For purpose of easy and reliable availability of loan, the Government of India has introduced scheme named as Credit Guarantee Fund Scheme for Micro and Small Enterprises (CGS) to the micro, small & Medium enterprise. The benefit of these scheme can take by Existing and New business. The Government of India has establishes Trust in associate with The Ministry of Micro, Small and Medium Enterprises & Small Industries Development Bank of India (SIDBI) named Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) for easy availability of Collateral Free loans from banks to Micro, Small and Medium Enterprises.
The MSME Registered enterprises can obtain power to provide financial assistance to the State Government/Central Government/Industries/enterprises Associations and Registered societies/trusts and organizations on reimbursement basis, who has associated with MSME
The enterprises having MSME/Udyog Aadhar Certificate can easily obtain Licenses, approvals and registrations for their business from the respective authorities by producing Certificate of MSME/ Udyog Aadhar Registration while making application.
The benefit in form of refund will be get under Package Scheme of Incentives, 1993 also included in the new Scheme up to 31-3-2006 on the same pattern.