Term Loan Scheme (GTKVN)

Starting or scaling a business often requires external funding that does not disrupt cash flow or increase long-term financial pressure. For those in Gujarat, the Term Loan Scheme (GTKVN) supports this need by offering subsidised interest and structured repayment, allowing you to invest in business growth while maintaining financial discipline and avoiding informal credit dependence.

The Term Loan Scheme (GTKVN) is a government-backed financing initiative aimed at supporting small businesses and self-employment activities among eligible Thakor and Koli applicants in Gujarat. The scheme provides funding up to ₹10 Lakhs, with interest fixed at 6% for loan amounts up to ₹5 Lakhs. With government support covering 95% of the project cost and a 5% beneficiary margin, the scheme reduces initial capital burden while promoting skill-based economic activity.

This scheme is structured to make capital accessible while minimising repayment pressure. Key benefits include:

• Loan amount support: You can access funding of up to ₹10,00,000 to set up or expand eligible small business or self-employment activities
• Subsidised interest rate: Loans up to ₹5,00,000 attract a reduced interest rate of 6%, easing your overall repayment burden
• Structured repayment tenure: The loan is repayable in 60 equal monthly instalments, including interest, allowing predictable cash flow planning
• Government-backed funding: The government contributes 95% of the total project cost, while you provide only 5% as margin money
• Guarantor requirement: One guarantor is required to strengthen loan security and ensure responsible borrowing
• Income-based allocation priority: At least 50% of the total loan allocation is reserved for families with annual income up to ₹1,50,000
• Skill-linked financing: Preference is given to applicants with proven experience or skills in the proposed trade or business

You must meet specific requirements to ensure the Term Loan Scheme (GTKVN) benefits the intended communities. Eligibility includes:

• Residential requirement: You must be a permanent resident of Gujarat to apply under this scheme
• Community eligibility: You should belong to the Thakor or Koli community as recognised by the issuing authority
• Income threshold: Your annual family income must not exceed ₹3,00,000 as per a valid income certification
• Age limit: You should be between 21 and 50 years at the time of application
• Business experience: You must demonstrate relevant skill or experience in the proposed business or self-employment activity
• Collateral condition: You are required to provide suitable collateral to secure the loan amount

Applying for the scheme is a straightforward process. Follow these steps:

1. Official website access: Visit the Gujarat Thakor and Koli Vikas Nigam website and select the “Apply Now” option from the main menu
2. Scheme selection: Choose the Term Loan Scheme (GTKVN) and select the appropriate loan category
3. Loan requirement entry: Enter the required loan amount along with details of the proposed business or self-employment use
4. Application form completion: Fill in personal, address, income, and bank account details accurately
5. Document upload: Upload scanned copies of required certificates, identity proof, income proof, bank passbook, and photographs
6. Application review: Preview the application carefully to verify all details before final submission
7. Reference tracking: Save or print the Application ID for future status tracking and correspondence

The Term Loan Scheme (GTKVN) offers a practical, structured way for you to access capital for small business growth while benefiting from government-backed interest support. Apart from this, you can explore other business loan products designed to suit diverse financing needs, ensuring your enterprise has the flexibility to expand efficiently.