CBSE Class 11-commerce Answered

Incentives offered by the government for small scale industries are as follows:

(a) Land : Developed plots are offered by every state for establishing industries. 

(b) Power : Some states supply power at a concessional rate of 50%, while some give it free of cost during the initial years. 

(c) Water : Water is either supplied at 50% concession or is totally free for a period of 5 years. 

(d) Finance : Small business units are offered loans at a very low rate of interest, i.e., 10 to 15% subsidy is given for building capital assets.