Women nowadays are capable of running their own show and they don’t necessarily need men in the household to take care of the household expenses and to run a business or to pay the bills. Women do everything on their own. They can handle any kind of work and are very strong-willed when it comes to proving to the society that they can handle the work. Providers have realised this and are offering Small Business Loans for women who have a successful business but need a little financial help.
The financial institutions have come up with schemes that are exclusively framed for women entrepreneur. Such schemes have relaxed terms and conditions and rate of interest and collateral security. Some financial institutions have also set up a cell within their branch to counsel and train the women entrepreneurs to promote and market their business.
The various loan schemes offered to women entrepreneurs for their small business are as follows:
Cent Kalyani Scheme
This scheme is offered by Central Bank of India. Women can avail loan to start a new venture. The loan is offered to new as well as experience business owners, self-employed and professionals. Even those who have engaged in the agricultural and allied activities and in village and cottage industries can avail loan under this scheme.
Stree Shakti package for women entrepreneurs
This scheme is offered for women who have 50% ownership in the small business. Eligibility to get this loan is that the women entrepreneur has to pursue the Entrepreneurship Development Programmes (EDP) organized by the state agency. The necessary assistance will be provided and you will get an interest concession of 0.05%. The interest concession can be availed on loan above Rs.2 lakhs.
Dena Shakti Scheme
This scheme is offered by Dena bank to promote female owned businesses by providing financial assistance. The loan can be availed at 0.25% interest concession. The loan is offered to women engaged in manufacturing, agricultural and allied activities. Even women running small enterprises, micro-credit or retail stores can take loan under this scheme.
Eligibility criteria is that the women entrepreneur has to run individual business or partnership firm. The loan is offered to women who has an established food catering unit. The maximum loan that you can get is Rs.50,000. The loan can be repaid in 36 instalments. The loan amount can be used to purchase utensils, water filters and other kitchen equipment. You will however be needing a guarantor to secure the loan. Interest rate is set as per the prevailing rates and you will have to submit assets as collateral with the bank.
This scheme is offered by Punjab and Sind Bank to motivate women entrepreneur to obtain loan on low interest rate and on liberal terms to establish small scale industries. This loan is also available for retail traders and self-employed women entrepreneurs.
Mahila Udyam Nidhi Scheme
This scheme is offered by Small Industries Development Bank of India to provide financial assistance of up to Rs.10 lakhs to the female entrepreneur to set up a new venture in small scale sector.