Financial Schemes for Female Entrepreneurs

SIDBI Joins Hands With Global Alliance For Mass Entrepreneurship To Help MSMEs Revive

The Small Industries Development Bank of India (SIDBI) and the Global Alliance for Mass Entrepreneurship (GAME) have entered into an MoU to help the MSMEs overcome their challenges that were elevated during the pandemic, along with the longstanding capacity gaps in the sector.

The MoU covers vast themes that include expanding credit access, building competitive clusters, increasing formalization, and improving the legal framework for ease of doing business.

Both the organizations also committed that 25 percent of the beneficiaries from the partnership would be women entrepreneurs.

The partnership will also focus on areas that include scaling up Udyam Registration as a unique ID for an MSME to access schemes across the entire MSME universe, leveraging SIDBI`s financial schemes to further formalize enterprises, among others.

According to GAME Co-founder Mekin Maheshwari, “This long-standing experience combined with the force of GAME`s 80+diverse partner alliance should ease the access to credit and a range of new support services for MSMEs at large scale.”

“We hope the power of the Alliance can be leveraged for nation-building efforts such as formalizing MSMEs and substantially improving access to credit & non-financial services,” said SIDBI Chairman and Managing Director, Sivasubramanian Raman.

5 Schemes to Financially Empower Women Entrepreneurs in India

The start-up ecosystem has been blooming in India without any gender disparity, more and more women are also establishing and running their own businesses successfully and independently. In many sectors, the women-led businesses have outshone the male ones. Even the government through its various organisations, several private and public sector banks and other non-banking financial institutions are progressively supporting the women-led initiatives. They are providing loans and funds at easier and flexible terms of repayments and lower interest rates to female entrepreneurs so that they easily overcome the financial bottlenecks and a smooth and efficient functioning of business is undertaken.Women-Led Businesses in India Get Major Boost As Visa Announces Grants To Empower Budding Businesswomen.

Here are 5 schemes to financially empower business women :

Pradhan Mantri Mudra Yojana

Under this central government scheme, loans ranging between Rs 50,000 to Rs 10 Lakh are offered to women entrepreneurs at easy terms of repayments. It is managed by the Micro Units Development and Refinance Agency (MUDRA) and offers loans to production, trading and service sector businesses.

Stree Shakti Package For Women Entrepreneurs

Under this scheme offered by the State Bank of India, women who have at least 50 per cent of the ownership stake can avail a discounted rate of interest by 0.50 per cent if the loan amounts is Rs 2 Lakh or more. The applicant should however taken part in state run Entrepreneurship Development Programmes.

Orient Mahila Vikas Yojana Scheme

Under this scheme offered by the Oriental Bank of Commerce, women who have at least a 51 per cent of the ownership stake can avail loans ranging from Rs 10 Lakh to Rs 25 Lakh without any collateral security. With a payback period of seven years, a concession of up to 2 per cent is also given on the loan. Business Confidence in India Improves As Economic Activities and COVID-19 Vaccination Drive Gathers Pace: NCAER Survey.

Stand-Up India

Under this scheme offered by the Small Industrial Development Bank of India (SIDBI), loans are offered to manufacturing, trading and service sector businesses. Loan amount ranging from Rs 10 Lakh to Rs 1 Crore are offered to the applicant. It can be repaid within seven years from the date of issue.

Bharatiya Mahila Bank Business Loan

Under this scheme, loans are offered up to Rs 20 Crore for businesses in the manufacturing and production sector. It also provides, a concession up to 0.25 per cent on the interest rates is also provided. Under it, one can avail a loan up to Rs 1 Crore without any collateral security.