How to Apply Annal for Ambedkar Business Champions Scheme (AABCS)?

If you're an aspiring entrepreneur from a Scheduled Caste (SC) or Scheduled Tribe (ST) community in Tamil Nadu, here’s a name to remember: Annal Ambedkar Business Champions Scheme – or simply, AABCS.

Launched by the Tamil Nadu government in 2023, this governement scheme is designed to power-up industrial inclusion, offering capital support, loan subsidies, and long-term encouragement for SC/ST business owners. Whether you’re starting out or looking to expand, AABCS is one of the most direct and generous MSME support models available today.

Let’s break down how this scheme works, who can apply, and how StartupFlora can help you access every benefit you’re eligible for.

What is AABCS All About?

The Annal Ambedkar Business Champions Scheme was introduced by Chief Minister M.K. Stalin on MSME Day, June 28, 2023. The goal? To support social equity in industrial growth and contribute to Tamil Nadu’s ambitious $1-trillion economy vision by 2030.

In practical terms, AABCS gives:

• Up to 35% capital subsidy (max ₹1.5 Cr) on project costs
• 6% interest subvention on bank loans for up to 10 years

The scheme is funded directly through the Tamil Nadu state budget and implemented by the MSME Department and Tamil Nadu Industrial Investment Corporation (TIIC).

Budget Highlights

• FY 2023–24: ₹100 Cr initially, later increased to ₹159.67 Cr
• FY 2024–25: ₹120 Cr allocated

In its first year alone, AABCS supported 1,303 entrepreneurs including 288 women with over ₹159 Cr disbursed in subsidies.

Who is Eligible?

This isn’t a complicated or “fine print” scheme AABCS was built to include, not exclude. Here's the eligibility in simple terms:

• Community: Must belong to SC or ST (100% ownership of the enterprise)
• Age: 18 to 55 years
• Location: Must be a resident of Tamil Nadu
• Business Type: Startups and expansions are both allowed
• Enterprise Format: Sole proprietorship, partnership, LLP or Pvt Ltd.
• Sector: Manufacturing, services, and eligible trading
• Education: No minimum education required
• Stackable: Can combine with central government subsidies like CLCSS

Note: Trading projects qualify if the investment crosses the threshold set under the Unemployed Youth Employment Generation Programme (UYEGP).

Which Sectors Are Supported?

AABCS isn't limited to factories or heavy industries. If your business involves machinery or service delivery infrastructure, you’re likely eligible.

Common sectors funded under AABCS:

Manufacturing:

• Jute bags
• Food processing
• Textiles and garments
• Auto components
• Match factories
• Engineering tools
• Agro-processing units

Services:

• IT services
• Healthcare clinics
• Repair workshops
• Hospitality and tourism
• Skill centres and education units

Trading (if above UYEGP limits):

• Bulk trading (vegetables, industrial materials)
• Equipment leasing
• Logistics and supply services

Vehicles: Yes — if integral to business (e.g., truck, taxi, earthmover).

How to Apply: Step-by-Step Guide

The application process is completely online through the Tamil Nadu MSME portal:

🔗 Visit the AABCS portal

Step-by-Step:

1. Register/Login: Create your account using Aadhaar or email
2. Fill Details: Enter personal, business, and project details
3. Upload Documents:
   • SC/ST community certificate
   • Aadhaar or voter ID
   • PAN card
   • Project report/business plan
   • Bank account details
   • Land/site proof (if any)
   • Passport-size photo
4. Submit and Track: Save your reference number and monitor status online

Behind the scenes, District Industries Centres (DICs) and bank officials assess applications. Approved cases are forwarded to banks for loan sanctioning and subsidy release via TIIC.

Real Stories: SC Entrepreneurs Who Made It Big with AABCS

🔹 S. Anjali – Sivaganga (Jute Bags)
Started a fibre/jute bag unit with ₹32.7 lakh loan and AABCS subsidy. Now employs 10 people, with ₹4L+ monthly revenue and ₹70K profit. She says the scheme helped her rise beyond discrimination.

🔹 S. Kavin – Thoothukudi (Matchsticks)
Secured ₹1.96 Cr in bank loan and received ₹60.3L subsidy. Runs a matchstick unit employing 16 people, generating ₹30L+ in monthly turnover.

These are just two of over 1,300 success stories that show what’s possible when support meets ambition.

How StartupFlora Helps You Win

For first-time applicants, AABCS may feel technical but that’s where StartupFlora comes in. We don’t just advise; we guide every step.

What We Do:

Check Eligibility: We confirm age, ownership, documents, and business type
Build Project Reports: Our experts help write solid, bank-ready business plans
Complete Portal Process: From registration to submission, we walk you through
Follow-up Support: We coordinate with DIC officers and bankers for faster movement
Mentoring: We connect you to entrepreneurship training & financial literacy programs

We're your go-to team for decoding government schemes and turning paperwork into real-world funding.

AABCS Impact So Far

AABCS FAQs: What You Need to Know

Q: Can I apply if I already run a business?
Yes! AABCS supports both new and expanding enterprises.

Q: Is education required?
No. You don't need any minimum qualification.

Q: Can I combine AABCS with other schemes?
Absolutely. You can stack it with CLCSS or other central schemes.

Q: Can traders apply?
Yes, but the project must exceed basic subsidy thresholds (UYEGP limits).

Q: Is there a deadline?
Not fixed — the portal stays open while funds last. Apply early to avoid rush.

Q: What if I face issues applying?
Reach out to StartupFlora’s scheme desk — we assist with documentation, bank coordination, and training access.

Final Word: It's More Than a Scheme. It's a Launchpad.

The Annal Ambedkar Business Champions Scheme isn't just about subsidy. It’s about economic dignity, entrepreneurial freedom, and breaking generational barriers for SC/ST communities.

If you or someone you know qualifies — don’t wait.

Ready to Apply? Let’s Get Started

Whether you're dreaming of starting a textile unit, scaling up your food business, or adding new machinery to your engineering firm — StartupFlora can help.

👉 Contact our MSME Schemes Team to begin your AABCS journey
👉 Get help with eligibility, documents, project reports, and follow-ups