04-Feb-2012

The Road map

Once you have made the decision to invest - and if you are wondering where to begin and how to go about the process - help is at hand. At KARNATAKA UDYOG MITRA, we appreciate your concerns in understanding the entire gamut of steps that go into putting a project in place.

In line with the objective of creating an investor friendly ambience, we have chalked out a clear road map - so that you can plan and get ahead.

All you need to do is to just follow a simple and structured plan:


	Prepare for an investment outlay of above INR 3 crores or USD 0.7 million.

	Contact KARNATAKA UDYOG MITRA at www.kumbangalore.com

	Discuss and deliberate on a suitable location and finalize.

	File your application directly or Apply Online from our website, along with the relevant Project Report.

	Appear (optional) before the Single Window Committee for approvals and sanction of facilities.

As always, at KARNATAKA UDYOG MITRA we are constantly striving to make the investment process simpler to help you complete all modalities with ease.

What steps should I follow to setup an industry in Karnataka?


STEP 1	Fill-up and submit application for project clearance

	1A. To whom should I submit it? 1B. What enclosures are required? 1C. File application

STEP 2	Processing of application

	2A. Who will process my application? 2B. How long it will take?

STEP 3	Issue of clearance letter

	3A. Who will issue? 3B. What will it contain? 3C. Download model letter

STEP 4	Payment of EMD and submission of application for land allotment

	4A. Who will issue? 4B. What is the procedure? 4C. File application

STEP 5	Payment of EMD and submission of application for CFE

	5A. Who will issue? 5B. What does it mean?

STEP 6	Payment of balance land cost to KIADB

	6A. By when?

STEP 7	Possession of plot

	7A. How and whom?

STEP 8	Executing lease agreement for land

	8A. How and from whom? 8B. Download lease agreement model 8C. Validity of lease – 6 years

STEP 9	Building plan approval

	9A. How much can I build? 9B. Who will approve my building plan?

STEP 10	Complete construction and obtain completion certificate

	10A. Who will give completion certificate?

STEP 11	Execute Sale Deed

	11A. When and with whom?

STEP 1. Fill-up and submit application for project Clearance

1A. To whom should I submit it? Induplicate to?

Karnataka Udyog Mitra,
Managing Director,
3rd floor, Khanija Bhavan (South wing),
No. 49, Race course Road,
BANGALORE -560 001. India
Tel:91-80-22282392/22285659/22286632
Fax: 91-80-22266063
Email:kum@kumbangalore.com

1B. What enclosures are required?

Contents:

Application in prescribed form duly filled in.
Project Report.
Memorandum & Articles of Association of the Company/Society/Partnership Deed/Trust Deed. (as may be applicable).
A brief note on the present activities of the company/associate companies/subsidiaries, the present proposal, the bio-data of the promoters, etc.
Acknowledgement of Industrial Entrepreneurs Memorandum (IEM) filed with Government of India/Letter of intent obtained from Government of India/ 100% EQU letter of permission, FIPB/RBI approval etc. wherever applicable.
Please fill up the application with regard to the infrastructural requirement Viz., - Land in Sq. Mtr. Power in KVA. Water in litters/per day. Please use the metric system of measurement only.
Audited Accounts/ Annual Report for the last 3 years of the company/ association companies/ subsidiaries.
Location map of the land if the land is outside industrial Area. Block Diagram Indicating the immediate and future land requirement in Sq. Mtrs.-45 sets.
Records of right indicating the land in case of private or own land.
Note : Please furnish all the above documents (except document as Sl. No. 8) in one set for the investment below Rs. 50 crores and in two sets for investment above Rs. 50 crores.
Demand Draft favour of “Karnataka Udyog Mitra” payable at Bangalore as processing fee.
1. Projects upto Rs. 5 crores -Rs. 5000/-
2. Projects above Rs. 5 Crores upto Rs. 10 Crores -Rs.10000/-
3. Projects above Rs. 10 Crores upto Rs. 15 Crores -Rs.15000/-
4. Projects above Rs. 15 Crores upto Rs. 50 Crores -Rs. 25000/-
5. Projects above Rs. 50 Crores upto Rs. 100 Crores -Rs. 50000/-
6. Projects above Rs.100 Crores upto Rs. 500 Crores -Rs. 1 Lakh
7. Projects above Rs. 500 Crores upto Rs. 1000 Crores -Rs. 2 Lakh
8. Projects above Rs. 1000 Crores -Rs. 3 Lakh
9. Projects above Rs. 2000 Crores -Rs. 3 Lakh, Plus Rs. 1 Lakh on every addl. Rs.1000 Crores

1C. File application

Click here to download application form

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STEP 2. Processing of application

2A. Who will process my application?

Investment
(INR 3 - 50 crores)

Investment
(>50 Crores)

Processed by KUM

Summary of project placed beforeSLSWCC held on 3rd Monday of every month, Chaired by Principal Secy, C&I Dept.
Promoter invited

Summary of project sent to Commissioner(ID),

Placed before Screening Committee chaired by principal Secy, C&I dept. Promoter invited

Placed before SHLCC chaired by the Hon’ble Chief Minister promoter invited

2B. How long it will take?

Projects for SLSWCC
15DAYS

Projects for SHLCC
15DAYS

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STEP 3. Issue of clearance letter

3A. Who will issue?

MD, KUM For SLSWCC
(15 days of meeting)

Pri Sec. for SHLCC
(within one month of meeting)

3B. What will it contain?

Approval of investment proposal and infrastructural assistance Viz. land, water, power etc.

3C. Download model letter

Approval of investment proposal and infrastructural assistance Viz. land, water, power etc.

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STEP 4. Payment of EMD and submission of form

4A. Who will issue?

KIADB with address and website.

4B. What is the procedure?

File application along with EMD of Rs. 500/acre

Demand note will be issued to remit 20% of land cost

4C. File application

Click here to download application form

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STEP 5. Payment of EMD and submission of form

Apply to KSPCB

CFC Download form I and XIII

Red Category

Projects attracting EIA

Projects that do not attracting EIA

5A. Who will issue?

KIADB.

5B. What does it mean?

It means that the reqd. land in the industrial area mentioned therein is allotted to the company.

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STEP 6. Payment of balance amount

6A. By when?

On payment of balance 80% of land cost within 6 months, a Possession Certificate will be issued.

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STEP 7. Possession of plot

7A. How and whom?

On payment of 80% of land cost within 6 months, a conformation letter issued.

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STEP 8. Executing lease agreement for land

8A. How and from whom?

To be executed on stamp paper between KIADB, register the land and handover original copy to KIADB.

8B. Download lease agreement model.

8C. Validity of lease – 6 years.

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STEP 9. Building plan approval

9A. How much can I build?

Schedule

Particulars of plot area	0 to 230 Sq.M.	231 to 1000 Sq.M.	1001 to 2000 Sq.M.	2001 to 4000 Sq.M.	4001 to 8000 Sq.M.	Above 8000 Sq.M.
Coverage	80%	60%	50%	40%	35%	30%
Floor area ratio	1.00	1.25	1.25	1.25	1.00	0.50
Min. frontage	3.00M	12M	24.00M	28M	32M	42M
Min. front setback	1.00M	4.50M	6.00M	8.00M	8.00M	15.00M
Other sides	1.00M	3.00M	5.00M	5.00M	6.00M	12.00M

9B. Who will approve my building plan?

KIADB.

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STEP 10. Complete construction and obtain completion certificate

10A. Who will give completion certificate?

KIADB.

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STEP 11. Execute Sale Deed

11A. When and with whom?

After 6th year of completion of lease and with KIADB.

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Last updated on

25-May-2011