Rajiv Gandhi Udyami Mitra Yojana (RGUMY), a central sector scheme, was launched in 2008-09 with the objective of providing handholding support and assistance to the potential first generation entrepreneurs. Subsequently an Udyami Helpline (a Call Centre for MSMEs) was also introduced to provide information and support to potential and existing entrepreneurs.
The major lacuna standing in the way of potential entrepreneurs from becoming successful is the fact that they have to learn by trial and error and this often becomes trial by fire where many potential entrepreneurs burn out. This lacuna can be mitigated by the concept of business mentors. Quite often, the absence of timely information relating to the market, trends in the economy, a proper understanding of how to approach financial institutions and potential investors, and ignorance of the plethora of acts, rules and regulations can make the difference between success and failure for the first generation entrepreneur. Business mentors are also required for existing enterprises which want to grow and internationalize. Rating of enterprises throws up gaps in performance which a mentor can help overcome. In order to address this problem mentoring assistance needs to be institutionalized through a scheme to mould and guide potential and existing entrepreneurs in starting and running a business.
The Scheme of RGUMY has been completely revamped by addressing the shortcomings and broadening the objective of the existing Scheme. The modified
scheme [renamed as Business Accelerator and Start-up Programme (BASP)] will be implemented on a pilot basis through the 12th Plan.
The objective of the BASP Scheme is enhancing growth and employment generation in MSME sector through aiding and assisting in :
- Developing competitive and resilient new MSEs out of potential entrepreneurs willing to set up enterprises by providing mentoring and advisory support in areas of registration, statutory compliances, production, sales, marketing, access to finance etc.
- Up-scaling and nurturing the operations of the existing MSEs enterprises who have been rated (including under the Performance and Credit rating scheme of the Ministry of MSME) and have been assigned moderate or poor ratings. Such units will be provided mentoring and advisory support in the areas of their need w.r.t. technology, marketing, finance and entrepreneurship development so as to improve its operational and financial performance; and
- Information support through Udyami helpline ( Toll Free Call Contact No. 1800-180-6763) on procedural formalities and promotional schemes available for setting up and running of an enterprise will also be provided under the Scheme.