Only 14% of women in India come up with a business idea and think of becoming independent entrepreneurs. The government is on an initiative to uplift all women by launching business loan subsidies for all aspiring independent females in the country. However, not many of them are aware of the benefits provided by the governing bodies to all female entrepreneurs.
Mad4India lists all the supporting business loan subsidies for enhancing female entrepreneurs and making their dreams come true.
5 Business Loans Supporting Women Entrepreneurship in India!
1. Bhartiya Mahila Bank
India’s first all-woman business loan bank, Bhartiya Mahila Bank is a fully-owned subsidiary of the State Bank of India, based in Mumbai, India. Inaugurated by the former president, Dr. Manmohan Singh, in 2013, it was launched to support budding female entrepreneurs in India. It is a public-sector company that creates a platform for women entrepreneurs to get business loans. It is designed in such a way that it supports almost all the business ideas by women to meet the requirement of working capital.
Bhartiya Mahila Bank offers a maximum amount of Rs. 20 crore to manufacturing enterprises owned by women. It offers money at a very low rate of interest of 0.25% and even a collateral-free business loan of up to Rs. 1 crore.
2. Mahila Udayam Nidhi
The Mahila Udayam Nidhi Scheme is a subsidiary scheme offered by the Government of India to encourage women’s participation in the country’s economic growth. The major highlight of this scheme is that it provides financial assistance to female entrepreneurs engaged in small-scale industrial units, retail trades, and other service enterprises.
No collateral is required for business loans issued under this scheme and it can only be availed of by non-agricultural-based businesses owned by women. It helps to meet the gap in equity as it includes microfinance institutions that provide loans to groups of women as well.
3. Dena Shakti Scheme
Dena Shakti Scheme is another public sector banking company, managed by Dena Bank, to recognize the potential and talent of female entrepreneurs across India. It provides a simplified and hassle-free process for granting business loans. It covers the agricultural sector as well, and all the micro, small, and medium enterprises can avail of its benefits. Women entrepreneurs with more than 50% ownership of a business enterprise are eligible to apply for a Dena Shakti Business Loan.
4. Udyogini Business Loan
Implemented by the Women Development Corporation, Udyogini is a scheme to provide subsidized loans to aspiring women entrepreneurs from rural and underserved areas. As per this scheme, if women require money for entrepreneurial purposes or industry training, the government and banks can lend them money under the Udyogini scheme. It prevents rural women from borrowing money at high interest rates from money sharks.
This scheme provides a maximum of Rs. 3 lakhs in financial assistance. Moreover, women under SC, ST, and physically challenged conditions can get interest-free loans under this scheme. It provides support to all women without any discrimination. Any female can apply for this loan from the corporation branch of any district.
5. Cent Kalyani Scheme
The Cent Kalyani Scheme provides support and encouragement to women entrepreneurs who wish to start new ventures and modernize their existing enterprises. It supports all kinds of established entrepreneurs, like handloom weaving and handicraft, and many professions and self-employment options, like doctors, chartered accountants, etc.
Females can avail a maximum of Rs. 100 lakh with a margin rate of 20%. Any woman running any business, like a catering service, beauty parlor, mobile restaurant, etc. can benefit from this business loan.
All these subsidies are provided to uplift and support young and budding entrepreneurs all over India. Some uplift the small business owners, some look after the agricultural and underserved areas, and some make amends for the growth mindset of women. These subsidies are there to benefit women who have an entrepreneurial mindset. It is a much-needed push for all the women aiming to grow in life and be self-reliant.
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