How micro and small enterprises borrow without pledging collateral, backed by a government credit guarantee.
The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) lets banks and NBFCs lend to small businesses without demanding collateral or third-party guarantees — the Trust guarantees a large share of the loan instead.
Who qualifies
- Micro and small enterprises (manufacturing or services)
- New or existing businesses with a viable project
- A valid Udyam (MSME) registration
- Borrowing through a CGTMSE member lending institution
What you can get
Credit facilities are covered up to a substantial ceiling per borrower, with the guarantee covering a high percentage of the defaulted amount. The exact cover depends on the category of borrower and the lender’s scheme.
How to access it
You do not apply to CGTMSE directly. You apply for a loan at a member bank/NBFC and ask for it to be covered under CGTMSE. The lender assesses your project and routes the guarantee.
How CapEasy helps
We make sure your Udyam registration, financials and project report are loan-ready, and point you to the right lenders. Check your eligibility to see if CGTMSE fits your stage.