5 Best Business Loan Schemes for Women Entrepreneurs in India

In today’s progressive era, women entrepreneurs are making remarkable achievement in the business world.

From launching innovative Startups to managing thriving enterprises, women entrepreneurs are leaving an indelible mark on various industries.

Their unwavering determination, unique perspectives, and unparalleled resilience make them an invaluable force in the business landscape.

Empowering women entrepreneurs is not just a matter of inclusivity and equality. it is also a catalyst for economic growth and societal development.

By providing women with opportunities to start and grow their businesses, we unlock their immense potential to create jobs, drive innovation, and contribute to the overall prosperity of communities.

Supporting women entrepreneurs leads to increased gender equality, diversified industries, and enhanced social well-being.

You can do this by empowering women with strategic business loan specifically designed for them. These loan schemes offer tailored financial solutions, mentorship programs, and networking opportunities to help women overcome obstacles and thrive in the competitive business landscape.

In this article, we will discuss the 5 Best Business Loan Schemes for Women Entrepreneurs in India, Documents Required, eligibility, etc.

5 Best Business Loan Schemes for Women Entrepreneurs in India

Here is the list of 5 Best Business Loan Schemes for Women Entrepreneurs in India-

Cent Kalyani from the Central Bank of India

Cent Kalyani is a specialized loan scheme offered by the Central Bank of India, aimed at empowering women entrepreneurs in India.

This unique loan program is designed to provide financial support and assistance to women who aspire to start their own businesses or expand their existing ventures.

With attractive features and dedicated support, Cent Kalyani aims to fuel the growth and success of women entrepreneurs across the country.

The significance of Cent Kalyani lies in its commitment to promote women’s entrepreneurship and foster gender equality in the business world.

By offering financial resources and support to women entrepreneurs, the scheme helps address the challenges and barriers they often face in accessing capital.

Cent Kalyani empowers women to pursue their entrepreneurial dreams, contribute to economic development, and create employment opportunities.

Features of the Loan

The following are the features of the Cent Kalyani from the Central Bank of India-

• Cent Kalyani provides a substantial loan amount tailored to meet the unique requirements of women entrepreneurs
• One of the standout features of Cent Kalyani is that it offers collateral-free loans up to a certain limit
• The loan scheme offers competitive interest rates, making it an affordable financing option for women entrepreneurs
• Cent Kalyani provides flexible repayment options, enabling women entrepreneurs to structure their loan repayments in a manner that suits their business cash flows

Mudra Loan under PMMY

Mudra Loan is a government-backed scheme under the Pradhan Mantri Mudra Yojana (PMMY) that aims to support the entrepreneurial aspirations of Indians with specific focus on women as well.

It provides financial assistance to women who wish to start or expand their small businesses. With its unique features and dedicated support, Mudra Loan empowers women entrepreneurs to realize their dreams and contribute to the growth of the economy.

The significance of Mudra Loan lies in its emphasis on financial inclusion and enabling women to access capital for their business ventures.

It addresses the challenges and barriers that women often face in obtaining loans from traditional banking channels.

By offering collateral-free loans and simplified application procedures, Mudra Loan ensures that women entrepreneurs have equal opportunities to thrive and succeed in their entrepreneurial endeavours.

Features of Mudra Loan

The following are the features of the Mudra Loan-

• Mudra Loan provides varying loan amounts based on the stage and nature of the business, catering to the specific needs
• Mudra Loan offers collateral-free loans, eliminating the need for women entrepreneurs to pledge assets as security
• The interest rates for Mudra Loans are competitive and affordable
• Mudra Loan offers flexible repayment options, allowing women entrepreneurs to choose repayment schedules

ICICI Bank – Self Help Group-Bank Linkage Programme (SBLP)

The ICICI Bank Self Help Group-Bank Linkage Programme (SBLP) is a unique initiative that aims to uplift women entrepreneurs by providing them with financial assistance and support.

This program focuses on empowering women through the formation of self-help groups and extending financial services to them.

The significance of the ICICI Bank SBLP lies in its approach to fostering women’s entrepreneurship and financial inclusion.

By promoting the formation of self-help groups, the program encourages women to come together, pool their resources, and collectively engage in income-generating activities.

This not only enhances their economic status but also boosts their confidence and decision-making abilities.

Features of the ICICI Bank SBLP

The following are the features of the ICICI Bank SBLP-

• The program facilitates the formation of self-help groups comprising women with similar socio-economic backgrounds and interests
• ICICI Bank extends credit facilities to these self-help groups, enabling them to start and expand their small businesses
• The program emphasizes the importance of savings and provides access to credit facilities based on the group’s collective financial discipline
• ICICI Bank offers skill development and training programs to enhance the entrepreneurial capabilities of women within the self-help groups
• The program provides mentoring and guidance to women entrepreneurs, enabling them to make informed business decisions and achieve sustainable growth

Stand-Up India

Stand-Up India is a government initiative that aims to promote entrepreneurship among women and marginalized communities in India.

Launched by the Government of India, Stand-Up India seeks to provide financial support and assistance to aspiring entrepreneurs from Scheduled Castes (SC), Scheduled Tribes (ST), and women entrepreneurs.

The significance of Stand-Up India lies in its focus on promoting inclusive growth and economic empowerment.

The program aims to bridge the gap in entrepreneurial opportunities by providing access to finance and handholding support to those who have traditionally faced social and economic barriers.

By encouraging entrepreneurship, Stand-Up India aims to create job opportunities, drive innovation, and contribute to overall economic development.

Features of Stand-Up India:

The following are the features of the Stand-up India-

• Stand-Up India provides bank loans ranging from ₹10 lakh to ₹1 crore to eligible entrepreneurs for starting new ventures or expanding existing businesses
• The program specifically targets entrepreneurs from Scheduled Castes (SC), Scheduled Tribes (ST), and women entrepreneurs to foster inclusive growth and promote social upliftment.
• Stand-Up India offers collateral-free loans up to ₹10 lakh, making it more accessible to aspiring entrepreneurs who may not have sufficient assets to pledge as security
• The program provides handholding support, including training, mentoring, and guidance to entrepreneurs throughout their entrepreneurial journey
• Stand-Up India simplifies the loan application process, ensuring ease of access for eligible entrepreneurs and reducing the bureaucratic hurdles they may face

PNB Mahila Udyami

PNB Mahila Udyami is a specialized loan scheme offered by Punjab National Bank (PNB) to support women entrepreneurs in India. This scheme is designed to provide financial assistance and promote women’s entrepreneurship by offering customized loan products and services.

The significance of PNB Mahila Udyami lies in its commitment to empowering women and encouraging them to become self-reliant through entrepreneurship. The program aims to address the unique challenges faced by women entrepreneurs, such as limited access to finance and resources, by providing tailored financial solutions and support.

Features of PNB Mahila Udyami:

The following are the features of the PNB Mahila Udyami-

• PNB Mahila Udyami offers a range of loan products specifically designed for women entrepreneurs, catering to their diverse business needs and requirements
• The scheme provides loans at competitive interest rates
• PNB Mahila Udyami offers collateral-free loans up to a certain limit
• The program ensures prompt loan processing, enabling women entrepreneurs to access funds in a timely manner to start or expand their business
• PNB Mahila Udyami provides dedicated support and guidance throughout the loan application process, assisting women entrepreneurs at every step

Conclusion

Women entrepreneurship plays a vital role in driving economic growth, fostering innovation, and promoting social progress.

 It empowers women to break barriers, pursue their passions, and contribute to the development of vibrant and inclusive business ecosystems.

By creating opportunities, providing financial support, and nurturing talent, societies can unlock the immense potential of women entrepreneurs and reap the benefits of their creativity, resilience, and leadership.

With all these schemes a women entrepreneur can build a business and empower themselves as well as other women.