§1Who it is for

  • New MSMEs in manufacturing, service and trading with bank/KSIDC/KFC/KSFE/Kerala Bank loans

Useful if

New family enterprises with loans up to Rs 10 lakh and no other grant.

Do not spend time on it if

Units that already took ESS, PMEGP or other grant support.

§2Eligibility

  1. New MSME with term and/or working capital loan
  2. Started operation/production on or after 1 Apr 2022

Valid Udyam registration

  1. Loan not NPA on claim date; unit working on application date
  2. No grant from any central, state or local body scheme (PMFME units: only expansion from 1 Apr 2022, or working capital part up to Rs 10 lakh)
  3. 50% of beneficiaries to be women

§3Benefits

  • Interest subvention = lender rate minus 4%, max 6%
  • On loans up to Rs 10 lakh
  • For 5 years from first disbursement

§4Norms — pattern of assistance

  1. Paid as reimbursement

§5Documents

Not published

The guideline does not list the documents. Ask the portal or bank before you apply — we do not make up lists.

§6How to apply

  1. 1

    Apply online at ofoe.industry.kerala.gov.in

§7Pros and cons

Merits

  • Includes trading units (OFOE page)
  • Effective 4% loan cost for 5 years (OFOE page)

Demerits

  • Barred if the unit got any other grant (OFOE page)
  • Overlaps with KELS; relation between the two not explained on pages read

→Related schemes

Need help with OFOE?

Eligibility check, DPR and application file — ask us on WhatsApp.

WhatsApp usServices

Our interestHelp is our paid service. You can also apply for the scheme yourself.

Sources

  1. One Family One Enterprise (OFOE) page

Checked on 18 October 2026. For information only — confirm with the department or bank. Spotted a mistake? Report it.