Bank Tie-Up Scheme

Bank Tie-Up Scheme is a Government of Punjab initiative implemented through the Punjab Backward Classes Land Development and Finance Corporation (PBSCFC). The scheme is designed to facilitate bank-linked financial assistance to individuals belonging to backward classes and economically weaker sections for starting or expanding self-employment ventures.

The primary objective is to leverage institutional bank credit along with government support to promote entrepreneurship and livelihood generation. For you as an MSME or first-time entrepreneur, this scheme helps you access larger loan amounts through banks with margin money assistance, making it easier to establish your business.

Key Features
Financial Assistance
Eligibility Criteria
Documents Required
Application Process

Key Features

Bank-linked financing model: Loans are provided by banks, while the corporation supports beneficiaries through margin money or subsidy assistance.
Higher credit access: You can avail larger loans compared to direct lending schemes, enabling better business setup.
Support for weaker sections: The scheme ensures easier access to credit for economically weaker communities.
Flexible business activities: Covers a wide range of self-employment activities including manufacturing, service, and trade.
Reduced financial burden: Margin money support reduces the initial capital requirement for entrepreneurs.

Financial Assistance

Component	Assistance Provided	Detailed Explanation
Bank Loan	Provided by nationalised/scheduled banks	Main financing comes from banks based on project viability.
Margin Money Assistance	Subsidy support by corporation	Helps reduce your upfront investment. Example: Part of project cost covered as margin.
Loan Amount	Higher limits (bank-dependent)	Loan size depends on business plan and bank norms.
Interest Rate	As per bank norms	Interest is decided by the lending bank.
Repayment Period	As per bank sanction	Structured repayment based on income generation.

Eligibility Criteria

Applicant must belong to Backward Classes (BC) or eligible category
Must be a resident of Punjab
Must fall under prescribed income limits
Age generally between 18–55 years
Must propose a viable business activity
Must meet bank credit norms

Non-eligibility conditions:

Applicants above income ceiling
Defaulters of banks or financial institutions
Non-viable business proposals

Documents Required

Aadhaar Card
Residence Proof (Punjab)
Caste Certificate (BC category)
Income Certificate
Age Proof
Project Report
Bank Account Details
Passport-size Photograph

Application Process

Option 1: Apply with Bullit, Recommended

Start instantly with our guided application support, where our team verifies eligibility, prepares documentation, and coordinates with the Industries Department on your behalf. Using our business loans and compliance calendar, you can track progress while focusing on project execution, we manage the application end-to-end.

Option 2: Apply Online / Offline (Government Process)

Visit PBSCFC office or website
Obtain application form
Fill personal and project details
Submit application to corporation
Corporation forwards proposal to bank
Bank evaluates project and sanctions loan
Margin money assistance is released
Loan is disbursed
Repayment as per bank schedule