Bihar Mukhyamantri Yuva Udyami Yojana

Scheme Introduction: A Brief Overview

Starting a business often requires more than just a good idea. For many young people, arranging the initial investment, margin money and security required for a bank loan can become a major hurdle before the business even begins. To address these challenges and encourage self-employment, the Bihar Government introduced the Mukhyamantri Yuva Udyami Yojana in 2021 as part of its broader effort to promote entrepreneurship and create new employment opportunities in the state.

The scheme is designed for eligible young men belonging to the General and BC-02 categories in Bihar who want to establish a new eligible business or industrial unit. Under the current assistance structure, an eligible project can receive financial support of up to ₹10 lakh, with up to ₹5 lakh provided as subsidy and the remaining amount, up to ₹5 lakh, provided as a loan. Unlike several other components of the Mukhyamantri Udyami Yojana, the loan component under the Yuva Udyami category carries 1% annual interest.

The scheme is implemented by the Bihar Startup Fund Trust under the Industries Department, Government of Bihar. Applications, project information, selection updates and other scheme-related services are made available through the official Bihar Udyami Portal. The scheme also provides for expenditure towards beneficiary training and project monitoring support, helping selected applicants understand the process of setting up and managing their approved units.

To apply, applicants must meet the prescribed eligibility conditions, including Bihar permanent residency, the required educational qualification and the specified age limit of 18 to 50 years. Applicants can have qualifications such as 10+2, ITI or Polytechnic Diploma or an equivalent qualification, subject to the applicable scheme rules. The proposed unit must also fall within the eligible project categories notified under the scheme.

Applicants who do not fall under the Yuva category may also explore other entrepreneurship-focused schemes. For example, the Bihar Mukhyamantri Mahila Udyami Yojana is designed for eligible women entrepreneurs, while the Bihar Mukhyamantri Alpsankhyak Udyami Yojana covers eligible applicants from the minority category.

Scheme Benefits

The Bihar Mukhyamantri Yuva Udyami Yojana is intended to reduce the initial financial burden on eligible young entrepreneurs and make it easier for them to establish a new enterprise. The major benefits include:

• Eligible applicants can receive financial assistance up to ₹10 lakh for an approved project.
• Up to ₹5 lakh can be provided as a subsidy or grant under the scheme's assistance structure.
• The remaining eligible amount, up to ₹5 lakh, is provided as a loan.
• The loan component under the Yuva Udyami category carries only 1% annual interest.
• The scheme helps eligible young entrepreneurs overcome difficulties related to collateral security and margin money while arranging finance for a new unit.
• Selected beneficiaries receive prescribed training support before proceeding with the project implementation process.
• Provision is also made for project monitoring support to help beneficiaries implement their approved projects properly.
• The approved financial assistance can be used for eligible projects listed under the scheme, covering various manufacturing and service-related activities.
• The loan repayment process begins after the prescribed waiting period following payment of the final instalment and is to be completed through the specified instalment-based repayment system.

It is important to note that ₹10 lakh is the maximum assistance limit and not a fixed amount payable to every applicant. The actual assistance depends on the approved project and the applicable scheme rules.

Eligibility Requirements

Before applying for the Bihar Mukhyamantri Yuva Udyami Yojana, applicants must make sure that they meet all the prescribed conditions. The eligibility rules mainly cover the applicant's residence, age, educational qualification, category and proposed business structure.

• The applicant must be a permanent resident of Bihar.
• The applicant must be between 18 and 50 years of age.
• The applicant must have passed 10+2 (Intermediate), ITI, Polytechnic Diploma or an equivalent qualification.
• Under the Yuva Udyami category, eligible applicants include male applicants belonging to the General category and BC-02 category.
• The applicant must establish the approved business or industrial unit in the same district in which they are a permanent resident.
• The proposed enterprise must fall under the eligible manufacturing or service projects notified under the scheme.
• The business can be established as a Proprietorship Firm, Partnership Firm, LLP or Private Limited Company, as permitted under the scheme guidelines.
• For a proprietorship firm, the firm should be registered using the applicant's individual PAN.
• Applicants must have the required documents and certificates prescribed for the scheme.
• Applicants who have already received benefits under certain other government entrepreneurship or self-employment schemes may not be eligible, subject to the applicable scheme rules.
• Applicants falling under the disqualifying conditions specified in the official guidelines, such as certain government employees, elected representatives or other restricted categories, cannot apply.

Applicants should check the latest official guidelines before submitting their application because eligibility conditions and category-wise provisions may be updated for a new application cycle.

Bihar Mukhyamantri Yuva Udyami Yojana Project List

The scheme covers a range of approved manufacturing and service-related activities. Applicants should select a project from the activities permitted under the scheme rather than choosing a business only on the basis of personal preference.

The official project list includes activities such as food processing, manufacturing, technical services and other small business activities. Some of the projects available on the official list include:

• Bakery products such as bread, biscuits and rusk
• Atta, sattu and besan manufacturing
• Cattle feed manufacturing
• Poultry feed manufacturing
• Oil mill
• Spice production
• Ice cream manufacturing
• Jam, jelly and sauce manufacturing
• Pulse mill
• Poha and chura manufacturing
• Seed processing and packaging
• Honey processing
• Makhana processing
• Bamboo and cane furniture manufacturing
• Hospital bed and trolley manufacturing
• Light commercial vehicle body building
• Rolling shutter manufacturing
• Stabilizer, inverter, UPS and CVT assembling
• Cooler manufacturing
• Computer hardware assembling, maintenance and networking
• Auto garage
• Dhaba, hotel, restaurant and food-on-wheels businesses
• Dry cleaning
• Medical diagnostic centre
• Readymade garment manufacturing
• Leather shoes and leather accessories manufacturing
• Steel furniture manufacturing
• IT business centre and web-related services
• Electric vehicle assembling
• Powerloom units
• Banana fibre manufacturing

The list may be updated by the department from time to time. Applicants should therefore check the official project list before choosing their business. The portal also provides project-specific Model DPRs to help applicants understand the basic requirements of selected activities.

Required Documents

Applicants should keep the required documents ready before starting the online application for the Bihar Mukhyamantri Yuva Udyami Yojana. The documents are used to verify the applicant's identity, residence, educational qualification and eligibility under the scheme.

• Matriculation certificate showing the applicant's date of birth.
• 10+2 (Intermediate), ITI, Polytechnic Diploma or equivalent qualification certificate.
• Permanent Residence Certificate of Bihar.
• Caste Certificate, wherever applicable.
• Recent photograph of the applicant.
• Scanned signature of the applicant.
• Additional qualification or skill certificate, if required for the selected project.
• Any other document specifically required under the applicable project or scheme guidelines.

Applicants should make sure that all uploaded documents are clear, valid and match the information entered in the application form. For certain projects, additional technical or qualification-related documents may also be required.

Steps to Apply

Applying for the Bihar Mukhyamantri Yuva Udyami Yojana involves entering personal and business details online, selecting an eligible project and uploading the required documents. Applicants should complete each step carefully because the information submitted in the application is used during the subsequent verification and selection process.

• Open the Bihar Udyami Portal, which is used by the Industries Department, Government of Bihar for applications under the Mukhyamantri Udyami Yojana.
• On the portal's homepage, look for the registration or application option for the Mukhyamantri Udyami Yojana and select the option available for the current application cycle.
• Complete the registration using the details requested on the portal, including your Aadhaar number, mobile number and other basic information.
• After registration, log in to your applicant account and open the application form for the Yuva Udyami category.
• Enter your personal details, permanent residence information and educational qualification exactly as mentioned in your supporting documents.
• Provide the required organisation and business details and choose the eligible project you intend to establish.
• Enter the proposed project and financial details carefully, including the estimated project cost and other information requested in the form.
• Fill in the required bank details through which the approved financial assistance will be processed.
• Upload the prescribed documents, including the matriculation certificate, qualification certificate, residence certificate, caste certificate where applicable, photograph and signature.
• Review the complete application once before submission and check that your name, date of birth, category, project details and bank information are correct.
• Submit the application electronically through the portal within the notified application period and save the acknowledgement or application details for future reference.

After submission, applicants should regularly check the Bihar Udyami Portal for updates related to document scrutiny, computerised randomisation, selection, training and further project-related requirements. Submission of an application does not by itself guarantee financial assistance; the applicant must qualify through the prescribed selection and verification process.

How to Check Application Status

Applicants can follow the updates connected with their Mukhyamantri Udyami Yojana application through the Bihar Udyami Portal. Since different stages such as scrutiny, randomisation, provisional selection and final selection are published separately, applicants should check the relevant update rather than relying only on the initial application submission.

• Open the official Bihar Udyami Portal.
• Use the applicant login or registration option available on the portal to access the relevant application services.
• For selection-related updates, open the portal's result or randomisation section.
• Choose the relevant financial year and check the YUVA category where applicable.
• Applicants can also review the provisional, waiting-list and final selection information published by the department.
• If the department asks a provisionally selected applicant to submit additional documents, complete the document-upload requirement within the notified deadline.

For the 2025-26 cycle, the official portal published separate YUVA lists as part of the computerised randomisation and final selection process. Applicants can use the official selection and randomisation page to check the latest published lists.

Loan Repayment Rules

The loan received under the Yuva Udyami component is repayable and carries 1% annual interest. Repayment does not begin immediately after the first instalment.

• Repayment starts after 12 months from the date of receipt of the final instalment.
• The loan amount is scheduled to be repaid in 84 instalments.
• The repayment facility is provided through the link available on the official Udyami Portal.
• The 1% annual interest provision applies specifically to the loan amount provided under the Yuva Udyami component.
• Applicants should follow the repayment instructions displayed on the official portal when their repayment becomes due.

The official portal also provides an online payment facility for repayment of loans processed under the Udyami Yojana. Beneficiaries should use the prescribed portal-based payment mechanism and retain their transaction details for future reference.

Training and Instalment Release Process

Selection under the scheme is followed by a structured process rather than an immediate release of the complete financial assistance. Beneficiaries are required to complete the prescribed training and project-related formalities before subsequent instalments are processed.

• After final selection, the beneficiary is required to participate in the prescribed training programme.
• For the first-stage training, selected beneficiaries are given up to two opportunities to attend the training.
• Failure to attend both opportunities can result in cancellation of the beneficiary's candidature under the applicable instructions.
• After completing the required stage of training, the first instalment is released according to the applicable scheme procedure.
• The beneficiary must use the released amount for the approved project and submit the required utilisation certificate and supporting documents through the portal within the prescribed period.
• The utilisation documents are examined as part of the project monitoring process before further assistance is processed.
• Further instalments are released after completion of the prescribed project, training and utilisation-related requirements.

Beneficiaries should keep invoices, payment records, photographs and other expenditure-related documents safely because these may be required during utilisation verification. The official portal has also issued notices asking earlier beneficiaries to upload pending utilisation certificates within specified deadlines.

Relevant Links

The following links can help applicants access the scheme portal, official guidelines and other important resources related to the Bihar Mukhyamantri Yuva Udyami Yojana.

• Industries Department, Government of Bihar
• Bihar Udyami Official Portal
• Mukhyamantri Udyami Yojana Guidelines 2025-26
• Official Frequently Asked Questions
• Approved Project List

Contact Information

For application-related assistance, it is advisable to keep the application number or other relevant details ready when contacting the department.

Industries Department, Government of Bihar

• Phone: 1800 345 6214 (Toll-Free)
• Email: [email protected]
• Address: Directorate of Micro, Small and Medium Enterprises, Industries Department, Vikas Bhawan, 2nd Floor, New Secretariat, Nehru Path, Patna, Bihar – 800015
• Contact Page: Official Contact Information

The official portal states that the toll-free number can be contacted on working days from 10:00 AM to 5:00 PM for information related to the scheme.