File No. SS-BR-BIZ-002 · Bihar State Scheme · Department of Industries, Government of Bihar

Bihar Laghu Udyami Yojana

Built specifically for the 94 lakh Bihar families identified by the state's own caste-based survey as living on ₹6,000 a month or less, this scheme gives ₹2 lakh as an outright grant — no repayment, no education requirement — to start a small business from a list of 94 approved trades, from handicrafts to food processing.

What this scheme offers

Bihar's caste-based survey identified 94,33,312 families living on ₹6,000 a month or less — a population the existing Mukhyamantri Udyami Yojana doesn't reach well, since it requires Class 12 and involves a loan component. Laghu Udyami Yojana was built specifically for this group: ₹2 lakh as a pure grant, released in three instalments (₹50,000, ₹50,000, then ₹1 lakh) with no repayment at any stage and no minimum education requirement. Families choose from 94 pre-approved trade categories spanning handicrafts, textiles, food processing, wood work, garment manufacturing and leather products, giving genuine flexibility in what kind of business to start.

Who is eligible

  • Family identified in Bihar's caste-based survey as having monthly income of ₹6,000 or less.
  • Permanent resident of Bihar.
  • Approval by the industries department review committee.
  • Business idea falling within one of the 94 approved trade categories.
  • No minimum educational qualification required.

Documents required

  • Aadhaar card
  • Caste-survey reference/family ID
  • Bank account details (Aadhaar-linked)
  • Business category selection form
  • Residential proof

How to apply

  1. Applications open in phases (typically February–March) — check current status at udyami.bihar.gov.in.
  2. Register using your caste-survey family reference and Aadhaar.
  3. Select your intended business category from the 94 approved trades.
  4. Applications are reviewed by a committee headed by the Additional Chief Secretary of the Industries Department.
  5. Approved beneficiaries receive the grant in three instalments — ₹50,000 to begin, ₹50,000 after initial verification, and the final ₹1 lakh once the business is operational.