Jobless and Dreaming of a Business: How Can I Tap into MSME Schemes for Support?

I had been working for about 6-7 months with a small transport organization, which had a fleet of vans, etc. Now it has closed down, and I am jobless. I want to start my own business, and I am told that the Ministry of MSME has many schemes under which Working Capital and Term loans are given by banks, without collateral, and subsidy is also available. Please guide me in this regard.

Kindly get in touch with the MSME section that most banks have. Make sure you have a good business plan ready when pitching for any working capital and term loan requirements.

I echo RajKri. Before you approach the banks, create a business plan with exact details of how much money it would earn and at what point in time. Banks might ask for a guarantee of collateral. Please research well on that. You should not promise more than you can earn back.

Wish you all the best!

You are right. The Ministry of MSME has many schemes to help qualified young people set up their own businesses. Please think and identify your skills, interests, likes/dislikes. Answer the following questions:

Your Skills and Business Alignment

- Your skills and likes/dislikes match with what kind of businesses?
- What kind of companies/people are engaged in these businesses?
- What kind of competition exists here?
- What opportunities do you see in this business?
- What is your unique strength to get into this business?

Business Strategy and Planning

- In what segment of your chosen business will you operate? What kind of customers will you target?
- What is your marketing and selling plan?
- Will you operate solo or have a team? What kind of team will you require?
- What is your support system? For how long can you sustain yourself without earning?
- How much money will you require and over what period of time?
- What is your plan to return the money?

Prepare a solid business plan covering all the above points and then approach the Ministry of MSME/Banks for the loan. I wish you all the best!

Regards,
Indu Wadhwa
Founder & Principal Consultant
Inspiring People