Credit Guarantee Scheme for Startups (CGSS)

Department for Promotion of Industry and Internal Trade (DPIIT)

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Details

Amount

Upto: ₹10 crore

Provider

Department for Promotion of Industry and Internal Trade (DPIIT)

Type

grant

Stage

growth Stage

About this Opportunity

The Credit Guarantee Scheme for Startups (CGSS) aims to provide credit guarantee up to a specified limit against loans extended by Member Institutions (MIs) to finance eligible startups recognized by DPIIT. The scheme facilitates collateral-free funding to startups that have reached a stable revenue stage and are amenable to debt financing. The guarantee cover can be transaction-based or umbrella-based (for SEBI-registered AIFs).

Eligibility

Startup must be recognized by DPIIT as per Gazette Notifications.
Startup must have reached a stage of stable revenue stream, assessed from audited monthly statements over 12 months, amenable to debt financing.
Startup should not be in default to any lending/investing institution and not classified as NPA as per RBI guidelines.
Startup's eligibility must be certified by the Member Institution for guarantee cover.
The maximum guarantee coverage is Rs. 10 crore per borrower.

Application Process

Startups need to approach Member Lending Institutions (MLIs) such as Scheduled Commercial Banks, Financial Institutions, and RBI-registered NBFCs (with a rating of BBB and above and net worth of ₹100 crore), and SEBI-registered Alternative Investment Funds (AIFs) for availing credit facilities under CGSS. The MLI will evaluate the startup's eligibility and project viability and then apply for guarantee cover on the NCGTC portal. Startups do not directly apply to NCGTC.

Apply Online