Equipment Refinance Scheme provides financial support to well-performing Small Scale Industrial units in Puducherry for purchasing equipment or machinery for modernization, expansion, or diversification. This scheme assists business owners through an online application process on the PIPDIC portal, offering competitive interest rates for growth.
Equipment Refinance Scheme - Introduction
Equipment Refinance Scheme offers financial assistance to well-performing Small Scale Industrial (SSI) units. If you are looking to purchase machinery for diversification, modernization, expansion, replacement, or for balancing your equipment, this scheme is designed for you. You should complete your online application through the PIPDIC portal to access these benefits.
The Pondicherry Industrial Promotion Development and Investment Corporation Limited (PIPDIC), under the Department of Industries & Commerce, Puducherry, launched this initiative. This scheme aims to support your industrial growth by providing the necessary capital to upgrade your manufacturing capabilities.
Key Information
| Scheme Name | Equipment Refinance Scheme |
| Level | State |
| Scheme For | Individual |
| Beneficiary States | Puducherry |
| Category | Banking, Financial Services and Insurance, Business & Entrepreneurship |
| Target Beneficiaries | Business Entity |
| Benefit Type | Cash |
| Nodal Department | Industries and Commerce Department, Puducherry |
Benefits
This scheme provides a need-based loan limit of up to ₹90,00,000. Your interest rates depend on the loan amount:
| Loan Amount Range | Interest Rate per Annum |
| Up to ₹25,00,000 | 10% |
| Above ₹25,00,000 up to ₹50,00,000 | 11% |
| Above ₹50,00,000 | 12% |
We encourage entrepreneurship among diverse groups; therefore, units promoted by women, Scheduled Caste (SC), Scheduled Tribe (ST), or differently-abled persons receive a concessional interest rate of 0.5% less than the standard rate.
Eligibility
To qualify for this support, you should meet the following criteria:
- You must own a well-performing Small Scale Industrial unit.
- Your unit must have been in active operation for at least the last four years.
- Your unit must show profit and have declared dividends during the last two financial years.
- You must have a clear track record with no defaults at any bank or financial institution.
- The objective of your loan must strictly be for purchasing equipment or machinery for business expansion, modernization, or replacement.
For example, if Ramesh has run a successful textile unit for 5 years and shown consistent profits, he is eligible to apply for machinery upgrades under this scheme.
Application Process
You should apply online by visiting the PIPDIC website and following these steps:
Registration
Click on the Login menu and select 'New Customer'. Provide your details to register. Once registered, verify your identity using the OTP sent to your registered email to access your dashboard.
Profile and Loan Application
Update your profile via the 'Edit Profile' tab. Navigate to the 'Applications' tab to start your request. Read the checklist of terms, interest rates, and security norms carefully before clicking 'I Agree'. Fill in the application form and upload the necessary KYC and project documents using the 'Choose File' button.
Fees and Submission
Pay the required application fee online. for loans up to ₹25,00,000, the fee is ₹100, and for loans above ₹25,00,000, the fee is ₹200. Save the generated payment receipt for your records. You can track your application status anytime through the 'View My Application' link on your dashboard.
Documents
Keep these documents ready for your application:
- Copy of MSME Registration Certificate.
- Proof of business premises (Sale Deed or Registered Lease Deed for at least 8 years).
- Site plan and machinery layout with a detailed project report (DPR).
- Two comparative quotations from standard machinery suppliers with a justification statement.
- KYC documents including PAN, Aadhaar, and bank statements.
- Financial statements (Balance Sheet and Profit & Loss) for the last three years.
- Proof of clear title for collateral security where applicable.
*The scheme requires an investigation fee of 0.75% on the loan amount, with a 50% concession for eligible categories like women or SC/ST entrepreneurs.
References
FAQ's
How do I create an account and begin the registration process?
Visit the official PIPDIC website, click login, and choose 'New Customer' to register with your email and password.
What if I need help with my application?
You can contact the Managing Director at: No. 60, Romain Rolland Street, Puducherry 605001, or call 0413-2334361, or email info@pipdic.com for support.
How can I track my status?
Log in to your customer dashboard and click on 'View My Application' to see the current status of your request.