SME Grants and Loans in Mauritius: Complete Funding Guide 2025

Starting or growing a business in Mauritius doesn't always require massive personal capital. The government offers numerous grants, loans, and funding schemes specifically designed to support Small and Medium Enterprises (SMEs). This comprehensive guide covers all available funding options in 2025, eligibility criteria, and application processes.

Quick Overview: SME Funding Options

Program	Type	Max Amount	Interest Rate	Best For
SME Mauritius Grant	Grant	Rs 350,000 (80% of costs)	N/A (grant)	Equipment, technology, consulting
Development Bank Loan	Loan	Rs 10 million	2% - 5%	Business expansion, equipment
Women Entrepreneurs Scheme	Loan	Rs 300,000	3%	Women-owned businesses
Young Entrepreneurs	Grant	Rs 50,000	N/A (grant)	Entrepreneurs ≤29 years
DBM-SMEF	Loan	Rs 3 million	2.5%	Manufacturing, agro-industry
MauBank SME Loan	Loan	Rs 10 million	Variable	General business purposes
National Empowerment Foundation	Grant/Loan	Rs 300,000	0-5%	Social entrepreneurs, vulnerable groups

SME Mauritius: Government Grants

What is SME Mauritius?

SME Mauritius Ltd (formerly SMEDA - Small and Medium Enterprises Development Authority) is the government agency supporting SME development. Established in 2018, it provides grants, training, mentorship, and market access support.

SME Mauritius Grant Scheme

Maximum grant: Rs 350,000 (covering up to 80% of eligible costs)

Eligible expenses:

Equipment and machinery
Technology and software
Quality certifications (ISO, HACCP, etc.)
Product development
Marketing and branding
Professional consulting services
Training and skills development
Export market development

Example:

Total project cost: Rs 400,000 (new coffee roasting equipment)
SME Mauritius grant (80%): Rs 320,000
Your contribution (20%): Rs 80,000

Eligibility Criteria

Business requirements:

Registered in Mauritius (BRN or corporate)
Operating for at least 6 months
Annual turnover: Rs 2 million - Rs 100 million
51% Mauritian ownership (critical requirement)
Compliant with tax obligations (no outstanding MRA debts)
Valid trade license if applicable

Sectors covered:
✅ Manufacturing and agro-processing
✅ ICT and digital services
✅ Creative industries
✅ Tourism and hospitality
✅ Professional services
✅ Retail and wholesale
✅ Construction
✅ Healthcare services

Excluded sectors:
❌ Gambling and betting
❌ Tobacco production
❌ Alcohol production
❌ Activities harmful to environment

Application Process

Step 1: Pre-Application Consultation

Contact SME Mauritius: 467-7000
Book consultation appointment
Discuss project feasibility
Confirm eligibility

Step 2: Prepare Business Plan

Your business plan must include:

Executive summary
Company background and ownership structure
Market analysis and competition
Detailed project description
Financial projections (3 years)
Implementation timeline
How grant will be used
Expected impact on business

Step 3: Gather Required Documents

Business Registration Certificate (BRN)
Certificate of Incorporation (if company)
Latest financial statements (2 years)
Tax clearance certificate from MRA
Detailed quotations for equipment/services (minimum 3 quotes)
Proof of address (business premises)
National ID of owners/directors
Bank statements (6 months)

Step 4: Submit Application

Complete online application at www.smemauritius.mu
Upload all supporting documents
Submit business plan
Pay application fee (if applicable)

Step 5: Evaluation and Approval

Technical evaluation by SME Mauritius team (4-6 weeks)
Site visit may be conducted
Financial viability assessment
Committee review and decision
Approval letter issued if successful

Step 6: Implement Project

Purchase approved equipment/services
Keep all invoices and receipts
Grant disbursed in tranches based on milestones
Submit progress reports

Step 7: Grant Disbursement

Method: Reimbursement basis

You pay suppliers first
Submit invoices and proof of payment
SME Mauritius verifies and reimburses grant amount
Final payment after project completion verification

Processing time: 2-4 months from application to approval

Recent Success Stories

Case 1: Bakery Expansion

Business: Local bakery in Flacq
Project: Industrial oven and packaging equipment
Total cost: Rs 450,000
Grant received: Rs 350,000 (80% of eligible Rs 437,500)
Outcome: Increased production 300%, hired 5 new employees

Case 2: Digital Marketing Agency

Business: Start-up agency in Port Louis
Project: Software licenses, training, branding
Total cost: Rs 280,000
Grant received: Rs 224,000 (80%)
Outcome: Secured 15 corporate clients, revenue grew 400%

Development Bank of Mauritius (DBM)

SME Financing Scheme (DBM-SMEF)

Loan amount: Rs 50,000 - Rs 3 million

Interest rate: 2.5% per annum (subsidized)

Repayment period: Up to 7 years (including 1-year grace period)

Purpose:

Working capital
Equipment purchase
Business premises renovation
Raw material procurement
Technology acquisition

Eligible sectors:

Manufacturing and agro-industry
ICT and innovation
Tourism and leisure
Health and wellness
Creative industries

Medium and Large Enterprises Scheme

Loan amount: Rs 3 million - Rs 10 million

Interest rate: 3% - 5% per annum

Repayment period: Up to 10 years

Purpose:

Major expansion projects
New manufacturing facilities
Large equipment acquisition
Export-oriented projects

Eligibility Requirements

Mandatory criteria:

Registered business in Mauritius
51% Mauritian ownership
Viable business plan with financial projections
At least 20% equity contribution
Collateral/security (typically 100-120% of loan value)
Good credit history
Tax compliance certificate

Financial requirements:

Debt-to-equity ratio: Maximum 3:1
Minimum turnover: Rs 2 million (for existing businesses)
Profitability demonstrated or projected

Application Process

Step 1: Initial Contact

Visit DBM office: 1st Floor, DBM Tower, Port Louis
Call: 203-3901
Email: dbmsmef@dbm.mu
Book appointment with loan officer

Step 2: Submit Preliminary Application

Documents needed:

Completed application form
Business plan (detailed)
Financial statements (last 3 years for existing businesses)
Projected cash flows and profit forecasts
Quotations for equipment/assets to be financed
Proof of equity contribution (bank statements)
Certificate of Incorporation/BRN
National ID of all directors/owners
Tax clearance certificate

Step 3: Loan Appraisal

DBM evaluates business viability (4-6 weeks)
Site visit conducted
Financial analysis performed
Collateral valuation
Credit check

Step 4: Loan Approval Committee

Application presented to committee
Decision made based on viability and risk
Approval letter issued with terms and conditions

Step 5: Loan Documentation

Legal documentation prepared
Security documents signed
Mortgage or charge registered (if applicable)
Guarantees executed

Step 6: Disbursement

Loan disbursed directly to suppliers (for equipment)
Or to company account (for working capital)
Disbursement in tranches based on progress

Processing time: 6-12 weeks from complete application to disbursement

Collateral Requirements

Acceptable security:

Immovable property (land, buildings)
Equipment and machinery
Inventory and receivables
Personal guarantees from directors
Bank guarantees
Government securities

Valuation: Independent valuer appointed by DBM

Coverage: Typically 100-120% of loan amount

Women Entrepreneurs Scheme

National Women Entrepreneur Council (NWEC)

Loan amount: Up to Rs 300,000

Interest rate: 3% per annum

Repayment period: Up to 5 years

Who qualifies:

Women-owned businesses (at least 51% female ownership)
Mauritian citizen
Age 18-60 years
Business registered in Mauritius

Purpose:

Start-up capital
Business expansion
Equipment purchase
Working capital

Application:

Contact: National Women Entrepreneur Council
Phone: 210-7933
Office: 5th Floor, SICOM Tower, Port Louis
Website: nwec.govmu.org

Required documents:

Business plan
National ID
BRN certificate
Bank statements (3 months)
Quotations for planned purchases

Processing time: 8-12 weeks

Young Entrepreneurs Scheme

Youth Employment Programme (YEP)

Grant amount: Rs 50,000 (100% grant, no repayment)

Eligibility:

Age: 18-29 years
Mauritian citizen
Completed at least Form III education
Business idea in viable sector

Purpose:

Start-up costs
Equipment purchase
Initial inventory
Marketing

Application process:

Contact Ministry of Youth Affairs: 405-2727
Attend entrepreneurship training (mandatory)
Prepare business plan with mentor support
Submit application
Present to evaluation panel
Grant disbursed upon approval

Success rate: Approximately 40% of applicants approved

Additional support:

Free entrepreneurship training
Mentorship program (12 months)
Networking events
Market access support

MauBank SME Financing

SME Loan Scheme

Loan amount: Rs 100,000 - Rs 10 million

Interest rate: Variable (currently 6.5% - 9%)

Repayment period: Up to 10 years

Features:

Flexible repayment options
Competitive interest rates
Quick approval (3-4 weeks)
Relationship manager assigned

Eligibility:

Turnover: Rs 2 million - Rs 100 million
Established business (at least 2 years)
Profitable operations
Good credit record

Contact:

MauBank Corporate Banking: 208-5000
Visit any branch
Apply online: www.maubank.mu

National Empowerment Foundation (NEF)

Social Entrepreneurship Scheme

Funding: Rs 50,000 - Rs 300,000

Interest rate: 0% - 5% (depending on beneficiary category)

Target groups:

Vulnerable and disadvantaged persons
Social enterprises
Community-based organizations
Persons with disabilities
Ex-offenders reintegrating into society

Purpose:

Income-generating activities
Micro-enterprises
Cooperative ventures
Social impact projects

Contact:

NEF Hotline: 800-6633
Office: Mauritius Housing Company Building, Port Louis
Website: nef.mu

Sector-Specific Funding Programs

Manufacturing Sector

Industrial Modernisation Scheme

Grant: Up to Rs 5 million
Purpose: Technology upgrade, automation
Administered by: Enterprise Mauritius

Tourism Sector

Tourism Development Scheme

Loan: Up to Rs 15 million
Interest: 3-4%
Purpose: Hotel renovation, eco-tourism projects
Administered by: DBM Tourism Division

Agriculture and Fisheries

Food Security Fund

Grant/Loan: Rs 50,000 - Rs 2 million
Interest: 2%
Purpose: Agro-processing, aquaculture, livestock
Administered by: Agricultural Marketing Board

ICT and Innovation

Digital Transformation Scheme

Grant: Up to Rs 500,000
Purpose: Software development, digital tools, cybersecurity
Administered by: SME Mauritius

How to Choose the Right Funding

Decision Framework

Ask yourself:

1. How much do I need?

Under Rs 50,000 → YEP Grant (if eligible) or NEF
Rs 50,000 - Rs 350,000 → SME Mauritius Grant
Rs 300,000 - Rs 3M → DBM-SMEF Loan
Rs 3M - Rs 10M → DBM Large Enterprises or MauBank

2. Can I afford collateral?

No collateral → SME Mauritius Grant or NEF
Have collateral → DBM loans (better rates)

3. Do I want to repay or prefer a grant?

Prefer grant (no repayment) → SME Mauritius, YEP
Okay with repayment → DBM, MauBank (larger amounts available)

4. How urgent is the funding?

Very urgent (2-4 weeks) → MauBank
Can wait 2-3 months → DBM
Can wait 3-4 months → SME Mauritius Grant

5. Am I eligible for special programs?

Young (18-29) → YEP Grant
Woman entrepreneur → NWEC Loan
Social enterprise → NEF Scheme

Combining Multiple Funding Sources

Strategy: Use grants + loans for larger projects

Example: Restaurant Renovation (Rs 2 million total)

SME Mauritius grant: Rs 350,000 (equipment)
DBM loan: Rs 1.3 million (renovation, working capital)
Owner equity: Rs 350,000 (20%)
Total: Rs 2 million

Benefits:

Reduces loan burden
Maximizes grant utilization
Meets DBM equity requirement

Common Rejection Reasons

Why Applications Fail

1. Insufficient Business Plan

Lack of market research
Unrealistic financial projections
No clear implementation strategy
Missing competitive analysis

2. Weak Financial Position

Poor cash flow history
Excessive existing debt
Losses in recent years
Insufficient equity contribution

3. Non-Compliance

Outstanding tax obligations
No trade license (where required)
Incomplete documentation
Ownership not 51% Mauritian

4. Poor Credit History

Default on previous loans
Bad credit score
Bounced checks
Legal judgments against business

5. Unviable Project

Over-competitive market
Obsolete technology
Insufficient market demand
Poor location

How to Improve Your Chances

1. Prepare a Solid Business Plan

Hire professional consultant if needed (Rs 10,000 - Rs 30,000)
Include realistic financial projections
Show clear market opportunity
Demonstrate your expertise

2. Get Your Finances in Order

Clear outstanding tax obligations
Improve credit score
Build cash reserves for equity contribution
Reduce existing debt

3. Start Small

Apply for smaller amount first
Build track record
Demonstrate success
Apply for larger funding later

4. Seek Professional Help

Business consultant for plan: Rs 15,000 - Rs 40,000
Accountant for financial projections: Rs 5,000 - Rs 15,000
Worth the investment to increase approval chances

Application Tips and Best Practices

Before Applying

Do:
✅ Research multiple funding options
✅ Understand eligibility criteria fully
✅ Prepare comprehensive business plan
✅ Get tax clearance certificate
✅ Collect 3 quotations for all purchases
✅ Organize financial records

Don't:
❌ Apply to multiple programs simultaneously without disclosing
❌ Inflate costs or revenue projections
❌ Submit incomplete applications
❌ Miss application deadlines
❌ Underestimate your equity contribution needs

During Application

1. Be Honest and Transparent

Disclose all existing loans
Provide accurate financial information
Admit challenges and explain mitigation plans

2. Follow Instructions Exactly

Use official forms
Provide all requested documents
Meet all formatting requirements
Respect page limits

3. Communicate Proactively

Respond quickly to requests for information
Keep contact details updated
Attend meetings punctually
Follow up appropriately (not too frequently)

After Approval

1. Comply with All Conditions

Use funds exactly as approved
Submit progress reports on time
Maintain required insurance
Allow site inspections

2. Keep Detailed Records

All invoices and receipts
Proof of payments
Project progress documentation
Financial statements

3. Maintain Relationship

Update funders on business progress
Report any challenges early
Seek guidance when needed
Pay loans on time

Tax Treatment of Grants and Loans

Grants

Tax treatment: Generally not taxable income if used for capital assets

Example:

SME grant of Rs 300,000 for equipment
Not included in taxable income
Depreciation claimed on full asset value

Check with accountant: Some operating grants may be taxable

Loan Principal

Tax treatment: Not taxable - you borrowed it

Loan Interest

Tax treatment: Tax deductible business expense

Example:

DBM loan: Rs 2 million at 2.5%
Annual interest: Rs 50,000
Tax saving: Rs 50,000 × 15% = Rs 7,500

Success Checklist

You're ready to apply when you can tick all:

Business is registered and compliant
51% Mauritian ownership confirmed
Tax clearance certificate obtained
Comprehensive business plan completed
Financial projections prepared (3 years minimum)
3 quotations obtained for all planned purchases
Equity contribution funds available (20-30%)
All required documents gathered
Credit history checked and acceptable
Chosen the most suitable funding program
Application reviewed by professional (optional but recommended)

Resources and Contacts

SME Mauritius Ltd

Address: 4th Floor, The Catalyst Building, Silicon Avenue, Ebene
Phone: 467-7000
Email: info@smemauritius.mu
Website: www.smemauritius.mu
Hours: Mon-Fri 9:00-16:00

Development Bank of Mauritius

Address: DBM Tower, 10 Frère Felix de Valois Street, Port Louis
Phone: 203-3901
Email: dbmsmef@dbm.mu
Website: dbm.mu

National Women Entrepreneur Council

Address: 5th Floor, SICOM Tower, Port Louis
Phone: 210-7933
Website: nwec.govmu.org

Youth Employment Programme

Phone: 405-2727
Ministry of Youth Affairs offices

National Empowerment Foundation

Hotline: 800-6633
Website: nef.mu

MauBank Corporate Banking

Phone: 208-5000
Website: www.maubank.mu

Conclusion

Mauritius offers substantial support for SMEs through various grants and low-interest loans. The key to success is:

Start early - Applications take 2-4 months
Choose wisely - Match funding to your needs
Prepare thoroughly - Business plan quality is critical
Be patient - Government schemes take time
Get help - Professional assistance increases success rates

Most popular option: SME Mauritius Grant (up to Rs 350,000) for equipment and technology - no repayment required!

Fastest option: MauBank SME Loan (3-4 weeks approval)

Best rate: DBM loans (2.5% interest) - worth the wait

For women: NWEC loan at 3% interest up to Rs 300,000

For youth: YEP grant Rs 50,000 (100% grant, no repayment)

Don't let lack of capital stop your business dreams. Explore these funding options and take advantage of government support available to Mauritian entrepreneurs.

Need help preparing a winning grant or loan application? Connect with experienced business consultants and accountants through our directory.