Entrepreneur Support Scheme (ESS)

The Entrepreneur Support Scheme (ESS), administered by the Directorate of Industries and Commerce, Government of Kerala, provides financial assistance to Micro, Small, and Medium Enterprises (MSMEs) engaged in manufacturing. In operation since April 1, 2012, the scheme offers a capital subsidy calculated as a percentage of fixed capital investment. The rate ranges from 15% to 45%, determined by the investor category, industry sector, and district of investment. A loan from a financial institution is not a mandatory condition for eligibility.

The scheme aims to support MSMEs through one-time financial aid, with specific provisions for special categories. It operates with a flexible framework to ensure efficient use of funds and to assist enterprises seeking growth and sustainability within Kerala's manufacturing sector.

Applications for assistance under ESS must be filed exclusively through the Industries Department’s designated portal at ess.kerala.gov.in/login. Following the online submission, applicants are required to present the original documents along with the acknowledgement details to the Recommending Authority.

A fee of ₹1105/- is payable for each unit applying.

For Start-up Support, the applicant must submit two copies of the application, complete with the necessary documents and a Project Report, to the General Manager of the District Industries Centre. The General Manager then prepares a Technical Feasibility Report and forwards it to the financial institution. Once the term loan is sanctioned, the institution issues its recommendation along with attested copies of the sanction letter and the Project Report.

For Investment Support, the application must be filed within one year from the start of commercial production with the relevant recommending authority. Investments that qualify as of the application date may be considered, regardless of when commercial production actually began.

For Technology Support, the application window is six months from the date commercial production commences after the installation of the new technology. The submission must include invoices for the machinery, evidence of payment, valuation certificates from approved engineers, and a certificate from a research institution confirming that the technology is new.

Applicants must provide all required information. If any details are found to be insufficient, the applicant will be notified and given 10 days to correct the submission.

Applications are handled by the relevant Sanctioning Authority, which varies by investment size: the General Manager for Start-up Support, the District Level Committee for investments below ₹200 lakhs, and the State Level Committee for investments above ₹200 lakhs. Selection rests on merit and compliance with scheme guidelines. The recommending or sanctioning authority may verify particulars, such as plant and machinery and other assets, during the process. Applicants who are shortlisted might need to submit additional clarifications or information.

If an applicant disagrees with a District Level Committee decision, they may appeal to the State Level Committee.