Credit Guarantee Scheme for Startups
A government guarantee that lets banks, NBFCs and AIFs lend to DPIIT-recognised startups without demanding collateral.
What you get
Guarantee cover up to ₹20 crore per eligible borrower
Nodal ministry
DPIIT, Ministry of Commerce & Industry
Support type
Loan / Credit
Best suited for
Seed / Early Stage · Growth / Scaling
Typical timeline
Bank appraisal typically 3–8 weeks
What this scheme actually is
CGSS does not give you money — it de-risks the lender. NCGTC guarantees a defined share of the loan a member institution extends to a DPIIT-recognised startup, which removes the collateral conversation that kills most startup debt applications. If you have revenue and need working capital or venture debt without pledging a founder's house, this is the instrument.
Implementing agency: National Credit Guarantee Trustee Company (NCGTC)
What the scheme sets out to do
Who can apply
What you get
Documents to have ready
How to apply, step by step
- 1
Check you are lendable before you approach anyone
CGSS removes the collateral barrier, not the credit assessment. The lender still looks at revenue stability, promoter CIBIL and existing obligations. Pull the credit report at the start, not after a rejection.
- 2
Identify a Member Institution
Only lenders registered with NCGTC under CGSS can extend guaranteed credit. NCGTC publishes the list. Applying to a non-member branch wastes weeks.
- 3
Build the credit file
Project report or CMA data depending on whether you want a term loan or working capital, plus audited financials, GST-turnover reconciliation and a clear statement of what the money funds.
- 4
Apply through the lender or the Jan Samarth portal
Submit to the member institution directly, or route the application through jansamarth.in. The lender appraises, sanctions, and then seeks the guarantee cover from NCGTC.
- 5
Complete documentation and drawdown
Guarantee fee is payable as per the scheme terms. Keep the account standard — a slip into NPA invalidates the cover and turns a guaranteed facility into a personal problem.
Where applications go wrong
What we actually do on a CGSS mandate
Services this usually needs
No consultant can guarantee a sanction — that decision sits with the evaluating committee, bank or incubator. We commit to an honest eligibility view, an application built to the evaluator’s format, filing inside the window and a documented follow-up cadence. That is stated in every engagement letter we sign.