Are you a women entrepreneur? Looking for business loan schemes for starting a new business or expanding an existing venture? If yes, read this article to know the list of business loan schemes for women offered by various financial institutions.
Women entrepreneurs are present are an integral part of the economic growth of the country. They create new openings, for themselves and others and also provide society with different solutions to management, organization, and business problems. The efforts of the government and its different agencies are supplemented by NGOs and associations that are playing an equally important role in facilitating women’s empowerment.
A recent Global Entrepreneurialism Report conducted by international Bank BNP Paribas has ranked India on top of the highest percentage of women entrepreneurs. The survey found that 49% of the entrepreneurs in India are women.
Technological innovation enabled female entrepreneurs to grow their businesses faster in exponentially growing industries. With the advent of innovations like wireless internet, cloud technologies, and intelligent mobile devices, entrepreneurs could work flexibly and collaborate seamlessly. In India, there are certain women entrepreneur loan schemes that are designed to support only female entrepreneurs.
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List of 10 Small Business Loans for Women in India
1. Stree Shakthi Package – Women Entrepreneur Loan Schemes
The Stree Shakthi Package is applicable to entrepreneurs who run small businesses and have 50% of firm ownership. Women entrepreneurs who have pursued Entrepreneurship Development Programmes (EDP) organized by state-level agencies are only eligible for this loan.
Under this scheme, you will get all the necessary assistance for establishing your business. Interest concession of 0.50% can be availed only if you obtain a loan above Rs. 2 lac under this scheme.
Related: Top Venture Capital Firms in India
2. Annapurna Loan Scheme for Women
The Annapurna Scheme is applicable to women entrepreneurs running individual businesses or partnership firms. The main motive of this scheme is to provide financial aid to female business owners for establishing food catering units. This is a composite term loan and you can avail of a maximum amount of up to INR 50000.
You can repay the loan in 36 monthly installments with a moratorium period of one month. These online business loans for women can also be used as working capital for purchasing utensils, water filters, and other kitchen equipment required for the food business.
You need a guarantor for securing this type of loan. The interest rate for these loans is applicable as per the prevailing rates. For securing this loan, you need to submit assets as collateral to the bank.
3. Cent Kalyani – Women Entrepreneur Loan Schemes
This scheme is provided by the Central Bank of India for the benefit of female entrepreneurs. Under this scheme, a woman entrepreneur can get adequate financial assistance for starting a new venture.
Cent Kalyani provides loans to new as well as experienced business owners, professionals, and self-employed. Besides, these business loans for women can also be availed by retail traders, small-scale industry owners, and women entrepreneurs engaged in agricultural and allied activities as well as in village and cottage industries.
4. Dena Shakti
Dena Shakti Scheme under the Dena Bank has promoted female women-owned businesses by providing various financial services to them. You can avail of loans under this scheme at a concession of 0.25% on the interest rate.
This scheme provides business loans for women engaged in the manufacturing sector as well as agriculture and allied activities. Besides, business owners running small enterprises, micro-credit, or retail stores can also avail of this loan.SIDBI Mahila Udyam Nidhi
5. SIDBI Mahila Udyam Nidhi
Mahila Udyam Nidhi Scheme (MUN) under the Small Industries Development Bank of India provides financial assistance up to Rs. 10 lakhs to female entrepreneurs for setting up a new industrial venture in the small-scale sector.
6. Udyogini – Women Entrepreneur Loan Scheme
Udyogini is a scheme of Punjab and Sind Bank that motivates female business owners to obtain loans online at liberal terms and low-interest rates. This loan is taken for establishing small-scale industries, business enterprises as well as agricultural activities. Moreover, this loan is also available for retail traders and other self-employed female entrepreneurs.
7. Bharatiya Mahila Bank
Bharatiya Mahila Bank supports women to start their own businesses. Some of the popular business loan products for women offered by this institution are micro-loans, SME loans, retail loans, and loans against property.
One can avail of a loan amount of up to 20 Crores under this scheme by mortgaging properties.
8. Stand-Up India Scheme
The Stand-Up India Scheme aims to provide financial assistance to women entrepreneurs who want to set up greenfield enterprises in manufacturing, services, or the trading sector. The loan amount under this scheme ranges from Rs. 10 lakhs to Rs. 1 crore, and the repayment tenure is up to 7 years.
To be eligible for this scheme, the applicant must be at least 18 years old and should belong to a scheduled caste or tribe or should be a woman entrepreneur.
9. Anuyojana Scheme
The Anuyojana Scheme is a business loan scheme for women entrepreneurs who want to set up small-scale industries in rural areas of India. The loan amount under this scheme ranges from Rs. 50,000 to Rs. 5 lakhs. Women entrepreneurs receiving this loan will have to repay it within 36 months.
To be eligible for this scheme, the applicant must be at least 18 years old and a valid business registration certificate.
10. Mudra Yojana Scheme for Women
This loan is provided by the Government of India for setting up small-scale businesses. The business can be a small manufacturing unit, beauty parlor, retail shop, etc.
There are three types of loans that are disbursed in the Mudra Yojana Scheme depending on the loan amount They are as follows:
- Shishu – Upto Rs. 50,000
- Kishor – Rs. 50,000 to Rs 5 Lacs
- Tarun – Upto Rs. 10 Lacs
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The above-mentioned business loan schemes for women are available as per the norms of the Indian government.