The Haryana Government has implemented the scheme “Start-ups / First Generation Entrepreneurs” to encourage and give support to the prospective start-ups or first generation entrepreneurs of the State for setting up of Micro and Small Enterprises.
Referring to the eligibility criteria for start-ups, a spokesman of Industries and Commerce Department said that professionals such as engineers, MBA, CA with five years experience even without having any business background (first generation entrepreneurs) would be eligible under the scheme.
Apart from this, the net worth of the promoters should be less than the required capital as per their project report. The facility for providing collateral free loan would also give tremendous support to the start-ups or first generation entrepreneurs, he added.
He said that the plant and machinery installed by the unit should be new or second-hand imported machinery with residual life of ten years.
He said that the above incentive would be available if the units are set up in 'B', 'C' and 'D' Category Blocks. However, he made it clear that the unit should not have been placed in the restrictive list as notified by the State government from time to time.
Apart from this, the unit should have obtained No Objection Certificate (NOC) or Change of Land Use (CLU) from competent Authority if applicable and it should be in commercial production.
He said that exemption of 100 per cent Value Added Tax (VAT) or State Goods and Services Tax (SGST) would be provided up to turnover of Rs.3 crore for three years whichever is earlier in ‘B’, ‘C’ and ‘D’ category blocks.
Besides, no other taxes including local municipal tax would be levied till such time (Achievement of Rs.3 crore turnover or three years whichever is earlier).
He said that such enterprises would be exempted from inspection of the concerned departments except in the cases where it is mandatory by law. Apart from this , the entrepreneurs covered under this category would be given interest subsidy at the rate of five per cent for Micro and Small Enterprises on term loan for maximum up to Rs.10 lakh per year for three years in ‘B’, ‘C’ and ‘D’ categories blocks. The entrepreneurs would have to apply for interest subsidy separately, he added.
