Govt Launches ₹5 Lakh Grant Scheme for New MSMEs July 17, 2025 Akansha Dwivedi Msme News 0 New Delhi, July 17, 2025The Ministry of MSME has introduced the ₹5 Lakh MSME Subsidy Scheme 2025 to support newly registered micro, small, and medium enterprises across India. This is a direct grant, not a loan, designed to help startups cover setup costs, buy machinery, and invest in digital tools.The scheme is part of the government’s Startup India and Make in India push, with a focus on creating jobs and supporting local businesses.What Is the ₹5 Lakh Subsidy Scheme for New MSMEs 2025?The scheme offers a direct financial grant of up to ₹5 lakh to eligible startups and small businesses under the MSME classification. It aims to support newly registered ventures by helping them cover initial setup costs, purchase essential machinery, or invest in technology and infrastructure. Unlike traditional loan-based programs, this subsidy is non-repayable, making it an ideal launchpad for risk-taking entrepreneurs. The goal is to reduce dependency on credit and encourage innovation across sectors such as manufacturing, services, agri-processing, textiles, and tech-based enterprises.Who Can Apply1. MSMEs registered on or after January 1, 20252. Must be registered on the Udyam portal3. Initial investment must be under ₹1 crore4. Projected turnover under ₹5 crore in the first year5. Open to proprietors, partnerships, LLPs, and private limited companies6. Applicable across sectors: manufacturing, services, agri-processing, tech, and moreHow to Apply1. Submit and track the application online2. Register on the Udyam portal3. Visit the MSME Subsidy 2025 portal4. Fill the application form5. Upload required documents: PAN, Aadhaar, Udyam certificate, business plan, bank details Key BenefitsNon-repayable grant up to ₹5 lakhHelps reduce startup risk and early financial pressureEncourages use of modern machinery and digital toolsSupports faster business growth and job creation Government’s Vision The scheme aims to empower first-time entrepreneurs, promote small-scale manufacturing, and encourage regional business growth in smaller cities. It reflects the government’s focus on building a self-reliant and innovation-driven MSME sector. Popular Articles Msme News Haryana Government Brings MSME Services Under Right to Service Act for Timely Delivery Msme News Government Should Be First Customer of Startups, Says Amitabh Kant Msme News SBI Plans to Raise Instant Loan Limit for MSMEs Msme News Rahul Gandhi Criticizes Government Over Video of Restaurant Chain Owner ‘Apologising’ to Finance Minister Msme News SBI to Shift to Cash-Flow Based Lending for MSME Loans Up to ₹5 Crore: Chairman Setty Msme News 7 Essential Tips to Avoid MSME-Related Financial Thefts Msme News Finance Ministry Directs PSBs to Pilot New Credit Assessment Model for MSMEs Msme News Fullerton Boosts Investment in Lendingkart for MSME Growth Msme News MSMEs Stay Strong in Q4 FY25, But Credit Gaps Remain a Concern: SIDBI Survey IPO News Boss Packaging Solutions IPO Faces Investor Backlash; Mukul Agrawal Comments on ‘Resourceful Yamaha Company
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