20th April, 2019

The Performance and Credit Rating (PCR) scheme


  • The Performance and Credit Rating (PCR) scheme which was formulated in consultation with Industry Associations, Indian Banks Association (IBA), and Rating Agencies in April 2005.
  • The primary objective of this scheme is to create awareness amongst micro and small enterprises about the strengths and weaknesses of their existing operations.
  • This scheme aimed at providing these industries with an opportunity to enhance their organizational strength.
  • The scheme is also to facilitate them in increasing their acceptability from the Banks/Financial Institutions, Customers / Buyers and Vendors.
  • This scheme was launched to help Small Scale Industries (SSI) to access credit from banks faster and on better terms.
  • The entire process of rating is to be completed by the rating agency in a month from the date of receipt of all information from the applicant unit.
  • A uniform rating scale, covering the combination of credit and performance factors, is prescribed under the scheme.
  • The existing provision under this scheme maintained that the fee payable by MSE to the rating agency is subsidized up to 75% of the fee. 


Documents Required

  • Udyog Aadhaar Memorandum) Registration Certificate.
  • Partnership Deed / Memorandum & Article of Association.
  • Authority letter to sign the application.
  • List of all partners / directors with their age, address, Net worth / Income Tax Return, qualifications and experience.
  • Copy of the audited accounts for the last three years (where accounts for the last year has not been audited provisional accounts duly certified by a Chartered Accountant along with two years audited accounts are to be submitted).
  • In case of new project/expansion, copy of the project report containing a brief project profile, cost of project, source/means of finance.
  • Brief write-up about the products manufactured, end users, marketing tie-up and orders in hand.
  • Details of subsidy, tax concession available to the applicant.
  • Quality certificates, export awards won membership of any associations.
  • Any other information that would enable us to understand your business better.


  • Rating is an independent, trusted third party opinion on capabilities and credit worthiness of MSEs.
  • Rating facilitates MSE units to bring out the advantages and disadvantages of their existing operations and take corrective measures to enhance the strength of their organization.
  • Good rating helps MSEs to access to funds at cheaper rates and better terms.
  • Rating facilitates prompter credit decisions from Banks on proposals of MSEs.
  • Good rating enhances the acceptability of the MSEs with their customers and buyers.
  • Good rating facilitates buyers in capability & capacity assessment of MSEs before finalizing purchase contracts.


Nature of assistance

(a) 75% of the total fee up to to a maximum of Rs. 25,000/- will be reimbursed to the micro or small enterprise with a turnover of up to Rs.50 lakh

(b) 75% of the total fee subject to a maximum of Rs. 30,000/- will be reimbursed to the micro or small enterprise with a turnover of above Rs.50 lakh to Rs.200 lakh.

(c) 75% of the total fee subject to a maximum of Rs. 40,000/- will be reimbursed to the micro or small enterprise with a turnover of above Rs.200 lakh.

Who can apply?

Any enterprise registered in India as a micro or small enterprise is eligible to apply

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Check Eligibility

Application Procedure

Download Scheme Guidelines