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Current-rule estimate

PMEGP Business Finance Calculator

Enter your project cost, project type, location and category to understand the estimated PMEGP financing structure under the currently published framework.

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Projects above ₹20 lakh in service/business or ₹50 lakh in manufacturing are shown with the applicable limit separately.

Your PMEGP project financing

Estimate
Project Cost
₹0
Own Contribution
₹0
Estimated Margin Money Subsidy
₹0
Estimated Bank Finance
₹0
Own ContributionEstimated Margin Money SubsidyEstimated Bank Finance
This is a CalcuTools estimate. Final eligibility, loan sanction, project viability and subsidy adjustment are determined through the applicable government/bank process.

What-If: change the project cost

Compare different project-cost scenarios using the same calculation engine.

Project CostOwn ContributionEstimated SubsidyBank Finance

Potential eligibility check

यह checklist केवल primary conditions की screening है, eligibility guarantee नहीं।

How we calculated this

1Project cost
2Applicable limit
3Subsidy rate
4Own contribution
5Bank finance

What is PMEGP?

PMEGP is a credit-linked subsidy programme for setting up eligible new micro-enterprises. It is implemented nationally through KVIC, with State KVIC/KVIB/DIC and participating banks involved in the process.

Who is it for?

The new-enterprise route is intended for eligible entrepreneurs establishing a new micro-enterprise in the non-farm sector. The calculator focuses on the main new-unit financing structure.

Project cost limits

Under the currently published official framework used here, the maximum admissible project cost is ₹50 lakh for manufacturing and ₹20 lakh for business/service.

Own contribution and subsidy

General-category applicants contribute 10% of project cost. Special-category applicants contribute 5%. Margin-money subsidy varies by location and category: General 25% rural / 15% urban; Special 35% rural / 25% urban.

Important

Subsidy is not presented here as cash you automatically receive. It is part of the PMEGP bank-financing structure and is subject to the official process, sanction, verification and applicable conditions.

How to use the PMEGP Calculator

How to use the PMEGP Calculator

  1. Enter your estimated project cost.
  2. Select Manufacturing or Service / Business.
  3. Select Rural or Urban location.
  4. Select General or Special category.
  5. Click Calculate to see the estimated financing structure.
  6. Use What-If to compare different project-cost scenarios.

Example

For a ₹10 lakh eligible project in the General category and a Rural location, the calculator applies 10% own contribution and a 25% subsidy rate. The same engine then calculates own contribution, estimated subsidy and the remaining bank-finance component.

How to apply

Calculate on CalcuTools → Apply through the official channel

  1. Understand your project cost and estimated financing structure.
  2. Review the primary eligibility conditions.
  3. Prepare your project information and required documents.
  4. Use the official PMEGP application process.
CalcuTools does not process PMEGP applications.
Be cautious of private parties, middlemen or agents claiming to sanction PMEGP assistance.

Official PMEGP / KVIC portal →

Can service or business projects be covered? +
Yes, the current published framework has a business/service category, subject to the activity-specific rules and limits.
What is PMEGP? +
PMEGP is a credit-linked subsidy programme for eligible new micro-enterprises. Final assistance depends on the official process.
How much subsidy can PMEGP provide? +
For new units, the currently published rates used here are 15% urban / 25% rural for General category and 25% urban / 35% rural for Special category.
How much own contribution is required? +
10% for General category and 5% for Special category under the current published framework for new units.
Can an existing business get PMEGP? +
Existing units are not eligible for the new-unit route. There is a separate second-loan/upgradation route for eligible existing PMEGP/MUDRA units.
Is the subsidy paid as cash to me? +
Do not treat the estimate as cash in hand. Margin money is part of the bank-linked PMEGP structure and is subject to the scheme process and conditions.
Is a bank loan part of PMEGP? +
Yes. PMEGP is a credit-linked subsidy programme, so the bank-finance component is central to the structure. The bank decides sanction and terms.
Does rural location change the subsidy? +
Yes. Under the current published rates used here, rural subsidy is higher than urban for both General and Special categories.
Can PMEGP and CM YUVA be compared? +
They can be compared only after verifying the current rules of both schemes. This MVP intentionally does not make a CM YUVA recommendation or comparison because its scope is the verified PMEGP financing calculation.
What if my project is above ₹20 lakh or ₹50 lakh? +
The calculator separates the amount above the applicable new-unit project-cost limit instead of applying the subsidy rate to the excess.

Official sources & verification

For these rules, the current official Ministry of MSME PMEGP page and the official PMEGP portal are the primary references. An older guideline PDF contains older ₹25 lakh/₹10 lakh limits; current official MSME/PMEGP pages and current reporting use ₹50 lakh/₹20 lakh for new units. This MVP follows the current published framework rather than those older limits.

Ministry of MSME — PMEGP scheme detailsOfficial PMEGP portal — scheme and eligibilityKVIC PMEGP portal — application environmentKVIC — revised guideline notice (Udyam registration)

Last verified: 18 August 2026
Applicable period: Current published PMEGP framework available from official sources at verification time
Important: This is a CalcuTools estimate. Final eligibility, loan sanction and subsidy adjustment follow the applicable government/bank process.