About this funding solution
Mukhyamantri Yuva Swarozgar Yojana (MYSY) was created to give Uttar Pradesh's educated but unemployed youth a route into self-employment in the industry and service sectors, through a margin-money grant and interest support rather than a standard commercial loan.
In its current operating form — aligned with the state's broader CM-YUVA push — eligible applicants can access collateral-free financing up to ₹5 lakh with a 10% margin-money subsidy on total project cost, removing the two biggest barriers first-time entrepreneurs face: security and upfront equity.
Special provisions apply for SC/ST and women applicants, who receive enhanced margin-money and interest support beyond the standard terms — reflecting the scheme's explicit focus on widening access to first-generation entrepreneurship.
*Reflects CM-YUVA alignment; SC/ST and women applicants receive enhanced margin-money and interest support.
Who is this solution for?
For educated, currently-unemployed individuals in UP setting up their very first enterprise — not an expansion or working-capital product.
- Educated but currently unemployed resident of Uttar Pradesh
- Setting up a new enterprise in the industry or service sector
- Have a workable business plan for a first-time venture
- Fall under SC/ST or women categories for enhanced scheme benefits
Why consider this funding route?
Collateral-free financing
Up to ₹5 lakh in financing without pledging security.
Margin-money subsidy
10% of total project cost covered as a subsidy, reducing promoter contribution.
SC/ST & women enhancements
Additional margin-money and interest support for eligible categories.
Business-plan support
Guidance structuring a bankable plan before the district committee review.
How it works
Eligibility & plan preparation
Applicant eligibility confirmed and a business plan drafted for review.
Online application
Application submitted via the UP MSME/self-employment portal.
District committee screening
District-level committee reviews the plan and applicant eligibility.
Bank sanction & disbursal
Empanelled bank sanctions financing; margin-money subsidy credited alongside.
UP Mukhyamantri Yuva Swarojgar Yojana (MSMY) Grant Estimator
Use the sliders below to get an indicative estimate. Final terms are subject to formal underwriting and lender / investor committee assessment.
FAQs
Eligibility is based on educational qualification and current unemployment status at the time of application — exact age and qualification bands are confirmed during the eligibility check, as they're periodically revised.
Women are explicitly eligible, with enhanced margin-money and interest support built into the scheme's special provisions.
No — this scheme is specifically for setting up a new enterprise, not for working capital or expansion of an already-running unit.
An empanelled bank sanctions the financing and the margin-money subsidy is credited alongside disbursal, per the scheme's process.
Check Eligibility
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