Top 5 government loan schemes for women entrepreneurs

Do you dream to start a business, have a solid start-up plan and become an entrepreneur? But something is bothering you. Is that lack of funding ? Well, put a pause on that obligation. The Government Of India has introduced some super interesting schemes that would help you pave a path to your vision.
The biggest shout out to an enterprising mindset starts with a supportive funding plan, isn’t it ? Many women today have the vision to become “EntrepreNaris” but lack of funds for initial investments is the major cause of their dream to remain a dream.

Today we shall discuss briefly about 5 very important loan schemes run by the Government of India to support women entrepreneurs that will help them start their business.

1 . Stree Shakti Yojana : 

The Stree Shakti Yojna is a unique scheme that supports entrepreneurship among women by providing certain concessions. This Stree Shakti scheme is eligible for women who have the majority of ownership in the business. Another requirement is that these women entrepreneurs be enrolled under the Entrepreneurship Development Programme (EDP) organized by their respective state agency. This Stree Shakti scheme allows women to avail of an interest concession of 0.05 percent on loans more than ₹2 lakh.

2. Dena Shakti Scheme :

The Dena Shakti Scheme provides loans up to ₹20 lakh for women entrepreneurs in agriculture, manufacturing, micro-credit, retail stores, or small enterprises. The scheme also provides a concession of 0.25 percent on the rate of interest. Women entrepreneurs can avail of a loan of up to ₹50,000 under the microcredit category.

3. Orient Mahila Vikas Yojana Scheme :

Oriental Bank of Commerce launched the scheme, women with an ownership of 51 percent share capital individually or jointly in a proprietary concern can avail a loan through the Orient Mahila Vikas Yojana. There is collateral required for loans between ₹10 lakhs to ₹25 lakhs. The repayment tenure of the loan is seven years. Orient Mahila Vikas Yojana Scheme also provides a concession on the interest rate of up to 2 percent.

4. Mudra Loan for Women :

Mudra Loan for Women was launched by the government to offer financial support for the enterprising  women entrepreneurs. They seek a business plan like starting a salon , tuition centre, a fashion boutique , etc. This scheme does not require any collateral to grant the loan. Interest rates on MUDRA loans start at the rate of 7.30% p.a. and the loan repayment tenure ranges between 1 year to  7 years. However, there are categories under which a mudra loan application can be applied.

They are as follows:

A) Shishu Loan:

For businesses in the initial stage, the maximum loan amount granted is Rs. 50,000.

B) Kishor Loan:

This loan is for businesses that are already established but wish to improve services. The amount of loan granted varies from Rs. 50,000 to Rs. 5 Lakhs.

C) Tarun Loan:

This loan is for the well-established businesses planning to expand their reach and is short on capital; they can avail as much as Rs 10 lakh for the purpose.

5. Annapurna Scheme :

Under the Annapurna Yojana, the Government of India offers women entrepreneurs in food catering businesses loans up to ₹50,000. The borrowed amount could be used for working capital requirements such as buying utensils, mixer cum grinder, hot case, tiffin boxes, working table, etc. This could be a wonderful opportunity for all the women running their cloud kitchen today . After the loan is approved, the lender doesn’t have to pay the EMI for the first month. Once sanctioned, the amount has to be repaid in 36 monthly installments. The interest rate charged currently can go upto 12.25 % for a period of 7 years. The applicant needs to be between 18 and 60 years old to avail the loan.

well , these were 5 most widely available schemes across the nation for all women entrepreneurs.

I believe for every woman , financial independence is her right ! And if you want to bring your dream to reality and you have a business plan , funding should never be the hindrance to your growth . The Government is doing it’s bit to help us women catch our dreams , it’s time to become financially literate & spread a word about these wonderful schemes that will help you get initial investments for your business.
Summing this up on a very beautiful thought:

Leave a Comment