Being employed is a status of reputation. Like it or not, the description of our job has more value than our temperament. But anyway, a job is a fundamental factor to make ends meet in a world where developments and advancements are inevitable. A regimented 9 to 5 job, being an employee and working rigorously for your boss, and at the end of the month letting your salary decide how hard you worked is all that we can think of when we think of a job or career. But that’s not true. Over the years the growth of entrepreneurs is immense. In many developing countries, entrepreneurs are believed to bring a change in society, increase employment growth and boost the country’s economy. According to the CEOWORLD magazine Entrepreneurial Index 2021, the United States has been recognized as the world’s most entrepreneurial country followed by Germany and the United Kingdom. In this index, India stands in ninth place.
The economic growth of a country defines its richness of the country and enterprises play a major role in its growth. India stands fifth in the world economy list with a GDP of $2.87 trillion in 2019. This is less when compared to the growth of the US which has a higher number of entrepreneurs. Hence, entrepreneurs are important for the economic growth of a nation. As they are working on their projects with all profit and loss maintenance, they are also known as self-employed.
Starting a business is never child’s play. More than emotional intelligence and guidance, entrepreneurs need financial support. Since more entrepreneurs benefit the country, the Government steps forward to help young businessmen and women kick-start their businesses. The government offers helpful schemes to aid entrepreneurs. The schemes provide monetary assistance in form of loans or subsidies. Let us see a few schemes that helped businesspeople to turn their dream into reality.
Atal Incubation Centre (AIC)
The major purpose of this scheme is to promote a culture of innovation and entrepreneurship in India. This scheme helps organizations or individuals to cover the capital operational costs. This scheme selects startups and endows funding up to Rs 10 Crore over a period of five years. The fields of startups that can apply to this scheme are:
This scheme anyway comes with a condition that the person should provide at least 10,000 square feet of space for infrastructure for their respective business purpose within a period of six months from the date of funding.
For further information, visit: https://niti.gov.in/writereaddata/files/Guidelines%20to%20setup%20AIC%20May%202016.pdf
The New Generation Innovation and Entrepreneurial Development Center program was introduced in the year 2017 by the Department of Science and Technology. This certainly provides help to college students who want to expand their career as an entrepreneur and this scheme helps students to work on an innovative project for five years. It basically promotes knowledge-based and technology-driven startups. The scheme provides the funding of rs. 25 lakh in phases.
MSME Market Development Assistance
Business is not just about the outset, it’s also about establishing and expanding. One of the branches of India, the Ministry of Small, Medium Enterprises is collectively formed to regulate and administer the rules and laws relating to enterprises. The organization or the business which have registered to MSME can avail of this MSME market development assistance to expand their business through international trade fairs and exhibitions.
Visit this website to know more: https://my.msme.gov.in/MyMsmeMob/MsmeScheme/Pages/0_2_5.html
Women Entrepreneurship Platform (WEP)
The percentage of women entrepreneurs is comparatively less to male entrepreneurs. To break this stigma and support businesswomen, the government helps with funding and further establishment aid to them. WEP was launched by NITI Ayog(National institution for transforming India). It is divided into three aspects.
- Iccha Shakti – motivation for women entrepreneurs
- Gyaan Shakti – knowledge and ecosystem
- Karma Shakti – support to transcend the business
Credits from this scheme such as guidance, endowments, partnerships. They also offer support to startups that are founded or co-founded by women.
Swarojgar Credit Card
This scheme helps not just entrepreneurs but micro-entrepreneurs (a company with a maximum of 10 employees), rickshaw owners, fisherman, the service sector, handloom weavers are all eligible for this scheme. The scheme provides a loan of rs. 25000 and interest will be collected as per the norms of the Reserve Bank of India. To manage the working capital expenses, the person that applies to this scheme will be provided with a credit card and a passbook.
To learn more visit: https://www.startupindia.gov.in/content/sih/en/government-schemes/swarojgar_credit_card.html#:~:text=Swarojgar%20Credit%20Card%20(SCC)%20Scheme,including%20micro%2Dentrepreneurs%2C%20SHGs%2
Venture Capital Scheme
The scheme which was introduced by Small Farmers’ Agribusiness Consortium’s (SFAC) motive is to promote the field of agriculture. The scheme provides assistance to farmers and agriculture graduates to increase the participation of active youths. People who are eligible for this scheme are Individuals, farmers, producer groups, Agri-preneurs.
The return payment from the beneficiary should be the full sum to SFAC.
Visit this website to learn more: https://www.startupindia.gov.in/content/sih/en/government-schemes/venture-capital-scheme.html
Raw Material Assistance Scheme
To produce qualified and standard products requires financial establishments. To support this and improve the quality of the products, this scheme finances the purchase of raw materials. Micro, small, and medium scale industries can apply for the scheme. Sanctioning the money will be done after unit inspection after the submission of the application.
Pradhan Mantri Mudra Yojana
Technological enterprises who want to expand their business can apply for this scheme. The scheme provides loans up to ten lakhs without collateral (security or surety). The scheme is divided into:
- Shishu – Rs. 50,000 loan coverage
- Kishor – Rs. 50,000 to 5 Lakh coverage
- Tarun – Rs. 5 lakh to 10 lakh coverage
India is downright substandard in terms of entrepreneurial development. It is necessary for a nation to have and support entrepreneurs for economic development and lower the unemployment rates. Innovations and products require more work, which looks for more people leading to an increase in the employment rate. In this way, we have more production, increase in GDP which can sustain the reputation as a nation, and reputation as an individual.
CORRESPONDENT: SUJITHRA G.