GeM Encouraging Start-ups and Small Enterprises

  • March 20, 2024
  • Posted by: OptimizeIAS Team
  • Category: DPN Topics
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GeM Encouraging Start-ups and Small Enterprises

Subject: Schemes

Section: Economy

The Government e-Marketplace (GeM), the Union government’s procurement portal, is actively working to promote the participation of start-ups and small enterprises as sellers.

  • Inclusion of Start-ups:
    • Since its inception, almost 23,000 start-ups have registered on the GeM platform.
    • GeM has been a successful digital initiative of the Indian government, with the gross merchandise value (GMV) expected to cross the ₹4-lakh crore mark this year, up from ₹422 crore in 2016.
  • Seller Base:
    • GeM boasts a diverse seller base of 21 lakh, including a significant number of small and micro-enterprises.
    • The platform caters to 1.5 lakh buyers across all tiers of government – Central, State, and local.
  • GeM Sahay 2.0:
    • GeM is introducing GeM Sahay 2.0, a mobile-based lending platform aimed at supporting start-ups.
    • This initiative offers collateral-free loans of up to ₹10 lakh to start-ups and entrepreneurs.
    • Loans will be provided at interest rates of up to 10% and will be approved within just 10 minutes.
  • Market Linkages:
    • GeM provides easy market linkages for start-ups, exempting them from certain listing requirements.
    • The platform serves as a marketplace where start-ups fulfilled 84,000 orders worth ₹9,725 crore in the previous year.
  • Start-up Runway Initiative:
    • GeM’s ‘Start-up Runway’ initiative offers direct visibility to start-ups with the buyers on the public procurement portal.
    • This program encourages start-ups to showcase their offerings and engage with potential buyers effectively.

Conclusion

GeM’s efforts to onboard and support start-ups and small enterprises reflect the government’s commitment to promoting entrepreneurship and facilitating business growth.

With GeM Sahay 2.0 offering quick and hassle-free loans, and initiatives like Start-up Runway enhancing visibility, the platform aims to create a conducive environment for start-up success in the public procurement space.

GeM Sahay: Empowering Proprietorships on Government e-Marketplace (GeM)

Introduction:

  • GeM Sahay is an innovative initiative launched by the Government e-Marketplace (GeM).
  • It offers a comprehensive financing solution tailored for Proprietorships operating on the GeM platform.

Partnerships:

  • GeM has collaborated with top financial lending banks to facilitate these loans.
  • Proprietorships can access loans at the point of order acceptance, ensuring timely financial support.

Registration:

  • Easy registration process via Udyam and Aadhar, free of charge.
  • Proprietorships can seamlessly apply for loans with minimal paperwork, enhancing convenience.

Interest Rates:

  • Loans offered through GeM Sahay come with competitive interest rates.
  • Proprietorships benefit from favourable terms, making financing more accessible and affordable.

Through GeM Sahay, GeM is poised to transform the financing experience for Proprietorships, fostering a conducive environment for business expansion and success. This initiative reflects GeM’s dedication to innovation, efficiency, and support for the entrepreneurial ecosystem in India.

GeM Startup Runway Program: Fostering Growth for Startups

  • The GeM Startup Runway Program is an initiative by the Government e-Marketplace (GeM) to support and promote startups in India. 
  • It aims to provide direct visibility and business opportunities to startups on the GeM platform.
  • The program is designed to empower startups by offering them a dedicated platform to showcase their products and services.
  • It facilitates easy access to government buyers and procurement opportunities, accelerating the growth of startups.
GeM Encouraging Start-ups and Small Enterprises Schemes