In a significant move to empower the startup ecosystem, the Department of Financial Services (DFS) has officially launched the Startup Common Application Journey. This new feature, introduced on the established Jan Sammarth portal, is designed to simplify access to credit for emerging businesses across India.
A Boost for Startup Financing
The initiative is backed by a model loan scheme and provides substantial financial support. Eligible startups can now apply for loans of up to ₹20 crore under the Credit Guarantee Scheme for Startups, which operates under the Department for Promotion of Industry and Internal Trade (DPIIT). The application form was launched by M. Nagaraju, the Secretary of DFS, marking a pivotal moment for entrepreneurial finance.
How the Platform Drives Efficiency and Inclusivity
The core strength of this new application journey lies in its integrated, technology-driven approach. The platform seamlessly connects with multiple data sources, including PAN, GST, Udyam, ITRs, and credit bureaus. This integration is a game-changer, promising faster processing times and greater transparency for applicants.
In a push for greater inclusivity, the scheme extends special interest concessions to women entrepreneurs. This ensures a more level playing field and encourages greater participation from women in the startup landscape.
The Jan Samarth portal itself, which was first launched in June 2022, acts as a one-stop digital platform that links beneficiaries with various government schemes that are linked to credit. Developed by the Indian Banks’ Association in collaboration with PSB Alliance, the portal now offers a unified digital journey for startups to:
- Apply for loans seamlessly.
- Compare different loan offers.
- Track their application status in real-time.
Eligibility and Vision for the Future
To qualify for the scheme, startups must adhere to specific government guidelines. A key criterion is that the startup should not have been in existence for more than 10 years and/or its annual turnover should not exceed ₹100 crore.
The finance ministry stated that this launch is a major step towards building a collaborative, technology-driven ecosystem for India's growing startup sector. It reinforces the government's commitment to empowering entrepreneurs, a vision that aligns with the broader national goal of Viksit Bharat 2047. This initiative is set to significantly reduce bureaucratic hurdles and make venture financing more accessible than ever before.
