Need of Finance are of following type:-

Financial assistance in India for MSME units is available from a variety of institutions. The important ones are:-

 For loans from financial institutions and commercial banks a formal application needs to be made. The details of documentation that need to be provided with the loan application are indicated below:

A sanction or rejection letter is issued by bank after its assessment of the application. After receiving a sanction letter, applicants need to indicate in writing their acceptance of terms and conditions laid down by FI/Banks.

Subsequently, loan is disbursed according to the phased implementation of the project. There are other sources apart from commercial banks and Government owned financial institutions. These sources of finance include venture capital funds and non-government finance companies.