PMEGP is a central sector scheme that comes under the Ministry of Micro, Small and Medium Enterprises (MoMSME). The scheme is handled by Khadi and Village Industries Commission (KVIC), which takes the lead role at the national level. In each state, the scheme is put into action through State KVIC Directorates, State Khadi and Village Industries Boards (KVIBs), District Industries Centers (DICs), and Coir Board, which are called the Implementing Agencies.

The Benefits of PMEGP

  • Subsidy from banks to help people establish new microenterprises outside the farming sector.
  • If your project is in manufacturing and under Rs. 50 Lakh, you can get a Margin Money subsidy on Bank Loan ranging from 15% to 35%.
  • Anyone belonging to the SC/ST/Women/PH/Minority/Ex-Servicemen/NER categories in rural areas gets a 35% margin money subsidy, while the same in urban areas is 25%.

Eligible Applicants

  • Any person who is 18 or older is allowed
  • There is no maximum income limit for those who want assistance in setting up projects under PMEGP
  • You do not need any formal education to get project cost up to 10 Lakhs for manufacturing and 5 Lakhs for the service sector.
  • Those setting up a project with a cost above Rs. 10 lakh in manufacturing and above Rs. 5 lakh in business /service must have at least VIII standard qualification.
  • Groups that are eligible for Self Help Groups (BPL groups are included if they have not been supported by other Schemes).
  • Societies that have registered under the Societies Registration Act, 1860.
  • Production Co-operative Societies, and,
  • Charitable Trusts are allowed to receive help under the PMEGP scheme.
  • Those units that are presently registered and those that have availed subsidy under any other scheme run by the Government of India or their state governments are not eligible.

Additional Information

  • To give people in both villages and towns the chance to earn a living by starting their own self-employment ventures/projects/micro enterprises.
  • To connect distant artisan groups and jobless youth from both rural and urban areas and assist them in self-employment opportunities as much as possible at their place.
  • To offer steady and lasting jobs to traditional and future artisans and young people from towns and cities, so as to stop rural youth from moving to cities.
  • To make sure that artisans can earn more and contribute to a rise in employment in both rural and urban areas.

How Finline Helps You Apply for PMEGP Loan — In Just 3 Simple Steps

✅ Select Your Business Type & Sector
 Whether you’re starting a manufacturing unit, service business, or trading venture, Finline lets you choose your exact industry. Your project report is crafted to meet PMEGP guidelines and impress implementing agencies and banks.

✅ Answer Easy, Guided Questions
 No financial jargon. Just respond to simple, structured questions about your business idea, market potential, and financials. Finline converts your answers into a complete and compliant project report—fast and stress-free.

✅ Download Your PMEGP-Ready Project Report
 Get an instantly downloadable, bank-ready project report in PDF or Word format. Fully structured, editable, and aligned with PMEGP norms—ready to submit with your loan application.

Impact You Can Measure—Powered by Finline

Higher approvals, less manual work, and faster delivery—our impact stats prove how project reports can transform your workflow.

62%

Increase in Loan Approval Success Rate

78%

Faster Turnaround in Project Report Submissions

45%

Reduction in Cost of Report Preparation

98%

Customer Satisfaction & Retention Rate

Why Choose Finline for Professional & Budget-Friendly Project Reports?

When it comes to creating project reports, efficiency and accuracy are key. Finline combines advanced technology with expert insights to deliver reports that help you succeed—faster than ever before.

✔️ AI-Guided Inputs for Total Accuracy
Our intelligent AI engine reduces errors by over 85%, ensuring your data is precise and reliable—critical for bank approvals and investor confidence.

✔️ Bank-Approved Formats
All our reports follow the latest financial and regulatory standards, giving you a 95% higher chance of loan approval compared to DIY reports.

✔️ 100% Data Security
We protect your sensitive business data with enterprise-grade encryption, complying with global data privacy regulations to keep your information safe.

✔️ Save Hours of Time
On average, users complete their project reports 78% faster with Finline, freeing up valuable time to focus on growing their business.

✔️ Instant Downloads
Get your polished, professional report immediately—available in PDF, Word, and Excel formats. No waiting, no delays, no hassle.

✔️ Easy-to-Edit Reports
Change or update your report anytime. Our fully customizable project report templates let you adapt your document to evolving project needs or lender requests.

Frequently Asked Questions (FAQs)

Through PMEGP, the central government gives financial support to people who want to start their own small businesses in rural and urban areas.

PMEGP is carried out by Khadi and Village Industries Commission (KVIC), State KVIC Directorates, District Industries Centres (DICs), and State Khadi and Village Industries Boards (KVIBs) in every part of India.

The scheme is accessible to all entrepreneurs, whether in cities or villages, to help build more businesses in India and support youth in setting up their own businesses in cities.

PMEGP gives a subsidy of 15% to 35% based on the location and category of the applicant. Once the project is approved and the funds are released, the subsidy is given straight to the beneficiary’s loan account.

The highest amount you can spend on manufacturing is ₹50 lakh, and ₹20 lakh for service sectors. Any extra expenses should be paid for by the applicant or with the help of a bank loan.

Yes, the scheme is meant for people who are trying entrepreneurship for the first time. New companies are the only ones that can be considered under this scheme.

Those 18 and above who have finished 8th standard education are allowed to apply, so PMEGP is ideal for youth with business ideas.

If the project is worth up to ₹10 lakh, no collateral is needed, so new entrepreneurs do not have to put up assets to get a loan.

Yes, those SHGs that do not take part in other schemes and are not registered as production units can still apply for PMEGP on their own.

PMEGP is a national program that can be used in all Indian states and union territories. In different places, the agencies in charge of implementing policies are not the same.

An applicant should be at least 18 years old, have a high school diploma or equivalent, and want to start a new business. Co-operative societies, charitable trusts, and SHGs are included as well.

You should include your business idea, the money you are investing, working capital, potential market, and what you expect to gain from the project in your report. It plays an important role in your application. With Finline, you can create a professional, bank-ready project report tailored to PMEGP requirements in just minutes—no financial background needed.

PMEGP offers help to manufacturing, trading, and service-based businesses including tailoring units, agarbatti making, mobile repair, bakery, and various others.

Certain actions such as producing alcohol, tobacco, plastic carry bags, and doing anything harmful to the environment are not allowed.

The rule is that general category applicants need to invest 10% of the project cost, whereas special categories (SC/ST/OBC/women) need to contribute 5%.

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