MSME / CGTMSE Loan

Overview

Growth capital when you don't have property to pledge.

The Credit Guarantee Trust for Micro and Small Enterprises (CGTMSE) exists for a clear reason: good MSMEs shouldn't be denied credit just because they don't have property to pledge. The scheme guarantees a portion of lender risk, letting banks offer collateral-free term and working-capital loans to qualifying enterprises.

We help you check MSME eligibility, structure the CGTMSE-backed application, and match you with lenders who actively deploy under the scheme.

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Key Features

Why MSME / CGTMSE Loan With SHF

Collateral-Free

CGTMSE covers lender risk — no personal property needed for loans up to the scheme cap.

Term and Working Capital

Covers both term loans (for machinery, premises) and working capital facilities.

Micro and Small Enterprises

Scheme is designed for micro and small enterprises under MSME definition — we check your classification first.

Competitive Pricing

Rates are close to conventional secured lending — the guarantee fee is offset by savings from the no-collateral structure.

Scheme Compliance

We handle the CGTMSE paperwork and scheme-specific covenants end-to-end.

Growth Enabler

Ideal for businesses whose promoters don't have property to offer but whose operations are fundamentally sound.

FAQs

Commonly Asked

MSME classification is based on investment in plant / equipment and annual turnover, revised periodically by government notification. We check your Udyam registration (or help you register) before proceeding.

The scheme provides partial credit guarantee cover to the lender, varying by loan size and borrower category. The exact coverage is detailed in the current CGTMSE scheme circular — we'll walk you through what applies.