Venture Capital Scheme

By- Mukesh Rathi Posted On- 07-08-2019 01:29:55

The Venture Capital Assistance Scheme

Ministry of Agriculture and Farmers Welfare

 

Venture Capital Assistance is financial support in the form of an interest free loan provided by SFAC to qualifying projects to meet shortfall in the capital requirement for implementation of the project.

 

Benefits

• Help in assisting  agripreneurs to make investments in setting up agribusiness projects through financial participation

• Provides financial support for preparation of bankable Detailed Project Reports (DPRs) through Project Development Facility (PDF).

Eligibility

WHO CAN APPLY

•  Farmers

•  Producer Groups

• Partnership/Proprietary Firms

• Self Help Groups

• Companies

• Agripreneurs

• units in agriexport zones

•  Agriculture graduates Individually or in groups for setting up agribusiness projects.

Application Procedure

One can only apply online, offline application forms will not be accepted. Also, below are the checklist before applying for the scheme.

Sno.	Checklist
1	Promoter’s request letter addressed to the Managing Director SFAC, New Delhi on original letterhead of firm/company
2	Sanction letter of Sanctioning authority addressed to recommending branch
3	Bank’s approved Appraisal/Process note bearing signature of sanctioning authority with terms of sanction of term loan
4	Up-to-date statement of account of Term loan and Cash Credit (if sanctioned)
5	Equity Certificate: a)C.A. certificate in case of Partnership or Proprietorship firms. b)Form-2(PAS-3), FORM-5(SH-7) and other documents in lieu of FORM-23 filed with ROC for
6	Farmer’s list/backward linkage duly supported by agreement
7	Affidavit of promoters that they have not availed VCA in the past
8	Unsecured loans raised by the promoters (If any). CA Certificate to be enclosed
9	Copy of last Bank's inspection report
10	Bank’s confirmation that they will not release primary & collateral security without SFAC consent
11	Justification for margin on working capital taken in the project cost

List of Enclosures to be submitted along with the form

Sno.	Enclosures
1	Promoter’s request letter addressed to the Managing Director SFAC, New Delhi on original letterhead of firm/company
2	Sanction letter of Sanctioning authority addressed to recommending branch
3	Bank’s approved Appraisal/Process note bearing signature of sanctioning authority with terms of sanction of term loan
4	Up-to-date statement of account of Term loan and Cash Credit (if sanctioned)
5	Equity Certificate: a)C.A. certificate in case of Partnership or Proprietorship firms. b)Form-2(PAS-3), FORM-5(SH-7) and other documents in lieu of FORM-23 filed with ROC for Company
6	Farmer’s list/backward linkage duly supported by agreement
7	Affidavit of promoters that they have not availed VCA in the past
8	Unsecured loans raised by the promoters (If any). CA Certificate to be enclosed
9	Copy of last Bank's inspection report
10	Bank’s confirmation that they will not release primary & collateral security without SFAC consent
11	Justification for margin on working capital taken in the project cost

*Please keep scanned copies of the following documents ready (except for Point 3)