Term Loan Scheme (Charmakar Community)
By National Scheduled Castes Finance and Development Corporation (NSFDC)
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Quick Answer
A term loan scheme by the Government of Maharashtra and NSFDC for economically disadvantaged members of the Charmakar community to support their businesses, particularly in footwear and leather goods production.
- Funding amount
- ₹1L – ₹2.5L
- Funding type
- Debt
- Application deadline
- Rolling
- Location
- Maharashtra
About this loan
The "Term Loan Scheme" by the Department of Social Justice & Special Assistance, Government of Maharashtra, funded by the National Scheduled Castes Finance and Development Corporation (NSFDC), aims to uplift economically disadvantaged members of the Charmakar community (Dhor, Chambhar, Holar, Mochi, etc.). The scheme focuses on their educational, economic, and social advancement, helping them secure a respectable place in society. It specifically supports the production of various types of footwear and leather goods for supply to government departments and sale in the open market, thereby promoting entrepreneurship and livelihood generation within the community. This initiative provides crucial financial support to individuals looking to establish or expand their micro-enterprises, contributing to their self-reliance and integration into the mainstream economy.
Eligibility
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Grant providers
Benefits & Funding
- Amount
- ₹1L – ₹2.5L
- Fund type
- Debt
- Equity
- Equity-free
- Repayment
- Repayable
What You Get
- Loan Amount: Term Loans ranging from ₹1,00,000 to ₹2,50,000 are provided for various schemes, with separate limits for vehicle loans. This financial assistance is crucial for setting up or expanding small businesses.
- Project Financing: NSFDC typically finances 75% of the project cost, with an additional 20% provided as a Seed Loan to kickstart operations. A ₹10,000 subsidy is also included, reducing the overall financial burden. Beneficiaries are required to contribute the remaining 5% of the project cost.
- Interest Rates: For loans up to ₹5,00,000, NSFDC charges 7% per annum. For loans above ₹5,00,000, NSFDC charges 8% per annum. It is also noted that "the corporation" charges 4% per annum. The loan instalments are payable monthly over a period of up to 60 months. This funding supports businesses in the production of footwear and leather goods, aiming for economic and social advancement.
- Disbursement
- Tranched
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Application Process
- 1
Collect Application Form
Visit the District Office of LIDCOM during office hours to obtain the prescribed application form.
You - 2
- 3
- 4
How to apply
Four steps from draft to disbursement — one action each.
- 1
Draft your application
Answer the form inside the grant tracker — AI drafts each response using your past answers, so you're not starting from a blank page.
- 2
See the questions before you start
Download every question this programme's application form asks, so you can prepare your answers offline before opening the portal.
- 3
Line up your documents
Keep every document from the checklist ready in one folder. Missing docs are the #1 reason applications get bounced.
- 4
Submit on the official portal
Use the official application link and verify all details before final submission.
- 5
Follow up
Reach out 5–7 days after submitting to confirm receipt and ask about the review timeline.
Frequently Asked Questions
Who is eligible for this Term Loan Scheme?
Permanent residents of Maharashtra belonging to the Charmakar community, aged between 18 and 50 years, are eligible. Applicants must have an annual income below the poverty line (or specific thresholds for rural/urban areas as per the NSFDC scheme), possess an Income and Caste Certificate, and have knowledge of the business for which they are applying for the loan.
What is the maximum loan amount I can receive?
The scheme provides Term Loans ranging from ₹1,00,000 to ₹2,50,000 for various schemes, with separate limits for vehicle loans.
How is the project financed under this scheme?
NSFDC finances 75% of the total project cost. An additional 20% is provided as a Seed Loan, and a ₹10,000 subsidy is also part of the financial support. The beneficiary is required to contribute the remaining 5% of the project cost.
What are the applicable interest rates for these loans?
For loans up to ₹5,00,000, NSFDC charges an interest rate of 7% per annum. For loans above ₹5,00,000, NSFDC charges 8% per annum. Additionally, "the corporation" (likely a state implementing agency) charges 4% per annum on loans. Loan instalments are repayable monthly over a period of up to 60 months.
What types of businesses are supported by this scheme?
The scheme primarily supports beneficiaries in the production of various types of footwear and leather goods. This includes supporting businesses that supply these products to government departments and sell them in the open market.
How do I apply for this loan?
The application process is offline. Interested applicants must visit the District Office of the Leather Industries Development Corporation of Maharashtra (LIDCOM) during office hours to obtain the prescribed application form. After filling out the form and attaching all necessary documents, it should be submitted to the concerned authority. It is important to obtain a receipt or acknowledgement upon submission.
Sources
Data on this page is compiled from official program and provider references.
