It’s a well-known fact that the Indian economy is rapidly growing and making headlines around the globe. Everyone deserves to reap the benefits of a bustling market and there are many schemes designed to do just that. It’s inspiring to see the growing number of women entrepreneurs who are making a substantial contribution to the country’s growth and success. There are many financial institutions committed to the cause of empowering women, and hence are providing targeted business loans with special interest rates. Such offers are also devised to be flexible, convenient, hassle-free and easy-to-get.
Popular business and government loans for women in India and their features.
1. Annapurna Scheme
- This plan is provided by banks to women entrepreneurs wishing to open a business in the food and catering industry.
- The loan repayment period is three years.
- Aspirants can avail a maximum loan amount of Rs. 50,000.
- Certain assets along with a guarantor must be listed as collateral for availing this loan.
- Customers don’t have to pay EMI for the first month. This is essentially the holiday period on your EMI
- The rate of interest is determined by the current/prevailing market rates.
2. Stree Shakthi Package
- This loan is provided by State Bank and is available across all its branches.
- You can apply for this loan even if you own just 50% of the business.
- If the loan amount exceeds Rs. 2 Lakhs, then the rate of interest gets be reduced by 0.50%.
- This package is only available for women who have been a part of the Entrepreneurship Development Programmes (EDP), established by state agencies.
3. Bharatiya Mahila Bank
- This scheme is targeted towards women wishing to establish their own business.
- The plethora of business loans offered by this package includes SME loans, retail loans, MICRO loans and loan against property.
4. Dena Shakti Scheme
- As the name suggests, this scheme is provided by Dena Bank.
- The interest rate is reduced by 0.25%.
- The maximum loan amount is Rs. 20 lakhs for education, housing and retail trade.
- You should check your monthly EMI outflow with business loan calculator.
5. Udyogini Scheme
- The provider of this financial assistance is Punjab & Sind Bank.
- The repayment tenure is flexible making this scheme extremely popular among women.
- This scheme is only for women engaged in retail, agriculture and small enterprises.
6. Cent Kalyani Scheme
- Central Bank of India is the provider of this scheme.
- This offering is specifically targeted towards self-employed women in cottage industries, agriculture, government-sponsored programs, SMEs and retail trade.
- The rate of interest will be applied according to the current market rates.
7. Mahila Udyam Nidhi Scheme
- This scheme was launched by Punjab National Bank.
- Small scale entrepreneurs will be highly benefited by this plan.
- The maximum loan amount offered is Rs. 10 lakhs.
- The repayment tenure is 10 years.
- According to the current market rates, the rate of interest will be applied.
- There are different plans available for day care centres, beauty parlors, purchase of cars, two-wheeler, etc.
Eligibility for Business Loan for Women
Bajaj Finserv provides business loans up to Rs. 30 lakhs to women entrepreneurs to meet their financial requirements. The eligibility criteria for a business loan for women are mentioned below:
- The applicant should be between 25-55 years old.
- The applicant should have a least three years of business experience
- The business should have its Income Tax returns filed for at least the past 1 year.
How to apply for a business loan for women
Women can easily avail a business loan available at Finserv MARKETS through a hassle-free online application process. The steps to apply for a Bajaj Finserv business loan are mentioned below:
- Fill in the online application form consisting of your personal and financial details
- Select the loan amount and the loan term you want for yourself
- Upload the necessary documents.
- Post-approval and verification of your documents, the loan amount is credited in the bank account within 24 hours.
FAQs related to Business Loan for Women:
What are the documents required to avail a business loan?
Two passport size colored photos.
Identity proof: (Passport/Id card/voter card/driving license/Aadhar Card).
Residence proof: (Passport/voter card/driving license/Aadhar Card/Ration Card). Applicants living in a rented house are required to submit their rental agreement.
Salaried applicants will have to submit their last three months’ salary slip and bank statements of the previous six months’.
Self-employed applicants have to submit the ITR for the last three years.
Are business loans secured or unsecured?
Business loans available at Finserv MARKETS are unsecured loans. Therefore, you do not have to pledge any collateral while availing a business loan. This keeps your valuable assets safe in case you happen to default on your business loan.
How to avail business loans at competitive interest rates?
To avail a business loan at an attractive interest rate, you must try to improve your CIBIL score before applying for a loan. Moreover, you would be eligible for a higher loan amount with a higher credit score.
Can I avail a business loan despite having a poor CIBIL score?
Yes. Nowadays, various lenders in the market offer business loans to applicants having poor CIBIL score. However, it is to be noted that lenders may consider you a high-risk borrower and charge a high interest rate on your business loan.
Now that you have a better understanding of the various aspects of a business loan ensure that you make the most of it for the growth and expansion of your business.
This is one of the most comprehensive blogs that has been recently compiled. Now that you know the different schemes for women, select the one that fits your needs. You can get various benefits of business loan from a trusted partner like Finserv MARKETS. For more information, please visit our website. Apply for Business Loan at Finserv MARKETS today!
Also, read about SME loan meaning and its benefits for small business.
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