New Entrepreneur cum Enterprise Development Scheme (NEEDS) Tamil Nadu: Loan Subsidy Registration

The New Entrepreneur cum Enterprise Development Scheme (NEEDS) Tamil Nadu is an administration drive pointed toward advancing business among taught youth in the state. The program gives preparation, monetary help, and market linkages yearning for business people, with an emphasis on advancing development and occupation creation. The Requirements Conspire is an extraordinary chance for youngsters in Tamil Nadu to begin their own organizations and add to the development of the nearby economy. 

In this article, we will give an outline of the Necessities plot, its highlights, and advantages, and offer examples of overcoming adversity of business people who have profited from the program. We will explain the difficulties and constraints of the program and feature the significance of supporting businesses in Tamil Nadu. Thus, assuming that you are an informed youth in Tamil Nadu hoping to go into business, read on to deeply read the Requirements plan and how it can assist you with accomplishing your enterprising dreams.

What is NEEDS Tamil Nadu?

What’s going on in Business Visionary cum Endeavor Improvement Plan (NEEDS) Tamil Nadu? New Business Visionary cum Undertaking Improvement Plan (NEEDS) Tamil Nadu is an administration drive to advance business among taught youth in Tamil Nadu. The plan means to recognize, train and help expected business visionaries to set up new undertakings in different areas. The plan gives different advantages like appropriation, low financing cost, simple reimbursement, promoting backing, and mentorship to the business people.

Goals of the NEEDS

The plan was sent off by the Tamil Nadu Modern Venture Company Restricted (TIIC) in 2012 with the accompanying targets:

• To set out business open doors for taught youth in Tamil Nadu

• To advance independent work and business venture culture among instructed youth

• To energize development and innovation reception in new undertakings

• To work with admittance to back and market linkages for new business visionaries

• To add to the financial turn of events and development of Tamil Nadu

Highlights of the plan

The plan has the accompanying highlights:

• It is available to all informed youth in Tamil Nadu who have a degree or confirmation in any discipline from a perceived establishment

• It is relevant for original business visionaries who have no current business or modern unit

• It takes care of ventures with an expense between 10 lakhs and 1 crore, barring the expense of land and building

• It gives an endowment of 25% of the undertaking cost from the public authority, dependent upon a limit of 25 lakhs

• It offers a low financing cost of 3% for men and 2% for ladies and SC/ST business people on the credit sum

• It permits a simple reimbursement time of 5 to 7 years with a ban of a half year to 1 year

• It gives promoting support from TIIC and mentorship from effective business visionaries

Eligibility Measures for NEEDS Scheme Tamil Nadu

The Necessities plot is available to all informed youth in Tamil Nadu who need to go into undertakings. Notwithstanding, they need to meet specific qualification rules to apply for the plan. These models are:

Original Business visionary

• You ought to be an original business visionary, meaning you or your folks shouldn’t have any current business or modern unit.

• This measure is to guarantee that the plan helps just the people who are new to business ventures and have no family foundation or backing in business.

Degree or Recognition

• You ought to have a degree or recognition in any discipline from a perceived establishment.

• This standard is to guarantee that you have the fundamental instructive capability and information to begin and maintain an undertaking.

Project Cost

• You ought to have a venture cost between 10 lakhs and 1 crore, barring the expense of land and building.

• This model is to guarantee that the task is practical and plausible and doesn’t imply an excess of chance or speculation.

Appropriation

• You ought to profit an endowment of 25% of the task cost from the public authority, dependent upon a limit of 25 lakhs.

• This measure is to give you monetary help and a motivating force to begin your undertaking.

Edge Cash

• You ought to contribute edge cash of 10% of the venture cost.

• This measure is to guarantee that you have a few stakes and responsibilities in your undertaking.

• The edge cash can be deferred for SC/ST business people and ladies’ business visionaries.

• On the off chance that you meet these qualification measures, you can apply for the Requirements plot on the web or disconnect and begin your innovative excursion.

The NEEDS Scheme has assisted numerous business people with setting up new undertakings in different areas and adding to the monetary turn of events and development of Tamil Nadu. On the off chance that you are keen on applying for the plan, you can visit the authority site of TIIC or contact your closest DIC for additional subtleties.

Required Documents for NEEDS Scheme

The entrepreneurs who want to apply for the NEEDS scheme need to submit the following documents along with their application form:

Registration Documents

• Online or offline registration receipts issued by TIIC or DICs

• Aadhaar card or any other identity proof

• Degree or diploma certificate or mark sheet

• Community certificate (if applicable)

Training Documents

• Training certificate issued by the training institution

• Attendance sheet signed by the training institution

• Feedback form filled by the entrepreneur

Business Plan Documents

• A business plan prepared by the entrepreneur with the help of experts or consultants

• A copy of the project profile containing details such as project cost, subsidy, margin money, loan amount, etc.

• Market survey report or feasibility study report (if available)

Loan Sanction Documents

• Loan sanction letter issued by banks/TIIC/SIDBI

• Collateral security or third-party guarantee documents (if applicable)

• Subsidy claim form duly filled and signed by the entrepreneur

Project Implementation Documents

• Project completion certificate issued by TIIC or DICs

• A project inspection report issued by TIIC or DICs

• Subsidy release letter issued by TIIC or DICs

These are some of the required documents that entrepreneurs need to submit for availing of the NEEDS scheme and starting their own business ventures in Tamil Nadu.

Online Application for NEEDS Scheme in Tamil Nadu

The NEEDS scheme has a simple and easy application procedure for interested candidates. The procedure involves the following steps:

Registering Online or Offline

• The first step is to register online or offline with TIIC or District Industries Centres (DICs).

• The online registration can be done through the official website of TIIC (https://www.tiic.org/need-scheme/).

• Offline registration can be done by visiting the nearest TIIC office or DIC office and filling up the application form.

• The registration fee is Rs.500 for the general category and Rs.250 for SC/ST category.

• The registration is valid for one year from the date of registration.

Undergoing Entrepreneurial Training Program

• The second step is to undergo a 15-day entrepreneurial training program conducted by reputed institutions such as EDII, NIESBUD, IITs, etc.

• The training program covers various aspects of entrepreneurship such as opportunity identification, market analysis, project formulation, financial management, legal aspects, etc.

• The training program also includes exposure visits to successful enterprises and interaction with experts and mentors.

• The training fee is Rs.5000 for the general category and Rs.2500 for SC/ST category.

• The training certificate is issued after the completion of the training program.

Preparing Business Plan

• The third step is to prepare a business plan with the help of experts and consultants provided by TIIC or DICs.

• The business plan should include details such as project profile, market potential, technical feasibility, financial viability, etc.

• The business plan should also comply with the norms and guidelines of the scheme such as project cost, subsidy, margin money, etc.

• The business plan should be submitted to TIIC or DICs within 3 months from the date of completion of the training program.

Getting Loan Sanction

• The fourth step is to get a loan sanction from banks/TIIC/SIDBI for the project.

• The loan amount will be based on the project cost and the subsidy amount.

• The loan will be sanctioned at a low-interest rate of 3% for men and 2% for women and SC/ST entrepreneurs on the loan amount.

• The loan will have an easy repayment period of 5 to 7 years with a moratorium of 6 months to 1 year.

• The loan will be secured by collateral security or third-party guarantee.

Implementing Project

• The fifth and final step is to implement the project within 6 months from the date of loan sanction.

• The project should be set up in Tamil Nadu and should comply with all the statutory and environmental regulations.

• The project should also generate employment opportunities for at least 5 persons per project.

• The project should be monitored and evaluated by TIIC or DICs on a regular basis.

These are the steps involved in availing of the NEEDS scheme and starting your own business venture in Tamil Nadu.

Benefits of the NEEDS Scheme

The NEEDS scheme offers various benefits to entrepreneurs who avail themselves of it and start their own business ventures. These benefits are:

Subsidy

• The scheme provides a subsidy of 25% of the project cost from the government, subject to a maximum of 25 lakhs.

• The subsidy reduces the initial investment and the loan amount for the entrepreneurs.

• The subsidy is released in two installments: 50% after the loan sanction and 50% after the project implementation.

Low-Interest Rate

• The scheme offers a low-interest rate of 3% for men and 2% for women and SC/ST entrepreneurs on the loan amount.

• The low-interest rate reduces the interest burden and the monthly installments for the entrepreneurs.

• The low-interest rate also improves the profitability and sustainability of business ventures.

Easy Repayment

• The scheme allows an easy repayment period of 5 to 7 years with a moratorium of 6 months to 1 year.

• The easy repayment period gives enough time for entrepreneurs to establish and grow their business ventures.

• The moratorium period gives some relief for the entrepreneurs from paying the installments during the initial stages of the project.

Marketing Support

• The scheme provides marketing support from TIIC to the entrepreneurs who avail of the scheme.

• The marketing support includes linking the entrepreneurs with major industrial clients, facilitating participation in trade fairs and exhibitions, providing market information and guidance, etc.

• Marketing support helps entrepreneurs to expand their customer base, increase their sales and revenue, and enhance their brand image.

Mentorship

• The scheme provides mentorship from successful entrepreneurs to the entrepreneurs who avail the scheme.

• The mentorship includes providing advice, guidance, feedback, motivation, etc. to the entrepreneurs on various aspects of entrepreneurship such as innovation, technology adoption, quality improvement, customer satisfaction, etc.

• The mentorship helps entrepreneurs to overcome challenges, learn from best practices, improve their skills and knowledge, and achieve their goals.

These are some of the benefits that the NEEDS scheme offers to entrepreneurs who want to start their own business ventures in Tamil Nadu.

Contact Details and Helpline for NEEDS Scheme

Entrepreneurs who want to know more about the NEEDS scheme or have any queries or grievances can contact the following authorities:

TIIC

• The Tamil Nadu Industrial Investment Corporation Limited (TIIC) is the nodal agency for implementing the NEEDS scheme in Tamil Nadu.

• The entrepreneurs can visit the official website of TIIC (https://www.tiic.org/need-scheme/) for online registration, application form, guidelines, norms, etc.

• The entrepreneurs can also visit the nearest TIIC office or branch office for offline registration, application form, loan sanction, subsidy claim, etc.

• The entrepreneurs can contact the following helpline numbers or email ids for any assistance or clarification:

  • Toll-free number: 1800 425 6000

  • Landline number: 044-24331203

  • Email id: needsscheme@tiic.org

DICs

• The District Industries Centres (DICs) are the district-level agencies for implementing the NEEDS scheme in Tamil Nadu.

• The entrepreneurs can visit the nearest DIC office for offline registration, application form, training program, project implementation, etc.

• The entrepreneurs can contact the following helpline numbers or email ids for any assistance or clarification:

  • Toll-free number: 1800 425 1555

  • Landline number: 044-28583222

  • Email id: dic@tn.gov.in

These are some of the contact details and helpline numbers that entrepreneurs can use to avail themselves of the NEEDS scheme and start their own business ventures in Tamil Nadu.

FAQs for NEEDS Scheme

The followings are some of the frequently asked questions (FAQs) and their answers for the NEEDS scheme:

What is the NEEDS scheme?

The NEEDS scheme is a government initiative to promote entrepreneurship among educated youth in Tamil Nadu by providing them with training, financial assistance, and market linkages to set up new business ventures.

Who can apply for the NEEDS scheme?

Any educated youth in Tamil Nadu who has a degree or diploma in any discipline from a recognized institution and who is a first-generation entrepreneur can apply for the NEEDS scheme.

What are the benefits of the NEEDS scheme?

The benefits of the NEEDS scheme are:

• Subsidy of 25% of the project cost from the government, subject to a maximum of 25 lakhs

• Low-interest rate of 3% for men and 2% for women and SC/ST entrepreneurs on the loan amount

• Easy repayment period of 5 to 7 years with a moratorium of 6 months to 1 year

• Marketing support from TIIC and mentorship from successful entrepreneurs

What is the procedure for availing of the NEEDS scheme?

The procedure for availing of the NEEDS scheme is:

• Registering online or offline with TIIC or DICs

• Undergoing a 15-day entrepreneurial training program

• Preparing a business plan with the help of experts

• Getting a loan sanction from banks/TIIC/SIDBI

• Implementing the project within 6 months

What are the documents required for availing of the NEEDS scheme?

The documents required for availing of the NEEDS scheme are:

• Registration receipt issued by TIIC or DICs

• Aadhaar card or any other identity proof

• Degree or diploma certificate or mark sheet

• Community certificate (if applicable)

• Training certificate issued by the training institution

• Attendance sheet signed by the training institution

• Feedback form filled by the entrepreneur

• Business plan prepared by the entrepreneur

• Project profile containing details such as project cost, subsidy, margin money, etc.

• Market survey report or feasibility study report (if available)

• Loan sanction letter issued by banks/TIIC/SIDBI

• Collateral security or third-party guarantee documents (if applicable)

• Subsidy claim form duly filled and signed by the entrepreneur

• Project completion certificate issued by TIIC or DICs

• A project inspection report issued by TIIC or DICs

• Subsidy release letter issued by TIIC or DICs

How can I contact TIIC or DICs for more information on the NEEDS scheme?

You can contact TIIC or DICs for more information on the NEEDS scheme through the following helpline numbers or email ids:

• TIIC: Toll-free number: 1800 425 6000; Landline number: 044-24331203; Email id: needsscheme@tiic.org

• DICs: Toll-free number: 1800 425 1555; Landline number: 044-28583222; Email id: dic@tn.gov.in

These are some of the FAQs and their answers for the NEEDS scheme. If you have any other queries or doubts, you can contact TIIC or DICs for further clarification.