Employment Linked Subsidy (EPF) — Up to ₹5 Cr for Maharashtra Units — Frequently Asked Questions

An eligible unit gets back 50% of what it pays as an employer towards provident fund, and the reimbursement runs for 5 years. The total is capped at ₹5 crore per unit. Since this is a reimbursement rather than a fixed grant, the amount a unit actually draws depends on its payroll and on how many direct jobs it has generated.

Industrial units located in Group D, D+ and lower-category areas of Maharashtra that also clear the jobs test. The unit must generate more than 20 direct jobs for each ₹1 crore it invests. Both conditions are mandatory — meeting one without the other is not enough.

It is the policy's way of measuring how many direct jobs a unit supports for every ₹1 crore it invests. For this subsidy the bar is above 20 direct jobs for each ₹1 crore invested. A unit below that ratio is not eligible, and the same figure is what the department looks at while assessing a claim.

No. This is a subsidy paid as a reimbursement against provident fund contributions. The government does not receive shares, board representation or any ownership in return, and the unit stays fully privately held.

Five years. The 50% reimbursement of the employer's provident fund outgo continues across that period, subject to the overall ceiling of ₹5 crore per unit.

It is a subsidy, delivered as a reimbursement of money the unit has already spent on employer provident fund contributions. There is no repayment and no interest to service, and no equity is taken — the department refunds a share of the contribution once verification is complete.

No. The scheme is listed as rolling and always open, so claims can be filed through the year and are assessed as they are received rather than against a single cut-off date.

Applications are filed through the Maharashtra government's industry portal at https://maitri.maharashtra.gov.in/login, and the Maharashtra State Industries Department or its appointed agencies processes them.

The claim is built around proof of where the unit is located, the investment figures for the project, records of the provident fund contributions made, and evidence of the number of direct jobs generated. These are the papers the department verifies before approving a payout.

The subsidy is limited to units in Group D, D+ and lower-category areas under the state's industrial classification — the regions the policy treats as needing the most support for industrial growth. Units in better-placed categories are outside its scope.

It forms part of the Maharashtra Industries Investment and Services Policy 2025, the state's current framework of industrial incentives, and is administered by the Directorate of Industries, Government of Maharashtra.

No. DPIIT (Startup India) recognition is not listed as a mandatory requirement for Employment Linked Subsidy (EPF) — Up to ₹5 Cr for Maharashtra Units, though having it can strengthen your application and unlock other benefits.

Employment Linked Subsidy (EPF) — Up to ₹5 Cr for Maharashtra Units is open to startups at any stage. It is open to startups registered anywhere in India.

Employment Linked Subsidy (EPF) — Up to ₹5 Cr for Maharashtra Units is offered by Directorate of Industries, Government of Maharashtra, a government body. It is provided as non-dilutive funding.

Apply directly through the official application link on this page. Review the eligibility criteria and prepare your startup documents before you begin.