Gujarat Self-Employment Scheme: ₹6 Lakh Loan, 5% Subsidy

Transport, Logistics, Travels and Food Court Wyaaj Sahaay is one component of Gujarat's wider Self-Employment Scheme, delivered by the state's Social Justice and Empowerment Department through the Gujarat Unreserved Education and Economical Development Corporation.

It is built for people who want to work for themselves rather than chase a salaried job, and it targets the single biggest cost of getting there — interest on borrowed capital. An eligible applicant raises a bank loan of up to ₹6,00,000 at 5% simple interest, and the scheme pays an interest subsidy of 5% against it, cancelling that cost out.

The money is meant for asset-building in four defined lines of business: transport services, logistics operations, travel agencies and food courts. Applicants typically use it to buy the vehicle their venture depends on and to put the supporting infrastructure in place.

There is no fixed application window — applications are accepted on a rolling basis. Uptake is capped, though: a village can have at most five beneficiaries, and a family can put forward only one member.

• 5% interest subsidy that makes the bank loan effectively interest-free
• Bank loan of up to ₹6,00,000 per beneficiary
• For transport, logistics, travel agency and food court ventures
• Gujarat residents from the unreserved category, aged 18 to 50
• Repayment in equal monthly instalments over 5 years
• Open round the year, with a cap of 5 beneficiaries per village

The scheme is open to individuals rather than companies, and the conditions are tightly drawn:

• Domicile: the applicant must be a resident of Gujarat.
• Category: only applicants from the unreserved category qualify.
• Age: between 18 and 50 years.
• Driving licence: a valid licence is mandatory.
• Family income: annual family income must be ₹6,00,000 or less.
• One per family: only a single member of a family may take the benefit.
• Village cap: no more than five beneficiaries per village are selected.
• Conditions on the loan: the vehicle bought under the scheme has to be hypothecated (mortgaged) in favour of the corporation, and the applicant must be ready to repay in equal monthly instalments over five years.

Gujarat Self-Employment Scheme: ₹6 Lakh Loan, 5% Subsidy is open to startups at any stage. It is open to startups registered anywhere in India.

Gujarat Self-Employment Scheme: ₹6 Lakh Loan, 5% Subsidy accepts applications on a rolling basis — there is no fixed cut-off date, so eligible startups can apply at any time. Because rolling programmes can pause without notice, confirm the window is still open on the official site before you start.

The support here is a 5% interest subsidy, not a lump sum handed over at the start. What the beneficiary actually draws is a bank loan of up to ₹6,00,000, and the scheme absorbs the 5% simple interest that loan carries.

• Effective cost of borrowing: because the loan runs at 5% simple interest and the subsidy is also 5%, an eligible borrower ends up paying no interest at all.
• What the loan funds: purchase of vehicles and setting up of the infrastructure needed by a transport, logistics, travel or food court business.
• Tenure: repayment happens through equal monthly instalments across five years, which keeps the venture's cash flow manageable while encouraging financial discipline.

Gujarat Self-Employment Scheme: ₹6 Lakh Loan, 5% Subsidy is offered by Social Justice and Empowerment Department, Government of Gujarat, a government body. As a government-backed subsidy, it is publicly funded and open to eligible startups across India.

There is no competitive pitch or jury round. Applications first go through a screening step, where residency, unreserved category status, age, family income and possession of a valid driving licence are checked against the scheme's conditions.

Beyond that screening, no detailed selection method is published. What the scheme does state clearly is a ceiling: a maximum of five beneficiaries per village. Where demand within a village exceeds that number, the choice among eligible applicants is likely to be made on merit or by lottery, though the scheme does not specify which.

The process is completed offline. Once the online application is submitted, a signed printout of the form, together with physical copies of the uploaded documents, goes to the Deputy Director (Non-Reserved Category) or the District Social Welfare Officer — by courier, post, or in person during working hours.

Before you apply to Gujarat Self-Employment Scheme: ₹6 Lakh Loan, 5% Subsidy, keep the following documents ready:

• A pitch deck or short business plan describing the problem, product and traction
• Company registration documents and PAN
• Founder identification (PAN / Aadhaar) and brief profiles
• Recent financial statements or projections
• Product details — a demo, prototype or working link if available

Exact requirements are confirmed on the official application portal — treat this as a preparation checklist.

Gujarat Self-Employment Scheme: ₹6 Lakh Loan, 5% Subsidy is best suited for startups in India seeking non-dilutive funding of ₹6L. If that describes your startup, review the eligibility criteria above before applying.