{"id":541,"date":"2020-08-10T10:23:02","date_gmt":"2020-08-10T10:23:02","guid":{"rendered":"https:\/\/grow.refrens.com\/?p=541"},"modified":"2025-12-03T13:24:46","modified_gmt":"2025-12-03T13:24:46","slug":"eclgs-cover-individual-entrepreneurs","status":"publish","type":"post","link":"https:\/\/www.refrens.com\/grow\/eclgs-cover-individual-entrepreneurs\/","title":{"rendered":"Emergency Credit Line Guarantee Scheme(ECLGS) to cover individual entrepreneurs"},"content":{"rendered":"\n

The government has decided to extend the ECLGS scheme to include individual entrepreneurs<\/strong>. This is a move to cover the lag in the economic growth caused due to Pan-India lockdown and the COVID pandemic. Individual entrepreneurs head more than 6.3 crore Micro, Small and Medium Enterprises (MSMEs),<\/strong> and larger companies across India. <\/p>\n\n\n\n

Under this scheme, individuals can now avail additional 20% collateral-free loan<\/strong> for the purpose of business<\/strong>. Loans on equipment <\/strong>can also be availed by individuals, including truck drivers, small shopkeepers, taxi drivers, lawyers, agriculture equipment owners, doctors and engineers. <\/p>\n\n\n\n

For companies to be eligible for the additional loan, the limits have been increased to outstanding loans with upto Rs 50 crore<\/strong> and annual turnover of upto Rs 250 crore<\/strong>. Thus, now the amount of maximum loan to be availed by an entity is increased to roughly Rs 10 crore from Rs 5 crore previously. <\/p>\n\n\n\n

Due to the changes made in the scheme, Rs 1 lakh crore more will be added to the existing sanctioned amount of Rs 1.37 lakh crore by the lending institutions. Government-guaranteed loans of upto Rs 3 lakh crore have been offered by the banks for this scheme. <\/p>\n\n\n\n

The per-loan-disbursement by the private banks is almost 5.6 times higher than the state-owned banks<\/strong>. First time borrowers and NPAs are however not allowed<\/strong> to raise the funds under the scheme. <\/p>\n\n\n\n

For ECLGS, the interest rates<\/strong> are the following:
<\/p>\n\n\n\n

Banks <\/td>9.25 % p.a. <\/td><\/tr>
NBFCs<\/td>Maximum upto 14% p.a.<\/td><\/tr>
Other financial institutions<\/td>9.25 % p.a. <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

The scheme is open till October 31 or until the fund of Rs 3 lakh crore is sanctioned. <\/p>\n\n\n\n

As the pandemic still prevails, further decisions are awaited by the government in support of MSMEs. <\/p>\n\n\n\n

More about this story can be read here<\/p>\n\n\n\n

Other important MSME, Startup, Freelancer news is here:<\/strong><\/p>\n\n\n\n

RBI extends provisions of restructuring of MSME loans for borrowers with loan upto Rs 25 cr. More details can be read here<\/p>\n\n\n\n

Airtel, Amazon Web Services to help MSMEs, others adopt cloud solutions; offer these services. More details can be read here<\/p>\n\n\n\n

PM Modi tells bank chiefs to boost MSME Loans.<\/p>\n\n\n\n

If you are a freelancer and worried about filing ITR, don’t worry, we have got you covered! Read our blog on how to file ITR for freelancers can be read here<\/p>\n","protected":false},"excerpt":{"rendered":"

The government has decided to extend the ECLGS scheme to include individual entrepreneurs. This is a move to cover the lag in the economic growth caused due to Pan-India lockdown and the COVID pandemic. Individual entrepreneurs head more than 6.3 crore Micro, Small and Medium Enterprises (MSMEs), and larger companies across India.  Under this scheme, …<\/p>\n

Emergency Credit Line Guarantee Scheme(ECLGS) to cover individual entrepreneurs<\/span> Read More »<\/a><\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","site-sidebar-layout":"default","site-content-layout":"default","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","spay_email":""},"categories":[5],"tags":[],"jetpack_featured_media_url":"","uagb_featured_image_src":{"full":false,"thumbnail":false,"medium":false,"medium_large":false,"large":false,"1536x1536":false,"2048x2048":false,"refrens-yarpp-thumbnail-w200":false,"newspack-article-block-landscape-large":false,"newspack-article-block-portrait-large":false,"newspack-article-block-square-large":false,"newspack-article-block-landscape-medium":false,"newspack-article-block-portrait-medium":false,"newspack-article-block-square-medium":false,"newspack-article-block-landscape-small":false,"newspack-article-block-portrait-small":false,"newspack-article-block-square-small":false,"newspack-article-block-landscape-tiny":false,"newspack-article-block-portrait-tiny":false,"newspack-article-block-square-tiny":false,"newspack-article-block-uncropped":false,"yarpp-thumbnail":false,"web-stories-poster-portrait":false,"web-stories-publisher-logo":false,"web-stories-thumbnail":false},"uagb_author_info":{"display_name":"Sakshi Baid","author_link":"https:\/\/www.refrens.com\/grow\/author\/sakshibaid\/"},"uagb_comment_info":0,"uagb_excerpt":"The government has decided to extend the ECLGS scheme to include individual entrepreneurs. This is a move to cover the lag in the economic growth caused due to Pan-India lockdown and the COVID pandemic. Individual entrepreneurs head more than 6.3 crore Micro, Small and Medium Enterprises (MSMEs), and larger companies across India.  Under this scheme,…","_links":{"self":[{"href":"https:\/\/www.refrens.com\/grow\/wp-json\/wp\/v2\/posts\/541"}],"collection":[{"href":"https:\/\/www.refrens.com\/grow\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.refrens.com\/grow\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.refrens.com\/grow\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/www.refrens.com\/grow\/wp-json\/wp\/v2\/comments?post=541"}],"version-history":[{"count":5,"href":"https:\/\/www.refrens.com\/grow\/wp-json\/wp\/v2\/posts\/541\/revisions"}],"predecessor-version":[{"id":26915,"href":"https:\/\/www.refrens.com\/grow\/wp-json\/wp\/v2\/posts\/541\/revisions\/26915"}],"wp:attachment":[{"href":"https:\/\/www.refrens.com\/grow\/wp-json\/wp\/v2\/media?parent=541"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.refrens.com\/grow\/wp-json\/wp\/v2\/categories?post=541"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.refrens.com\/grow\/wp-json\/wp\/v2\/tags?post=541"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}