4) Community Enterprise Fund

Kudumbashree proposes to provide Community Enterprise Fund as Seed Capital to rural CDSs to meet the working capital needs of Micro Enterprises and collectives member-owned by NHG members. The objective is to enhance the livelihood opportunities for the poor through investment into asset creation and improvement in productivity and income. The most important aspect in implementation of Community Enterprise Fund would be the inclusion of ‘micro level livelihood planning’ as an empowerment tool for the marginalised communities. A Micro Credit cum Livelihood Action Plan will be a prerequisite for availing the funds under the CEF component. Livelihood action plan should contain schedule of activities, interventions, no. of NHG members to be assisted and expected outcome. NHGs can undertake any permissible activity jointly as a group or the group may decide to support individual(s) for the activities under the umbrella of the main SHG/ADS/CDS. In case of individual support under the SHGs, the individuals will be accountable to the main SHG for finances and performance. The financial support to enterprising individuals who prepare and submit a viable livelihood proposal shall be considered on the recommendation of the group.