- Self Employment Programme (SEP) focus on financial assistance to individuals/groups of urban poor for setting up gainful self-employment ventures/ micro-enterprise.
- The component also support Self Help Groups (SHGs) of urban poor to access easy credit from bank and avail interest subsidy on SHG loans.
- The Community Organisers (COs) and professionals from Urban Local Body (ULB) identifies the prospective beneficiaries from among the urban poor.
- No minimum educational qualification is required for prospective beneficiaries under this component.
- Training is be provided to the beneficiaries before extending financial support by linking them for training under Employment through Skills Training and Placement (EST&P).
- Self Employment Programme (SEP) component of Deendayal Antyodaya Yojna-National Urban Livelihood Mission (DAY-NULM) is being converged with Pradhan Mantri Mudra Yojna (PMMY).
Self Employment Programme (SEP) have following Sub- Components:
Individual Enterprises (SEP-I)
An urban poor individual beneficiary desirous of setting up an individual micro-enterprise for self-employment can avail benefit of subsidized loan under this component from any bank. The norms/ specifications for individual micro-enterprise loans are as follows
- Age: The prospective beneficiary should have attained the age of 18 Years at the time of applying for loan.
- Project Cost (PC): The Maximum unit Project Cost for individual micro-enterprises cases is Rs 200,000 (Rs Two Lakhs)
- Collateral on Bank Loan: No collateral required. (As per RBI Circular RPCD.SME & NFS. BC. No. 79 /06.02.31/2009-10 dated May 6, 2010)
- Repayment: Repayment schedule ranges from 5 to 7 Years after initial moratorium of 6-18 months as per norms of the banks.
Group Enterprises (SEP-G)