Jharkhand is a state that is known for its mineral resources and industrial areas. Despite the potential of the mineral and industrial area in Jharkhand, the government there is not limited to that. The Government of Jharkhand provides adequate support to micro, small, and medium enterprises to become well established and to increase their market reach. Both the state and central level governments provide funding grants and various schemes to those MSMEs who have completed their Udyam registration online process to encourage entrepreneurship and economic growth. Businesses that are registered under the Udyam registration portal are provided with many benefits and incentives, due to which they can promote their business expansion innovation. Along with this, financial stability is also achieved in their business.

Why is Udyam registration essential for businesses in Jharkhand?

The Udyam Registration initiative was started for the Micro, Small, and Medium Enterprises (MSME), which provides official recognition to registered businesses. Businesses that register their business through the Udyam Registration Portal get multiple benefits, including subsidies, loans, and the ability to participate in government tenders. Entrepreneurs in Jharkhand should get their Udyam registration done so that they can access all the initiatives of the central and state governments.

Government funding for businesses registered with Udyam in Jharkhand

1. Prime Minister's Employment Generation Program

The Prime Minister's Employment Generation Program (PMEGP)  is a scheme started by the Central Government that supports MSMEs. Hence, under this scheme, new enterprises get financial help. This scheme is implemented in Jharkhand by the Khadi and Village Industries Commission, and it offers:

• 15% to 35% subsidies on the total cost of the project.
• Manufacturing units get a subsidy of up to Rs 50 lakh, and service units get a subsidy of up to Rs 20 lakh.

2. Credit Guarantee Fund Scheme for Micro and Small Enterprises

Under the CGTMSE scheme, businesses located in Jharkhand get collateral-free loans up to Rs 2 crore. This scheme ensures that the financial stability of MSMEs is maintained. Apart from this, if startups and small businesses are facing difficulty in getting credit, then their problem also gets solved because of this scheme.

3. Loan availability at subsidized rates by the Government of Jharkhand

The Government of Jharkhand collaborates with banks and financial institutions to provide loans at subsidized rates to support MSMEs. It also includes an interest subvention scheme due to which Udyam-registered businesses, when repaying the loan amount get some percentage of the amount back and their borrowing capacity increases they can invest that money in their business and expand their market horizon.

4. Mudra Loan Scheme

Under the Pradhan Mantri Mudra Yojana, Udyam-registered businesses in Jharkhand get help to get collateral-free loans under three categories:

• Loans up to Rs. 50,000 are available in the Shishu category.
• Loans ranging from Rs. 50,000 to Rs. 5 lakh are available in the Kishore category.
• Loans ranging from Rs. 5 lakh to Rs. 10 lakh are available in the Tarun category.

Due to these loans, the dilemma of new startups or small businesses looking for working capital to expand their business is resolved.

Government grants for Udyam-registered businesses in Jharkhand:

1. Stand Up India Scheme

Because of this scheme, women and SC/ST entrepreneurs in Jharkhand get financial support. This scheme helps people from every stratum to become financially independent. Udyam-registered MSMEs get loans between Rs 10 lakh and Rs 1 crore if they want to start a business in green field enterprises.

2. Jharkhand MSME Cluster Development Scheme

This scheme was started so that MSME clusters can get financial assistance for technology upgrades, market support, and infrastructure development. Cluster MSMEs who have got their business registered under Udyam can get all the grants, due to which their productivity increases as well as they remain competitive.

3. Technology and Quality Upgradation Support Scheme

As all countries want to reduce the carbon emission of their country, our Indian government has also brought many environment friendly and energy efficient schemes to reduce the carbon emission of our country. One of them is the Technology and Upgradation Support Scheme, which provides financial assistance to MSMEs located in Jharkhand, and with the help of this scheme, MSMEs can implement energy-efficient technology, reduce costs, and have environmental sustainability.

.4. Innovation and Startup Policy of Jharkhand

The government of Jharkhand has provided a number of financial grants to support innovative startups, apart from this, incubation facilities and mentoring support have also been provided. Startups that have completed their Udyam registration can apply for grants under this policy and promote their entrepreneurship.

Important schemes of the Government for Udyam-registered businesses in Jharkhand

1. Single window clearance system

As there are many bureaucratic hurdles in starting any new business, to remove them and to make it easier to do business, the government of Jharkhand has started a single window system for Udyam-registered MSMEs so that they can get the approval of their business and regulatory compliance and all the bureaucratic hurdles are reduced.

2. Industrial policy of Jharkhand

Under this policy, MSMEs get many incentives such as tax exemptions, land subsidies or power tariff exemption. Enterprise registered business can avail all the financial relaxations under this scheme.

3. Public procurement policy for MSMEs

Under this scheme, Udyam registered MSMEs in Jharkhand get priority in government procurement, which ensures that a stable market is maintained for their product and service.

4. Skill Development and Entrepreneurship Scheme

The state government of Jharkhand has collaborated with Skill Development programs to provide training programs to MSME employees to enhance their workforce scale and productivity.

How do you apply for government support?

MSMEs located in Jharkhand and wishing to avail of the above-mentioned scheme grants must first do the following:

• Go to the Udyam Registration Portal and register your enterprises by filling out the Udyam Registration Form.

• If you want to get more information about the scheme, you can see the details on Jharkhand MSME Department and KVIC website.

• Approach banks or financial institutions to get information about subsidized loans and grants.

• Apply for cluster-based assistance through the Jharkhand Industrial Area Development Authority (JIADA).

• Enroll in a skill development program through Jharkhand’s Entrepreneurship Support Scheme.

Conclusion:

The Government of Jharkhand, in partnership with the Central Government, has brought many funding grants and schemes to uplift the Udyam-registered MSMEs. Entrepreneurs can take advantage of all these benefits and can make their business even more productive. Apart from this, it can also create employment opportunities. The Udyam-registered MSMEs in Jharkhand should take advantage of all the resources that are available to them, and whatever information related to this gets updated in the future should also remain up to date so that they will be able to thrive in their market even more in this era of competition.