Preloader
Helpline: 155343 ramp[at]upsic[dot]in
logo
logo1 logo2 logo3 logo4 logo5 logo5

FAQ

The UP MSME 1 Connect initiative is a one-stop platform that provides support to Micro, Small, and Medium Enterprises (MSMEs) in Uttar Pradesh.
It offers:
  • Financial assistance, including subsidies, loans, and tax benefits.
  • Infrastructure support for setting up and expanding MSMEs.
  • Training and skill development programs for entrepreneurs and artisans.
  • Market access and export promotion assistance.
  • Digital transformation support for MSMEs.

The UP MSME Promotion Policy 2022 provides several subsidy options:
  • Interest Subsidy Scheme:
    • Micro enterprises receive 50% interest subsidy (up to ₹25 lakh) on loans for 5 years.
    • 60% interest subsidy for SC/ST and women entrepreneurs.
  • Stamp Duty Exemption:
    • 100% exemption in Purvanchal & Bundelkhand.
    • 75% exemption in Madhyanchal & Paschimanchal.
    • 50% exemption in Gautam Buddha Nagar & Ghaziabad.
  • Financial Assistance under ODOP:
    • Up to ₹6.25 lakh as margin money for small enterprises.
    • Up to ₹20 lakh for larger businesses.

MSMEs in UP receive financial assistance for:
  • Plant and machinery purchases (Up to ₹5 lakh subsidy).
  • Infrastructure development through ODOP schemes.
  • Technology adoption and ERP support.
The Uttar Pradesh Micro and Small Industries Technical Upgradation Scheme provides:
  • 50% subsidy (up to ₹5 lakh) on installing advanced machinery.
  • 50% interest subsidy (max ₹1 lakh per year) on machinery loans.
Startups and entrepreneurs can apply for funding via Mukhyamantri Yuva Udyami Vikas Abhiyan, which provides loans up to ₹20 lakh.

MSME Champions receive:
  • Recognition and financial incentives.
  • Marketing and export support.
  • Networking and mentorship opportunities.
For becoming a champion,user can click on “Become Champion” button and fill relevant details asked in the form. Our team will verify them and will proceed with further process.

MSME entrepreneurs can attend government-sponsored training programs covering:
  • Skill development and technology adoption.
  • Marketing and business management.
  • Product quality improvement.
Programs include:
  • Hastshilp Kaushal Vikas Training Scheme (for artisans).
  • ODOP Training and Toolkit Scheme (for product-based training).
  • Vishwakarma Shram Samman Yojana (6-day training with free toolkits)

What types of loans are available for MSMEs?
  • What types of loans are available for MSMEs?
    Several loan schemes are available for MSMEs in Uttar Pradesh:
    • Prime Minister Employment Generation Programme (PMEGP):
      • Manufacturing units: Loan up to ₹50 lakh.
      • Service sector units: Loan up to ₹20 lakh.
      • Subsidy: 15%–35% (higher for SC/ST, women, and rural entrepreneurs).
    • Mukhyamantri Yuva Udyami Vikas Abhiyan:
      • Phase 1: Interest-free loans up to ₹5 lakh.
      • Phase 2: Loans from ₹10 lakh to ₹20 lakh with a 50% interest subsidy for 3 years.
    • ODOP Financial Assistance Scheme:
      • Loan up to ₹150 lakh based on project size.
      • Subsidy: ₹6.25 lakh–₹20 lakh, depending on project cost.
    • Interest Subsidy Scheme:
      • 50% interest subsidy (max ₹25 lakh per unit) for 5 years.
      • 60% subsidy for SC/ST and women entrepreneurs.
    • Infrastructure Interest Subsidy:
      • MSME industrial parks with 10 acres+ area get 50% interest subsidy (max ₹2 crore per year) for 7 years.
  • Are there subsidies or low-interest loans for MSMEs?
    Yes, MSMEs in UP can avail:
    • Interest-free loans under Mukhyamantri Yuva Udyami Vikas Abhiyan (up to ₹5 lakh).
    • 50% interest subsidy on MSME loans (max ₹25 lakh).
    • PMEGP subsidy (15%–35%) on manufacturing and service sector loans.
  • How is the loan amount determined, and what is the repayment period?
    • Loan amount is based on:
      • Business type (Manufacturing, Service, Trading).
      • Financial projections & turnover.
      • Applicant category (SC/ST, women, startup, existing MSME).
    • Repayment Period:
      • PMEGP loans: Up to 7 years.
      • Mukhyamantri Yuva Udyami loans: 3–4 years interest subsidy.
      • MSME loans: Typically 3–7 years with flexible EMI options.
  • What documents are required to apply for an MSME loan?
    • Identity proof: Aadhaar Card, PAN Card.
    • Business proof: Udyam Registration, GST Certificate.
    • Financial documents: Bank statements, ITR (if applicable).
    • Project report (for high-value loans).
    • Caste certificate (if applying under SC/ST/women-specific schemes).
    • Collateral documents (if required).
  • Are there financial aid programs specifically for startups?
    Yes, startups can avail:
    • Mukhyamantri Yuva Udyami Vikas Abhiyan: Interest-free loans up to ₹5 lakh.
    • PMEGP: Subsidized loans up to ₹50 lakh for new businesses.
    • ODOP Scheme: Financial assistance for new MSMEs producing ODOP-identified products.
  • How can I check my eligibility for collateral-free loans?
    • MSMEs can apply under CGTMSE (Credit Guarantee Fund Scheme for Micro and Small Enterprises) for collateral-free loans.
    • Eligibility criteria:
      • Registered MSMEs under Udyam Portal.
      • New or existing businesses with good credit history.
      • Business should be in a government-approved sector.
  • What steps are involved in applying for emergency credit through MSME schemes?
    • Visit UP MSME 1 Connect Portal: msme1connect.up.gov.in
    • Choose the scheme: Select relevant scheme for MSME loan.
    • Submit application: Provide Udyam Registration, loan requirement, and supporting documents.
    • Approval process: Bank verifies documents and loan amount.
    • Loan disbursement: Amount is transferred to the MSME’s bank account.

  • How can I contact customer support for UP MSME 1 Connect?
    Using helpline No.- 8860890639
    Whatsapp No.- 8957540649
    Email - ramp[at]upsic[dot]in
  • Is there a helpline for assistance with application processes?
    Yes, user can contact through Helpline No. - 8860890639
    For Handholding Support - Whatsapp No. - 8957540649
  • What are the working hours for customer support?
    N/A
  • Can I get support in languages other than English?
    Support is available in Hindi and English

  • What licenses and permits are required to start an MSME in Uttar Pradesh?
    To start an MSME in Uttar Pradesh, you need the following licenses and registrations:
    • Udyam Registration (Mandatory for MSME benefits) – Register Here
    • GST Registration (If annual turnover exceeds ₹40 lakh).
    • Trade License (Issued by local municipal authorities).
    • Factory License (For manufacturing units under the Factories Act, 1948).
    • Environmental Clearance (For businesses that may impact the environment).
    • FSSAI License (For food-related businesses).
    • Shops & Establishments Act Registration (For commercial shops/offices).
    • Labour Law Compliance (EPF, ESIC, Professional Tax Registration).
    • Import Export Code (IEC) (For export-oriented MSMEs).
  • How do I renew my MSME registration?
    • Visit the Udyam Registration Portal: Udyam Portal.
    • Log in using your Udyam number and Aadhaar-linked mobile number.
    • Update details (if necessary) and submit for renewal.
    • Download the renewed MSME certificate
    MSME registration does not expire but needs updates in case of changes in business size, structure, or turnover.
  • What are the compliance requirements for maintaining an MSME?
    • Annual GST filings (If applicable).
    • Udyam Registration updates (For change in investment, turnover, etc.).
    • Labour law compliance (PF, ESIC, Minimum Wages Act).
    • Financial reporting and IT return filing.
    • Environmental clearances (if required).
    • Maintenance of proper business records.
  • Are there any specific regulations for export-oriented MSMEs?
    Yes, MSMEs engaged in exports must:
    • Obtain an Import Export Code (IEC) from the DGFT Portal.
    • Register under relevant Scheme for export promotion benefits.
    • Follow the Foreign Trade Policy guidelines.
    • Apply for GST refunds under Export Promotion Schemes.
  • What are the environmental regulations that MSMEs need to follow?
    MSMEs must comply with:
    • Pollution Control Board (PCB) regulations – Obtain Consent to Establish (CTE) & Consent to Operate (CTO) for certain industries.
    • Solid Waste & Hazardous Waste Disposal Guidelines.
    • Air & Water Pollution Act Compliance (For industries affecting air/water).
    • Energy Efficiency Guidelines (For certain manufacturing MSMEs).
    • Industries categorized as Red, Orange, Green, and White have different levels of environmental clearances.
  • Can UP MSME 1 Connect provide guidance on intellectual property registration?
    Yes, Uttar Pradesh MSME Technical Upgradation Scheme provides:
    • Financial support for trademark, patent, and GI (Geographical Indication) registration.
    • IP Verification assistance for MSMEs
  • How can I ensure that my business complies with labour laws?
    To comply with labour laws, MSMEs should:
    • Register with EPFO and ESIC (if employees exceed threshold).
    • Follow minimum wage regulations set by the state government.
    • Ensure timely payment of salaries and benefits.
    • Maintain employee records, working hours, and safety guidelines.
    • Provide maternity benefits, gratuity, and other statutory benefits.
  • What penalties apply if I fail to comply with MSME regulations?
    Non-compliance can lead to:
    • Fines ranging from ₹10,000 to ₹2,00,000, depending on the violation.
    • License suspension for environmental or labour law violations.
    • GST penalties for delayed or incorrect filings.
    • Blacklisting from government tenders and subsidies.
    Regular compliance checks help avoid penalties.

  • What are the steps to set up an MSME in Uttar Pradesh?
    • Register as an MSME via Udyam Portal.
    • Secure required licenses and permits (GST, Trade, Factory, etc.).
    • Prepare a project report (Required for loans & subsidies).
    • Apply for financial assistance under schemes like PMEGP, ODOP, or Yuva Udyami Vikas Abhiyan.
    • Set up infrastructure and apply for power, water, and connectivity services.
    • Comply with labour, tax, and environmental regulations.
    • Launch business operations and apply for market access programs.
  • How do I create a project report for my business?
    A project report must include:
    • Business Description: Nature, products/services offered.
    • Market Analysis: Industry trends, target customers, competitors.
    • Operational Plan: Business location, infrastructure, production process.
    • Financial Projections: Estimated cost, revenue, profits, break-even analysis.
    • Funding Requirement: Loan/scheme requirements, subsidies applied.
  • Is there guidance available for location selection for my MSME?
    Yes, MSMEs can:
    • Use UP MSME 1 Connect to identify industrial parks & clusters.
    • Check ODOP incentives for district-based industries.
    • Apply for land allotment in UP Industrial Development Authority zones.
    Bigger subsidies (stamp duty exemptions) are available for MSMEs set up in Purvanchal & Bundelkhand
  • Can I get a list of consultants for project planning and setup?
    NA

  • How can MSMEs access national and international markets?
    MSMEs can access markets through:
    • Government-backed trade fairs & expos (both national & international).
    • UP MSME 1 Connect portal for connecting with buyers.
    • One District One Product (ODOP) scheme, which promotes MSME products.
    • E-commerce onboarding support (ODOP mart, GeM).
  • What support does the government provide for export-oriented MSMEs?
    • Export Promotion Subsidies under ODOP.
    • Financial Assistance for participation in global exhibitions.
    • Import-Export Code (IEC) registration guidance for exporters.
    • Market Access Initiative to support overseas marketing.
  • Are there trade fairs or exhibitions where I can showcase my products?
    Yes, MSMEs can participate in:
    • UP International Trade Show (state-backed export fair).
    • ODOP Trade Fairs (for handicrafts & district-specific products).
    • Global MSME Buyer-Seller Meets.
    Subsidies available for travel & stall setup under Export Promotion Scheme.
  • What steps should MSMEs take to register as an exporter?
    • Obtain an Import Export Code (IEC) from DGFT Portal (dgft.gov.in).
    • Register with APEDA, FIEO, or MSME Export Promotion Councils.
    • List products on global B2B platforms.
    • Apply for Export Promotion Subsidies under MSME 1 Connect.
  • How can MSMEs connect with buyers from different regions?
    • Register on GeM (Government e-Marketplace) for government tenders.
    • List products on UP MSME 1 Connect Buyer-Seller Portal.
    • Join MSME industry associations for networking.
  • Are there export incentives for MSMEs in Uttar Pradesh?
    Yes, incentives include:
    • Reimbursement of 50% on export trade fair participation.
    • Financial aid for international certifications (ISO etc.).
    • Duty-free import of raw materials for export production.
  • What export documentation do MSMEs need to prepare?
    • IEC Code Certificate (from DGFT).
    • Bill of Lading & Shipping Documents.
    • Export Invoice & Packing List.
    • GST and Export Declaration Forms.
    • Certificate of Origin (if required for certain countries).

  • How can my MSME adopt digital technology?
    • Apply for MSME Technology Upgradation Grants.
    • Use cloud-based ERP and accounting software
    • Adopt e-commerce & digital payment solutions.
    • Implement cybersecurity measures.
  • Are there subsidies for technology upgrades?
    Yes, under the Uttar Pradesh Micro and Small Industries Technical Upgradation Scheme:
    • 50% subsidy (up to ₹5 lakh) for advanced machinery.
    • 50% interest subsidy (up to ₹1 lakh per year) for loans on technology
  • What are the benefits of digital transformation for MSMEs?
    • Cost savings through automation.
    • Improved efficiency with ERP & digital tools.
    • Better customer reach via e-commerce & social media.
    • Enhanced security with cloud-based data storage.
  • How can I get help with website and e-commerce platform setup?
    NA
  • How can MSMEs apply for technology upgradation grants?
    • Apply through UP MSME 1 Connect and select relevant scheme from schemes section.
    • Submit a project proposal for technology upgrade.
    • Get approval & subsidy disbursal upon project verification.
  • What are the best digital tools for managing small businesses?
    • Accounting: Tally, QuickBooks, Zoho Books.
    • E-commerce: Shopify, Amazon, Flipkart Seller Hub.
    • Marketing: Facebook Ads, Google My Business, Canva.
    • Project Management: Trello, Asana.
  • Does UP MSME 1 Connect offer any resources on adopting automation?
    Yes, the Technical Upgradation Scheme supports:
    • ERP & automation tools.
    • AI-powered customer service chatbots.
    • Training programs on Industry 4.0.
  • Are there resources available for learning about e-commerce and online sales?
    NA

  • What training programs are available for MSME entrepreneurs?
    • Hastshilp Kaushal Vikas Training Scheme (for artisans).
    • ODOP Training and Toolkit Scheme (for product-based training).
    • Vishwakarma Shram Samman Yojana (6-day training with free toolkits).
    • Scheme for Training of SC/ST Entrepreneurs.
    • Scheme for Training of OBC Entrepreneurs
  • How can I register my employees for skill development programs?
  • Are there any government-funded courses for MSME skill improvement?
    Yes, MSMEs can benefit from:
    • Vishwakarma Shram Samman Yojana (for traditional artisans).
    • Hastshilp Kaushal Vikas Scheme (for handicrafts training)
  • How does skill development benefit my business?
    • Increases productivity & efficiency.
    • Improves product quality & competitiveness.
    • Enhances customer service & business growth
  • What are the benefits of UP MSME schemes for traditional artisans?
    • Free skill training programs.
    • Subsidized toolkits under ODOP & Vishwakarma Yojana
  • Are there training programs for artisans to learn modern techniques?
    Yes, under Hastshilp Kaushal Vikas Training Scheme, artisans learn:
    • Contemporary design trends.
    • Modern manufacturing techniques.
  • How can artisans access markets for handicraft products?
    • Register on ODOP Mart Portal.
    • Participate in MSME-sponsored craft fairs.
    • Sell on GeM & e commerce platforms.
  • Is there support for setting up handicraft production units?
    • Margin money subsidy up to ₹20 lakh.
    • Land allotment priority for handicraft clusters.
  • How can I upskill my workforce for enhanced productivity?
    • Enroll employees in MSME training programs.
    • Use government-subsidized skill upgradation courses.
  • Are there free training programs offered by the government?
    • Free training under ODOP Toolkit Scheme.
    • Govt-funded SC/ST & OBC training programs
  • How can I develop leadership skills for managing an MSME?
    • Training Programs: UP MSME 1 Connect offers entrepreneurship & leadership training. PMEGP and ODOP Schemes provide business skill training.
    • Workshops & Mentorship: MSME Champions program connects entrepreneurs with industry experts. Online courses from IIMs and NIESBUD (National Institute for Entrepreneurship & Small Business Development).
    • Networking & Business Associations: By attending events and trade fairs.
  • What resources are available for hiring skilled labour in Uttar Pradesh?
    • NA

  • What resources are available for scaling up my MSME?
    • PMEGP Scheme – Loans up to ₹50 lakh for MSME expansion.
    • ODOP Scheme – Special incentives for district-based businesses.
    • Technical Upgradation Grants – 50% subsidy (₹5 lakh) for modernizing equipment
  • Are there funding options for business expansion?
    • Interest Subsidy Scheme – 50% interest reimbursement on business loans.
    • Infrastructure Interest Subsidy – Up to ₹2 crore per year for MSME industrial parks.
    • Stamp Duty Exemptions – 100% exemption in Purvanchal & Bundelkhand
  • How can I increase my product reach in the market?
    • E-commerce onboarding support (ODOP Mart, GeM registration).
    • ODOP & Export Promotion Programs (Trade fairs, international buyer meets).
    • Government Marketing Assistance (Subsidized participation in trade fairs).
  • Are there consultancy services for MSME expansion strategies?
    Yes, MSMEs can get:
    • UP MSME 1 Connect Business Consultants.
    • Financial, branding & marketing experts under MSME Technical Upgradation Scheme.
    • Support from District Industry Centers (DICs) for business expansion planning.

  • What schemes are available for women-owned MSMEs?
    • PMEGP Special Category – 35% subsidy for women entrepreneurs.
    • Interest Subsidy Scheme – Women MSMEs get 60% interest subsidy.
    • Mukhyamantri Yuva Udyami Vikas Abhiyan – Loans up to ₹20 lakh
  • Are there special incentives for SC/ST entrepreneurs?
    • PMEGP provides a 35% subsidy for SC/ST entrepreneurs.
    • SC/ST Skill Development Training Programs.
    • Stamp Duty Exemption – Up to 100% exemption in certain regions
  • How can minority-owned MSMEs avail of specific benefits?
    • OBC & Minority Training Programs (4-month skill training).
    • Government loans with relaxed collateral requirements under CGTMSE.
    • Higher interest subsidies for minority-owned businesses
  • What support is there for socially and economically disadvantaged groups?
    • Subsidized training programs for economically weaker sections.
    • Special credit support under PMEGP for SC/ST/minority groups

  • What tax benefits are available for MSMEs?
    • Lower corporate tax rates for new MSMEs.
    • GST exemptions for businesses with turnover below ₹40 lakh.
    • Depreciation benefits on machinery under Income Tax Act.
  • How can I apply for tax exemptions?
    • Register under the MSME Tax Benefit Scheme via UP MSME 1 Connect.
    • Apply for GST exemptions through the GST Portal.
    • Submit tax-saving investment proofs during annual IT filings.
  • Are there GST concessions for MSMEs?
    • MSMEs with turnover up to ₹1.5 crore pay lower GST.
    • GST exemption for businesses below ₹40 lakh turnover
  • What is the procedure for claiming tax incentives?
    • Register for GST & MSME benefits.
    • File quarterly/annual GST returns.
    • Submit IT returns & claim deductions under MSME tax provisions.

  • How can MSMEs improve their supply chain efficiency?
    • Use digital inventory tools.
    • Partner with UP MSME clusters for bulk raw material sourcing.
    • Apply for government logistics support programs.
  • What strategies can MSMEs use to reduce inventory costs?
    • Adopt Just-in-Time (JIT) inventory management.
    • Negotiate bulk discounts with suppliers.
    • Use cloud-based tracking software for real-time monitoring.
  • Are there government programs that support raw material sourcing?
    NA
  • How do I manage logistics to reduce costs?
    • Use government-supported logistics hubs.
    • Leverage GeM & MSME networks for cost-effective supply chain solutions.
    • Apply for freight subsidies under export promotion programs.

  • What resources are available for starting a new branch or outlet?
    MSMEs in Uttar Pradesh can access:
    • UP MSME 1 Connect for business setup guidance.
    • Financial assistance under ODOP for expanding units.
    • Subsidized land allotment in UP industrial zones.
    • UP Industrial Development Authority (UPIDA) for infrastructure support.
  • Are there low-cost marketing strategies suitable for MSMEs?
    Participation in trade fairs & exhibitions under MSME 1 Connect.
  • Can UP MSME 1 Connect help with market research for expansion?
    Yes, UP MSME 1 Connect provides:
    • Guidance on customer segmentation & pricing strategies.
    • Industry-specific business consultancy services.
  • What financing options are available for expanding my MSME?
    • PMEGP Scheme – Loan up to ₹50 lakh.
    • Interest Subsidy Scheme – 50% interest subsidy on expansion loans.
    • ODOP Financial Assistance – Loans & subsidies for expanding product-based MSMEs.
    • CGTMSE Scheme – Collateral-free loans for small businesses.

  • How can I connect with financial advisors for MSMEs?
    • UP MSME 1 Connect offers consultancy via experts.
    • District Industry Centers (DICs) provide financial advisory.
  • Are there services available for product design or development?
    Yes, MSMEs can access:
    • Technical Upgradation Scheme for product innovation.
    • Design & branding consultancy under ODOP Scheme.
    • Government R&D grants for new product development.
  • What support is available for obtaining legal consultations?
    NA
  • Can UP MSME 1 Connect provide assistance in tax planning?
    NA

  • How can I create a website for my MSME?
    • Apply for support under TUS.
    • Use platforms like Shopify, Wix, or WordPress for website creation.
    Hire website developers.
  • What are the basics of digital marketing for MSMEs?
    • SEO & Content Marketing – Rank higher on Google searches.
    • Social Media Ads – Facebook, Instagram, LinkedIn.
    • Email Marketing & WhatsApp Business – Customer engagement.
    • E-commerce Listing – Sell on Amazon, Flipkart, MSME Mart.
  • How can I use social media to promote my MSME?
    • Create business pages on Facebook, Instagram & LinkedIn.
    • Run geo-targeted ads to reach local customers.
    • Engage customers via WhatsApp Business & Messenger bots.
  • Are there government programs that support MSMEs in digital marketing?
    NA

  • How can I find local partners or collaborators?
    • Join trade associations in UP.
    • Participate in local business events & trade fairs.
  • Are there networking events organized by UP MSME 1 Connect?
    Yes, including:
    • UP MSME Buyer-Seller Meets.
    • ODOP Exhibitions & Trade Fairs.
    • MSME Investment Summits for collaborations.
  • What are the benefits of joining MSME associations?
    • Access to industry trends & government schemes.
    • Networking with potential partners & investors.
    • Legal, financial & compliance guidance.
  • Can UP MSME 1 Connect help me connect with industry mentors?
    Yes, MSMEs can:
    • Get mentorship under MSME Champions Program.
    • Access one-on-one sessions with Consultants.
    • Participate in workshops with experts.