AI SummaryLoan for Small Businesses (DAADC) is a state scheme of the Gujarat government that helps Scheduled Caste (SC) individuals from Antyodaya Anna Yojana (AAY) families start or expand their own business. It offers a loan of up to ₹1,25,000 at a low 4% interest rate, with applications currently open on the official portal.
This scheme is run by the Dr. Ambedkar Antyodaya Development Corporation (DAADC) under the Social Justice and Empowerment Department, Government of Gujarat. The main aim is to encourage self-employment among eligible SC families who are part of the AAY list, so they can build a steady source of income without taking on heavy debt.
Loan for Small Businesses (DAADC) - Introduction
Loan for Small Businesses (DAADC) is made for people who belong to the Scheduled Caste community and live in Gujarat. If you are part of an Antyodaya Anna Yojana (AAY) family, you can apply for a loan of up to ₹1,25,000 at a concessional interest rate of 4% per year. The money can be used to start a new business or to grow an existing one.
One of the biggest advantages of this scheme is that the state government covers the interest subsidy fully, so you do not need to bring any personal share of your own. You only need to repay the loan in easy monthly instalments over a period of 60 months, which is 5 years.
Applications for the current round are open online, and the last date to apply is 14 August 2026. Eligible applicants must be permanent residents of Gujarat, belong to the SC category, and come from an AAY family with a total annual income of ₹3,00,000 or less.
Key Information
| Detail | Information |
|---|---|
| Scheme Name | Loan for Small Businesses (DAADC) |
| Level | State |
| Scheme For | Individual |
| Beneficiary State | Gujarat |
| Agency | Dr. Ambedkar Antyodaya Development Corporation |
| Department | Social Justice and Empowerment Department |
| Benefit Type | Cash Loan |
| DBT Based | No |
Benefits
This scheme gives complete financial support so that you can start or grow your business without much worry. The loan terms are kept simple and affordable, as shown in the table below.
| Detail | Information |
|---|---|
| Maximum Loan Amount | ₹1,25,000 |
| Annual Interest Rate | 4% |
| Loan Tenure | 60 months (5 years) |
| Monthly Installment | Approximately ₹2,302 |
| Guarantors | 2 required |
| State Government Share | 100% (no personal contribution) |
Eligibility
To apply for Loan for Small Businesses (DAADC), you need to meet the following conditions. Make sure you check each one before you start your application.
- You should be a permanent resident of Gujarat.
- You should belong to the Scheduled Caste (SC) category.
- You should be part of an Antyodaya Anna Yojana (AAY) family.
- Your total annual family income should be ₹3,00,000 or less.
- You should plan to start or expand a small business or occupation.
- You should be able to provide two reliable guarantors.
Application Process
You can apply for this loan completely online. Follow these simple steps on the official portal of the Dr. Ambedkar Antyodaya Development Corporation.
STEP 1 - Visit the official portal at daadconline.gujarat.gov.in and open the homepage of the online loan application system.
STEP 2 - On the top menu, click on the "Apply Now" option and choose the Loan for Small Businesses scheme from the list that appears.
STEP 3 - Select your loan category and enter the amount you need for your business.
STEP 4 - Fill in the application form with your personal details, income proof, bank information, and your business plan or goals.
STEP 5 - Upload the required documents, including your caste certificate, Aadhaar card, and income proof.
STEP 6 - Review all the details carefully, then click on "Submit" to complete your application.
STEP 7 - Save your Application ID or reference number, as you will need it to track the status of your application later.
Documents
Keep digital copies of these documents ready before you start filling the form. This will make the process much faster.
- Aadhaar Card
- Bank Account Details (Passbook copy)
- Income Certificate
- School Leaving Certificate
- Electricity Bill
- Age Proof
- Caste Certificate
- Ration Card
- Election Card
References
You can find more information about this scheme using the official links given below.
FAQ's
Who is eligible for this scheme?
Scheduled Caste (SC) individuals who belong to Antyodaya Anna Yojana (AAY) families and are permanent residents of Gujarat can apply.
What is the duration of the loan?
The total repayment period for the loan is 60 months, which is 5 years.
Are guarantors mandatory for this loan?
Yes, you must provide two guarantors to secure the loan.
Is there a maximum income limit?
Yes, your annual family income should not exceed ₹3,00,000.
What is the role of the State Government?
The State Government provides full financial cover for the interest subsidy, so you do not need to provide a personal share.
How much will I pay back monthly?
The maximum monthly installment is set at approximately ₹2,302.
Can women apply for this support?
Yes, eligible SC women from AAY families are encouraged to apply.
Can residents of other states apply?
No, this scheme is strictly for permanent residents of Gujarat.