Special Credit Linked Capital Subsidy Scheme (SCLCSS) is to facilitate capacity augmentation of existing SC/ST MSEs and for creation on new enterprises among SC/ST communities, 25 percent capital subsidy is provided for purchase of plant & machinery / equipment through institutional finance (bank loan).

This scheme has been launched by the Ministry Of Micro, Small & Medium Enterprises.

Under SCLCSS, 25% subsidy to SC/ST MSEs on institutional finance for procurement of Plant & Machinery / equipment without any sector specific restrictions is provided.

There is no such restriction. The scheme covers SC/ST MSEs of both manufacturing and service sectors. However, the industries covered under the RED category as per the Classification of industries for consent management (Schedule- VIII, rules 3(2) and 12 of Ministry of Environment & Forests, Govt. of India) shall not be eligible for subsidy under the above scheme.

Yes.

No, only Micro and Small-Scale Enterprises (existing & new) are eligible under SCLCSS.

The subsidy shall be admissible for investment in acquisition/replacement of plant & machinery/equipments & technology up-gradation of any kind through institutional finance. But fabricated /second-hand machinery /equipment will not be eligible for subsidy under the component of the scheme.

The units availing subsidy under the SCLCSS shall be eligible for all other types of subsidies except any other Central Government /State Government Subsidy for technology upgradation.

To avail the subsidy benefit under the scheme, the sanctioned term loan should not be for less than three years including moratorium period for MSEs.

Banks will follow the principle of First -In -First -Out (FIFO) while submitting the claims online under SCLCSS Scheme. The principle of First -In -First -Out (FIFO) will also be followed by the NSSH Cell for disbursement of subsidy to the eligible beneficiary unit.