Scheme for Small Business Owners of Scheduled Castes to Buy a Place of Business/Shop

Scheme for Small Business Owners of Scheduled Castes to Purchase Business Premises (Scheduled Castes Business Premises Scheme)

The “Scheme for Small Business Owners of Scheduled Castes to Purchase Business Premises” is an initiative by the Government of Gujarat aimed at empowering individuals from the Scheduled Castes (SC) community. Launched in 1991 by the Directorate of Scheduled Caste Welfare within the Department of Social Justice & Empowerment, this scheme facilitates financial support in the form of loans and subsidies. Its primary goal is to assist SC individuals in acquiring business locations or shops in urban settings, thereby fostering entrepreneurship and economic growth.

Key Benefits of the Scheme

This scheme provides substantial financial support to eligible beneficiaries, enabling them to establish their businesses. The key benefits include:

• A maximum loan amount of ₹10 lakhs for purchasing business premises or shops in urban areas.
• The beneficiary is required to pay an interest rate of up to 4%, with the government subsidizing any additional interest for three years.
• A subsidy assistance of ₹15,000 is also granted under the scheme.

Eligibility Requirements

<pTo qualify for this scheme, applicants must meet the following criteria:

• The applicant must be a resident of Gujarat.
• Applicants must belong to the Scheduled Caste category.
• There are no income restrictions for eligibility.
• Loan assistance is designated solely for purchasing a shop or business at one location.
• Subsidy payments will be disbursed only after three months of the shop’s opening.
• Priority will be given to educated unemployed individuals, former mill workers, those with technical or professional qualifications, and self-employed persons.
• Loans may also be granted for shops or business premises rented long-term from State Governments, Boards, Corporations, Urban Development Authorities, Local Self-Government Bodies, or Gram/Nagar Panchayats, provided the premises are mortgaged to the government until the loan is repaid.
• If the applicant constructs on their own land, they must provide proof of clear title and that the land is uncultivated.
• Applicants must offer security equivalent to the loan amount, which can be covered by two local individuals with immovable property.

Important Considerations

Applicants should be aware of the following stipulations:

• The business location must comply with relevant land and construction regulations. Any infractions may lead to recovery of the loan amount through revenue collection.
• The sanctioned loan must be utilized solely for its intended purpose; failure to do so will result in recovery of the amount along with penal interest.
• Applicants may repay the loan and interest ahead of schedule without penalties.
• No illegal activities are permitted at the business location acquired through this scheme.
• Defaulters on loans and interest will incur an additional penal interest of 2.5%, and outstanding amounts may be recovered as land revenue arrears.

Application Process

To apply for the scheme, follow these steps:

• Step 1: Visit the e-Samaj Kalyan Portal at https://esamajkalyan.gujarat.gov.in/.
• Step 2: On the homepage, click on ‘Citizen Login’ and select ‘New User Please Register Here’.
• Step 3: Enter your Full Name (as per Aadhaar), Gender, Date of Birth, Aadhaar Number, Email ID, Caste, and then click ‘Register’.
• Step 4: After successful registration, log in using your User ID and Password.
• Step 5: Click on ‘User Profile’ to update your details.
• Step 6: Fill in all mandatory information and click ‘Update’.
• Step 7: Select the scheme from the homepage; an application form will appear.
• Step 8: Complete the application form by filling in all required details and uploading the necessary documents.
• Step 9: Agree to the terms and conditions, then click ‘Save Application’.
• Step 10: Submit the application form and print a copy for your records. You can track your application status using your User ID and Password.

Conclusion

This scheme serves as a vital financial resource for Scheduled Castes in Gujarat, promoting entrepreneurship and self-sufficiency. By providing affordable loans and subsidies, the government aims to uplift the economic status of SC individuals and foster small business growth in urban areas.