Get a business loan without offering collateral
CGTMSE credit guarantee
01 · What it is
A government-backed trust guarantees a large part of your bank loan, so the bank can lend without property as security.
02 · Who should check it
Micro and small units taking a term loan or working capital
03 · What it can support
- Guarantee cover on eligible term loans and working capital
- The guarantee ceiling is ₹10 crore from 1 April 2025 (it was ₹5 crore)
- The annual guarantee fee was halved, to as low as 0.37 per cent a year
- Under RBI's Master Direction of 9 February 2026, banks may not ask for collateral on loans up to ₹20 lakh to small units
- A special provision covers credit against TReDS invoices (CGTMSE circular 262/2026-27 of 15 June 2026)
04 · What may be required
- Micro or small enterprise under Udyam
- Loan from a member bank or NBFC
05 · Documents commonly requestedTick what you already have. 0 of 5 ready.
06 · Application route
Apply through your bank or NBFC. They register the guarantee.
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