Mudra Yojna Scheme for Women: Eligibility and Documents

Last Updated: 11 Oct 2024

Launched in the year 2015, the Micro Units Development Refinance Agency provides loans of approximately Rs 10 lakhs to small and micro enterprises that are not part of the corporate or farming sectors. Mudra Yojana Scheme plays a crucial role in refinancing various Last Mile Financiers, including Societies, Micro Finance Institutions, Trust, Non-Banking Finance Companies, Small Finance Banks, Section 8 Companies (non-profit organisations), and the Regional Rural Banks engaged in lending to small and micro businesses.

Given this significant gender disparity in the business and entrepreneurial landscape, the Mudra Yojana Scheme places special emphasis on supporting and empowering women entrepreneurs. Read on to know about mudra yojana scheme and how it can prove to be beneficial for them in their entrepreneurial journey.

Sapna aapka. Business Loan Humara

Apply Now

Mudra Loan for Women: What It Is?

The government has launched a special loan program for women entrepreneurs under the Pradhan Mantri Mudra Yojana scheme, known as the Mudra Yojana Loan Scheme or Mahila Udhyami Yojana. This initiative offers women entrepreneurs approximately Rs 10 lakh loans, free from collateral requirements and featuring low-interest rates with flexible repayment tenures.

These loans, available to men and women under the Mudra scheme, are disbursed by various financial institutions, banks, and micro-finance institutions. These loans receive funding via a specialised public sector bank, the Micro Units Development and Refinance Agency Bank.

To promote this mudra loan for women entrepreneurs, the government has advised all banks, as well as non-banking financial companies (NBFCs) and micro-finance institutions, to reduce the interest rates by twenty-five basis points when granting Mudra loans to women. Consequently, mudra loan for housewife may benefit from reduced interest costs and other advantages this program offers.

Types of Mudra Loan Yojana for Women

Through the government-initiated mudra loan for women, the growth of the MSME sector may be accelerated by offering business loans in three different categories:

• Shishu Loan:

  The SHISHU loan scheme enables entrepreneurs to access up to Rs. 50,000 loans.

• Kishor Loan:

  Under the Kishor MUDRA loan scheme, business owners can secure business loans ranging from Rs. 50,000 to 5 lakhs.

• Tarun Loan:

  In this scheme, female entrepreneurs can obtain business loans ranging from Rs. 5 lakhs to 10 lakhs.

Eligibility of the Mudra Yojna Scheme

To apply for the Mudra Yojna Scheme, prospective business owners or entrepreneurs must satisfy the following mudra loan for women’s eligibility criteria:

• Age Requirement: Women between the ages of 18 and 65 may apply for this scheme.
• Business Types: The loan can be used to fund non-farm, non-corporate businesses in the service, commerce, or manufacturing sectors. Phone repair, spa services, tailoring, and beauty salons are examples of qualifying enterprises.
• Preference for Certain Occupations: Women in vocations such as craftsmen and weavers and those who have acquired training from institutions such as R-SETIs and other professional institutes are given preference. This programme does not apply to retail trade enterprises.
• Good Credit History: Applicants must have a good credit score and no criminal records.

Documents Required

The mudra loan scheme documents required are as follows:

• Application form with two photographs
• A proper business plan
• Last 6 month’s bank statement
• KYC documents
• Caste certificate
• Business address proof
• ITR filings of the previous year

Sapna aapka. Business Loan Humara

Apply Now

Conclusion

The primary goal of the Mudra Yojana Scheme for women is to provide critical financial help to aspiring female entrepreneurs who want to start or develop their firms. This programme is designed to develop female entrepreneurs with talents who want to effectively create and run their enterprises by providing them with unsecured business loans. To acquire the Mudra loan qualifying requirements, businesswomen must fulfil the Mudra Yojana plan developed for women. They can apply for the Mudra Yojana Scheme for women both online and offline. So, if you are all set to embark on your journey toward entrepreneurship, apply for the Mudra Yojana Scheme today!