§1Who it is for
- Permanent residents of Bihar, 18-50 years, 10+2 / ITI / polytechnic pass, starting a unit from the approved project list
Useful if
Bihar residents 18-50 with 10+2/ITI starting a small listed project up to ₹10 lakh.
Do not spend time on it if
People wanting a custom or larger project, or those who missed the yearly window.
§2Eligibility
Permanent resident of Bihar
- At least 10+2/Intermediate, ITI, polytechnic diploma or equivalent
- Age 18 to 50 years
- Unit must be proprietorship, partnership, LLP or Pvt Ltd company; proprietorship on own PAN
- SC/ST component: only SC/ST men/women
- Ati Pichhda Varg component: only EBC (BC-01) men/women; minority applicants not eligible
- Mahila component: women of all categories
- Yuva component: only general and BC (BC-02) men; minority applicants not eligible
- Alpsankhyak component: minority men/women
- Divyangjan component: 40%+ disability with UDID card
- Unit must be set up in the applicant's home district; project choice cannot be changed later
- Only projects from the approved list; medical lab project needs DMLT/BMLT certificate
§3Benefits
- Up to ₹10 lakh per project: 50% of project cost up to ₹5 lakh as grant + remaining 50% up to ₹5 lakh as interest-free loan (Yuva Udyami component: loan at 1% interest)
§4Norms — pattern of assistance
- Max assistance ₹10.00 lakh as per departmental model DPR
- 50% of project cost up to ₹5.00 lakh grant; 50% up to ₹5.00 lakh interest-free loan (1% interest for Yuva Udyami Yojana)
- Paid in 3 instalments to the unit's current account; 6-day non-residential training before 1st and 2nd instalments (2 chances each)
- Utilisation certificate within 90 days of each instalment
- Up to 25% of machinery cost may be spent at beneficiary's choice (with GST bill); payments above ₹40,000 only by online modes
- Loan repayment starts one year after 2nd/3rd instalment via Udyami portal; misuse recovered under PDR Act
- 2025-26 target: 2,000 per component for 4 components (8,000) + 1,247 minority + 100 Divyangjan = 9,347
§5Documents
Tick each one as you get it ready.
Permanent residence certificate
Signature
§6How to apply
- 1
Apply online on udyami.bihar.gov.in during the notified window
- 2
Provisional selection by computerised randomisation against district targets
- 3
Document scrutiny at HQ; final selection; training; instalments
§7Pros and cons
Merits
- Half the project cost is a grant, not a loan
- Loan part is interest-free (1% for Yuva component)
Demerits
- Selection is by computerised lottery - eligible applicants may not be selected
- Only listed model projects; unit must be in home district
- Short yearly application window (about 3-4 weeks in 2026)
→Related schemes
Need help with MMUY?
Eligibility check, DPR and application file — ask us on WhatsApp.
Our interestHelp is our paid service. You can also apply for the scheme yourself.
¶Sources
- Udyami Bihar - MMUY 2025-26 application/selection process and scheme summary (Annexure-II)
- Udyami Bihar portal (MMUY / BLUY notices)
Checked on 18 October 2026. For information only — confirm with the department or bank. Spotted a mistake? Report it.
