The Punjab government has launched the Asan Karobar Finance Scheme to empower small and medium-sized enterprises (SMEs) by providing interest-free loans. This initiative aims to stimulate economic growth and foster entrepreneurship across the province.
Table of Contents
Loan Tiers and Details
Tier | Loan Amount | Security | Repayment Period | Application Fee |
T1 | PKR 1 million to PKR 5 million | Personal guarantee | Up to 5 years | PKR 5,000 |
T2 | PKR 6 million to PKR 30 million | Property or assets as collateral | Up to 5 years | PKR 10,000 |
Additional Loan Details include:
- Grace Period: Up to 6 months for new businesses and 3 months for existing ones.
- Equity Contribution: None for T1, except for leased vehicles (25%). For other cases under T1 and T2, it’s 20%. Women, transgender, and differently-abled persons pay only 10%.
- Late Fees: PKR 1 for every PKR 1,000 overdue per day.
- Other Costs: No yearly fees for new or eco-friendly businesses. Existing businesses in T2 pay 3% per year. Legal, insurance, and registration costs are extra.
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Eligibility Criteria for the Asan Karobar Finance
To qualify for the Asaan Karobar Finance Scheme, applicants must meet the following criteria:
- Business Size:
- Small Enterprises: Annual sales up to PKR 150 million.
- Medium Enterprises: Annual sales between PKR 150 million and PKR 800 million.
- Age: Entrepreneurs between 25 to 55 years old.
- Compliance: Regular taxpayers with no history of bad credit.
- Location: Both residence and business should be in Punjab.
- Identification: Valid Computerized National Identity Card (CNIC) and National Tax Number (NTN).
- Business Premises: Ownership or rental agreement for the business location.
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Required Documents for the Asan Karobar Finance
Before starting the application, ensure you have the following documents:
- Passport-size photograph or selfie.
- Scanned copies or clear photos of your CNIC (front and back).
- A mobile number registered under your name.
- Names, CNIC copies, and mobile numbers of two references (not blood relatives).
- Proof of tax filing status.
- Business documents detailing income and expenses.
- Proof of business and residence addresses (e.g., rent agreement, transfer letter, registry).
- Details of security to be offered for T2 loans (e.g., property transfer letter, registry, government securities).
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Asan Karobar Finance Register Process
Follow these steps to apply for the Asaan Karobar Finance Scheme:
- Prepare Documents: Gather all necessary documents as listed above.
- Register Online: Visit the official portal at akf.punjab.gov.pk and sign up using your registered mobile number.
- Complete Application Form: Fill out the application form, which takes approximately 15 minutes. You can save your progress and complete it later if needed.
- Upload Documents and Pay Fee: Upload all required documents and pay the non-refundable application fee (PKR 5,000 for T1 and PKR 10,000 for T2).
- Submit and Track Application: After submission, you’ll receive a registration number via screen and SMS. Track your application status through SMS updates or on the portal.
Conclusion
The Asaan Karobar Finance Scheme is a significant opportunity for SMEs in Punjab to access interest-free loans, fostering business growth and contributing to the province’s economic development. Eligible entrepreneurs are encouraged to apply through the official portal akf.punjab.gov.pk to take advantage of this initiative.
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FAQs
What is the application fee?
PKR 5,000 for Tier 1 and PKR 10,000 for Tier 2 loans, both non-refundable.
How long does the application process take?
Completing the application form takes approximately 15 minutes.
Can I save and continue the application later?
Yes, you can save your progress and complete the application at a later time.
How do I check my application status?
You will receive SMS updates or can check the status on the Asaan Karobar portal.