Business plan and project report for PM Street Vendor AtmaNirbhar Nidhi (PM SVANidhi). Loan of ₹10,000 → ₹20,000 → ₹50,000 with 7% interest subvention and no collateral. Accepted by SBI, PNB, Canara Bank, and all MUDRA-linked banks. Ready in 60 seconds.
पीएम स्वनिधि योजना — स्ट्रीट वेंडर लोन | बिज़नेस प्लान 60 सेकंड में तैयार
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PM SVANidhi (Pradhan Mantri Street Vendor AtmaNirbhar Nidhi) is a central government scheme launched in June 2020 to provide affordable working capital loans to street vendors who were affected by the COVID-19 pandemic. The scheme offers a 3-tier credit ladder: ₹10,000 (Tier 1, first loan) → ₹20,000 (Tier 2, after timely repayment) → ₹50,000 (Tier 3, after second loan repayment). Interest rate is subsidized with 7% per annum interest subvention (effectively reducing cost to zero or near-zero). No collateral, no guarantor. Eligible: street vendors who were vending on or before 24 March 2020 with a Certificate of Vending (CoV) or Letter of Recommendation (LoR) from Urban Local Body (ULB). By 2024, over 60 lakh loans have been sanctioned under this scheme. A basic business plan / project report helps PSBs process PM SVANidhi applications faster.
Every report is formatted to the exact standards required by Indian banks and government departments.
A complete 14-section project report — the same document your bank officer will read. Every table below is real: the repayment schedule, the DSCR, the CMA workings, the balance sheet. Generate yours free, then pay ₹499 for the clean copy.
Project Report
Consumer electronics repair, servicing & spare-parts retail
Vaishali Nagar, Jaipur, Rajasthan
Submitted to the Branch Manager · Punjab National Bank, Vaishali Nagar, Jaipur
The unit has been in operation since 2019 and currently services 20–25 jobs a day from a 350 sq.ft. ground-floor shop, with a recorded customer base of 600+ households in the Vaishali Nagar catchment. The promoter proposes to expand the workbench capacity, add board-level diagnostic equipment and carry a spare-parts inventory so that 70% of repairs can be completed same-day instead of the present 3-day turnaround.
The project is assessed at a cost of ₹10.00 lakh, financed by a ₹8.00 lakh MUDRA Tarun term loan and ₹2.00 lakh of promoter's own contribution (20%). At the projected turnover the unit services its debt 5.87 times over on average, against the 1.25 minimum, and breaks even at 62% of Year-1 sales — leaving substantial cushion against a demand shortfall.
Recommendation: the proposal is technically feasible, commercially viable and financially sound. It is recommended for sanction of a term loan of ₹8.00 lakh repayable in 60 monthly instalments.
| Particulars | Basis | Amount (₹) |
|---|---|---|
| Renovation & civil work | 200 sq.ft. additional area, electrical, ESD flooring | 1,20,000 |
| Diagnostic & repair equipment | As per quotations — Annexure IX | 2,40,000 |
| Computers, software & service tools | 2 systems, billing software, tool kits | 80,000 |
| Furniture, air-conditioning & display fixtures | Counter, racks, 1.5 T AC | 60,000 |
| Margin money for working capital | Stock, receivables & operating cash | 5,00,000 |
| Total project cost | 10,00,000 |
A 5% contingency is built into the civil and equipment estimates. All capital items are supported by three quotations each.
| Source | Amount (₹) | % of project cost |
|---|---|---|
| Promoter's own contribution | 2,00,000 | 20.00% |
| Term loan under MUDRA Tarun | 8,00,000 | 80.00% |
| Subsidy / margin money grant | Nil | — |
| Total | 10,00,000 | 100.00% |
Promoter's contribution is held in Savings A/c No. XXXXXX4417 with Punjab National Bank, Vaishali Nagar (statement enclosed). Debt–equity at inception is 4.00 : 1, improving to 1.65 : 1 by the end of Year 1.
For PMEGP, PMFME, NABARD and state-subsidy proposals this section additionally carries the margin-money subsidy workings, the subsidy-adjusted repayment and a second DSCR computed net of subsidy.
| Equipment | Qty | Rate (₹) | Amount (₹) |
|---|---|---|---|
| BGA rework station with preheater | 1 | 95,000 | 95,000 |
| Digital storage oscilloscope with probes | 1 | 45,000 | 45,000 |
| Universal IC programmer | 1 | 35,000 | 35,000 |
| Ultrasonic PCB cleaning unit | 1 | 22,000 | 22,000 |
| Soldering / desoldering stations | 3 | 8,000 | 24,000 |
| Precision tool kits & ESD workbench | 2 | 9,500 | 19,000 |
| Total | 2,40,000 |
Suppliers: Fine Tools India (Jaipur), Sagar Electronics (Delhi), Techno Instruments (Jaipur). Quotations enclosed at Annexure IX. Delivery within 30 days of sanction; installation by the supplier at no extra cost.
| Particulars | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 |
|---|---|---|---|---|---|
| Service & repair income | 24.00 | 28.32 | 32.57 | 36.80 | 41.22 |
| Sale of spares & accessories | 9.60 | 11.33 | 13.03 | 14.73 | 16.49 |
| Total revenue | 33.60 | 39.65 | 45.60 | 51.53 | 57.71 |
| Cost of spares & materials (45%) | 15.12 | 17.84 | 20.52 | 23.19 | 25.97 |
| Gross profit | 18.48 | 21.81 | 25.08 | 28.34 | 31.74 |
| Salaries & wages | 6.72 | 7.26 | 7.84 | 8.47 | 9.14 |
| Rent | 1.44 | 1.51 | 1.59 | 1.67 | 1.75 |
| Power & fuel | 0.72 | 0.78 | 0.83 | 0.89 | 0.95 |
| Repairs & maintenance | 0.30 | 0.33 | 0.36 | 0.39 | 0.42 |
| Marketing & business promotion | 0.36 | 0.40 | 0.44 | 0.48 | 0.52 |
| Administrative & miscellaneous | 0.60 | 0.66 | 0.72 | 0.78 | 0.84 |
| Insurance | 0.12 | 0.13 | 0.14 | 0.15 | 0.16 |
| Total operating expenses | 10.26 | 11.07 | 11.92 | 12.83 | 13.78 |
| EBITDA | 8.22 | 10.74 | 13.16 | 15.51 | 17.96 |
| Depreciation (WDV, as per IT Act) | 0.86 | 0.66 | 0.52 | 0.42 | 0.35 |
| EBIT | 7.36 | 10.08 | 12.64 | 15.09 | 17.61 |
| Interest on term loan | 0.78 | 0.64 | 0.48 | 0.31 | 0.11 |
| Profit before tax | 6.58 | 9.44 | 12.16 | 14.78 | 17.50 |
| Income tax (as applicable) | 0.30 | 0.62 | 0.95 | 1.35 | 1.80 |
| Profit after tax | 6.28 | 8.82 | 11.21 | 13.43 | 15.70 |
Revenue grows 18%, 15%, 13% and 12% over the five years, against 22% achieved by the unit in the last audited year. Capacity utilisation moves from 72% to 91%; the projections do not assume any increase in service rates.
| Year | Opening balance | Principal repaid | Interest | Total outgo | Closing balance |
|---|---|---|---|---|---|
| 1 | 8,00,000 | 1,28,404 | 77,937 | 2,06,341 | 6,71,596 |
| 2 | 6,71,596 | 1,42,555 | 63,787 | 2,06,341 | 5,29,041 |
| 3 | 5,29,041 | 1,58,265 | 48,077 | 2,06,341 | 3,70,776 |
| 4 | 3,70,776 | 1,75,706 | 30,635 | 2,06,341 | 1,95,070 |
| 5 | 1,95,070 | 1,95,070 | 11,272 | 2,06,341 | Nil |
| Total | 8,00,000 | 2,31,707 | 10,31,705 |
| Particulars | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 |
|---|---|---|---|---|---|
| Profit after tax | 6.28 | 8.82 | 11.21 | 13.43 | 15.70 |
| Add: depreciation | 0.86 | 0.66 | 0.52 | 0.42 | 0.35 |
| Add: interest on term loan | 0.78 | 0.64 | 0.48 | 0.31 | 0.11 |
| Cash available for debt service (A) | 7.92 | 10.12 | 12.21 | 14.16 | 16.16 |
| Principal repayment | 1.28 | 1.43 | 1.58 | 1.76 | 1.95 |
| Interest | 0.78 | 0.64 | 0.48 | 0.31 | 0.11 |
| Total debt service (B) | 2.06 | 2.07 | 2.06 | 2.07 | 2.06 |
| DSCR (A ÷ B) | 3.84 | 4.89 | 5.93 | 6.84 | 7.84 |
Average DSCR over the tenure: 5.87. The minimum acceptable to banks is 1.25; the unit crosses that threshold even if Year-1 revenue falls 60% short of projection.
| Particulars | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 |
|---|---|---|---|---|---|
| LIABILITIES | |||||
| Capital account (net of drawings) | 4.08 | 7.50 | 12.11 | 17.74 | 24.44 |
| Term loan — long-term portion | 5.29 | 3.71 | 1.95 | — | — |
| Term loan — current maturity | 1.43 | 1.58 | 1.76 | 1.95 | — |
| Sundry creditors (30 days) | 1.26 | 1.49 | 1.71 | 1.93 | 2.16 |
| Other current liabilities & provisions | 0.30 | 0.35 | 0.40 | 0.45 | 0.50 |
| Total | 12.36 | 14.63 | 17.93 | 22.07 | 27.10 |
| ASSETS | |||||
| Net fixed assets | 4.14 | 3.48 | 2.96 | 2.54 | 2.19 |
| Stock of spares (45 days) | 1.86 | 2.20 | 2.53 | 2.86 | 3.20 |
| Sundry debtors (10 days) | 0.92 | 1.09 | 1.25 | 1.41 | 1.58 |
| Cash & bank balance | 5.44 | 7.86 | 11.19 | 15.26 | 20.13 |
| Total | 12.36 | 14.63 | 17.93 | 22.07 | 27.10 |
| Sources | Amount | Applications | Amount |
|---|---|---|---|
| Profit after tax | 6.28 | Capital expenditure | 5.00 |
| Depreciation | 0.86 | Increase in stock | 1.86 |
| Increase in creditors & provisions | 1.56 | Increase in debtors | 0.92 |
| Term loan drawn | 8.00 | Repayment of term loan | 1.28 |
| Promoter's capital introduced | 2.00 | Drawings | 4.20 |
| Closing cash & bank | 5.44 | ||
| Total | 18.70 | Total | 18.70 |
Working capital is assessed under the Tandon Committee Method II, the basis used by banks for limits up to ₹5 crore. The workings below are drawn from the Year-1 projections above.
| Particulars | Amount |
|---|---|
| Stock of spares | 1.86 |
| Sundry debtors | 0.92 |
| Cash & bank balance | 5.44 |
| Total current assets (TCA) | 8.22 |
| Sundry creditors | 1.26 |
| Other current liabilities & provisions | 0.30 |
| Current maturity of term loan | 1.43 |
| Other current liabilities (OCL) | 2.99 |
| Working capital gap (TCA − OCL) | 5.23 |
| 25% of TCA — stipulated margin | 2.06 |
| Maximum permissible bank finance (Method II) | 3.18 |
No cash-credit limit is sought in this proposal; the assessment is presented because bank officers ask for it. Were the limit of ₹3.18 lakh availed, the current ratio would stand at 1.33 — above the 1.25 stipulated by IBA.
CMA statements included in the full report
| Ratio | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Bank norm |
|---|---|---|---|---|---|---|
| Current ratio | 2.75 | 3.26 | 3.87 | 4.51 | 9.36 | ≥ 1.25 |
| Debt–equity ratio | 1.65 | 0.71 | 0.31 | 0.11 | Nil | ≤ 3.00 |
| DSCR | 3.84 | 4.89 | 5.93 | 6.84 | 7.84 | ≥ 1.25 |
| Net profit margin | 18.7% | 22.2% | 24.6% | 26.1% | 27.2% | — |
| Interest coverage | 9.4 | 15.8 | 26.3 | 48.7 | 160.1 | ≥ 2.00 |
| Particulars | Amount |
|---|---|
| Fixed costs (salaries, rent, admin, depreciation, interest) | 10.88 |
| Variable costs (materials, power, maintenance) | 16.14 |
| Contribution (revenue − variable costs) | 17.46 |
| P/V ratio | 51.96% |
| Break-even sales | 20.94 |
| Break-even as % of Year-1 revenue | 62.3% |
| Cash break-even as % of Year-1 revenue | 57.4% |
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PM SVANidhi-specific format: business plan calibrated to street vendor income levels, not MSME format
CoV/LoR details and ULB application number included in report — speeds up bank verification
Digital payment commitment section: UPI/BHIM QR — required for 7% interest subvention claim
Tier escalation letter: Tier 2 and Tier 3 applications include proof of Tier 1 repayment reference
Hindi + regional language output: critical for street vendors who submit to local municipality offices
Realistic income model: daily cart revenue ₹800–₹3,000 — honest projections that banks accept
Step 1: Visit pmsvanidhi.mohua.gov.in and apply online (or go to nearest Common Service Centre — CSC). Step 2: Submit Aadhaar-linked mobile number for OTP verification. Step 3: Enter Certificate of Vending (CoV) number or apply for Letter of Recommendation (LoR) from Urban Local Body. Step 4: Bank reviews and approves. Step 5: Loan disbursed to your Aadhaar-linked bank account. Start using UPI payments (Paytm, PhonePe, BHIM) — mandatory for 7% interest subvention claim. Total time: 7–21 days depending on bank.
Under PM SVANidhi, the government gives a 7% per annum interest subvention directly to your account for timely repayment. This means: if you get a ₹10,000 loan at 12% interest, you actually pay only 5% — and the government pays the other 7% back to you annually as cashback. For digital transactions, you get an additional ₹100/month cashback (maximum ₹1,200/year). Effectively, PM SVANidhi is the cheapest loan scheme available in India for small vendors. Must make at least 3 digital transactions per month.
A Certificate of Vending (CoV) is issued by your city's Urban Local Body (Municipal Corporation, Nagar Panchayat, or Town Committee) under the Street Vendors Act, 2014. It certifies you as an official street vendor with a designated vending zone. To get CoV: visit your ULB office with Aadhaar, photo, and proof of vending (can be photos, witness statement from TVC — Town Vending Committee). If you don't have CoV, the ULB can issue a Letter of Recommendation (LoR) for PM SVANidhi — this is sufficient for loan application.
PM SVANidhi was originally for vendors vending before 24 March 2020. However, under the expanded scheme (2023), newly identified vendors who don't have CoV can get a Letter of Recommendation (LoR) from the ULB survey team. Many cities have done fresh vendor surveys in 2022–2024. If you're a new vendor, approach your local Nagar Panchayat or Municipal Corporation office and ask for PM SVANidhi LoR — they're instructed to issue it to eligible vendors. Alternatively, MUDRA Shishu (up to ₹50,000) is available without CoV requirement.
Daily revenue depends on your product and location: Tea stall: ₹800–₹2,000/day. Vegetable cart: ₹1,000–₹3,000/day (15–20% margin). Chaat/snack stall: ₹1,500–₹5,000/day (40–60% margin). Fruit cart: ₹800–₹2,500/day (20–30% margin). Flower vendor: ₹500–₹2,000/day. Cobbler: ₹300–₹1,500/day. After daily costs, net monthly income: ₹8,000–₹25,000. PM SVANidhi ₹10,000 EMI is typically ₹500–₹600/month over 12 months — easily repayable from above income.
Yes, you can take PM SVANidhi (for working capital as a street vendor) and MUDRA Shishu or Kishor separately (for different purposes or to upgrade to a shop). They are different schemes with different purposes. Many vendors start with PM SVANidhi ₹10,000, repay it, get ₹20,000, then once they move to a shop they get MUDRA Kishor. However, having two active loans simultaneously may affect your CIBIL score and approval. Banks typically look at total repayment burden (total EMI vs income).
“I sell chaat near Saket metro. Got PM SVANidhi ₹10K, repaid in 10 months, then got ₹20K. Cred's business plan helped HDFC Bank process it in 5 days.”
Rajesh T.
Delhi, NCT
₹20K (Tier 2)
PM SVANidhi
“I'm a flower vendor at Deccan Gymkhana. Got ₹10K PM SVANidhi in first month. Got 7% cashback on interest. Now on ₹50K third tranche.”
Anita K.
Pune, Maharashtra
₹50K (Tier 3)
PM SVANidhi
“I sell fruits near HICC. Cred's simple plan in Urdu/Hindi helped me get PM SVANidhi approved at Canara Bank. The UPI QR code cashback is a bonus.”
Mohammed I.
Hyderabad, Telangana
₹20K Approved
PM SVANidhi