentionable because a variety of documents need to submit like e.g. statutory documents of company, Market & Competition etc. So that to get complete details of documents do visit next mentioned link: https://govinfo.me/wp-content/uploads/2016/08/Brochure.pdf

Application procedure:

Those candidates who wish to apply for loan under this scheme can fill online application form over next link: http://www.ifciventure.com/Venture-Capital-Fund-for-Scheduled-Castes.aspx
Along with proper document

Contact Details:

IFCI Limited IFCI FCI Tower, 61, Nehru Place New Delhi – 110019 E-mail: helpdesk@ifciltd.com
Website: www.ifciltd.com
IFCI Venture Capital Funds Limited IFCI Tower, 61, Nehru Place New Delhi – 110019 E-mail: funds@ifciventure.com Website: www.ifciventure.com

References & details: