CGTMSE

Credit Guarantee Fund Trust for Small and Micro Enterprises (CGTMSE) is a joint initiative by the Indian Government in association with Ministry of Micro, Small and Medium Enterprises (MoMSME) and Small Industries Development Bank of India (SIDBI). The motive behind establishing this fund trust is to back up the MLIs with 75% to 85% credit guarantee in case the borrower defaults on the loan payment.

CGTMSE scheme allows the member lending institutions (like banks, NBFCs etc.) to release credit to SMEs and MSMEs up to Rs. 2 crores. 

MLIs have the privilege of guarantee cover by CGTMSE Trust in case the borrower defaults on paying the loan back. The guarantee cover ranges from 75% to 85% depending upon the business activity.

We can get you a business loan in as less as 24 hours!

Contact us today for a hassle-free loan process


Purpose of CGTMSE

The primary objective of CGTMSE Trust is to allow banks to look at small and micro enterprises with objectivity and support the project in terms of scope and practicality. The scheme helps millions of first-generation entrepreneurs who can avail the loan for their business/project without fearing any kind of collateral. CGTMSE scheme celebrated the entrepreneurship spirit of the nation.

CGTMSE is the Govt. of India scheme for MSMEs to take care of the economy in a sustainable way. 

Advantages of CGTMSE Scheme

  • Credit coverage up to Rs. 2 crores

By raising the credit coverage by Rs. 1 crore, now MSMEs can avail the total credit service up to Rs. 2 crores under the CGTMSE scheme

  • Zero requirements for any collateral or third-party guarantee 

CGTMSE scheme doesn’t require any collateral or third-party guarantee from the borrower. The maximum amount of the loan by the member lending institution is backed up by the government which is 75% to 85%.

  • Inclusion of MFIs as MLI

Micro Finance Institutions are now eligible as member lending institutions under CGTMSE scheme

Special discounts/concession across various sectors:

Category
Target audience
Discount in Guarantee Fee
Social section
Women/SC/ST
10%
Geographic coverage
NER including Sikkim (up to Rs. 50 lakhs)/ Aspirational District
10%
MSE status
Zed certified units
10%
  • Offered by top financial institutions

CGTMSE business loan is offered by top financial institutions such as banks (SCBs, RRBs, and SFBs), NBFCs, NSIC, SIDBI and NEDFi

Why Maxigain Capital for Your CGTMSE Scheme Loan?

Maxigain Capital is known for its Customer First approach. We listen to your needs and get you the best deal in the lowest time possible. In fact, once we have all the required documents from your side, we can get you a business loan in 24 hours! 

We are happy to take over all your worries so that you can continue pampering your business to prosperity. Our team of experts promises you:

  • maximum loan amount
  • lowest interest rate possible
  • a smooth painless process of securing the loan
  • the pleasure of fastest turnaround time

We have a huge network of MLIs. We get in touch with them and get back to you with the best offer in hand. Concerning the safety of your personal details, we do not share anything so that you don’t get the headache of inquiry or follow-up calls from the institutions. 

In simple words, you get the best deal with Maxigain Capital with the maximum business loan possible within 24 hours. 

CGTMSE

Frequently Asked Questions


Yes, the Pradhan Mantri Mudra Yojna (PMMY) or Mudra Loan Yojna is covered under CGTMSE.


At any point of time, lending institutions allow only one CGTMSE loan. A second CGTMSE loan, however,

can be taken only in the case if the first CGTMSE loan is paid by the second loan or via own resources.


Apart from CGTMSE, there are 9 other MSME schemes which offer loans to MSEs and MSMEs:

  • CLCSS: Credit Linked Capital Subsidy Scheme
  • Credit Guarantee Scheme
  • Mudra Yojna under PMMY
  • National Small Industries Corporation (NSIC) Subsidy
  • PMEGP: The Prime Minister Employment Generation Programme
  • PMRY: Prime Minister’s Rozgar Yojna
  • PSB loans in 59 mins
  • Standup India
  • Startup India

Banks are the trusted lending institutions with strict criteria set to sanction a business loan under CGTMSE scheme.

  • Your business must be Private Limited Company, LLP, One Person Company or Proprietorship with appropriate tax registrations and approvals.
  • You should have a thorough business plan
  • Request the bank to sanction the loan under CGTMSE scheme
  • Once the bank sanctions the loan, the bank will contact CGTMSE Trust and get CGTMSE scheme cover for the loan sanctioned. When approved by the CGTMSE trust, the loan becomes part of CGTMSE scheme and you will have to pay CGTMSE guarantee and CGTMSE service fee.

Maxigain Capital can get you an in-principal confirmation from the bank within 3 working days. We help you with:

  • getting maximum loan amount for your business in as less as 24 hours
  • the partnership of a team that comes with a total of century-worth experience 
  • making the loan application process easy, smooth and quick
  • the fastest turnaround time

Get in touch today to sort out your tomorrow!


All the businesses, start-ups and existing alike, must be registered to be able to avail credit facility from the CGTMSE scheme. Businesses such as micro and small enterprises (MSEs) including manufacturing and services including Retail Trade, are eligible for the credit up to Rs. 2 crores. The loan can be taken as term loan or working capital.


Any registered MSE or MSME, new and existing including manufacturing and services including Retail Trade, are eligible for the credit service for up to Rs. 2 crores. As per the revised scheme CGTMSE guidelines, now educational institutes, wholesale trade and training institutes are also eligible to get a business loan (capital working or term loan) under CGTMSE scheme. 

SHG (Self Help Groups) and agriculture, however, are ineligible for loans under CGTMSE scheme.


Yes. There is 1.50% per annum charged on the guaranteed amount on an outstanding basis.


Yes. Guarantee Fee is payable for NPA or claim lodged cases until the settlement of first claim.


Before lodgment of claim application with CGTMSE, the MLI is required to target legal action post NPA or default.


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