If you have a good business idea but you are not able to start it due to lack of money, then you do not need to panic anymore. The Government of India has introduced the facility of giving loan without guarantee under Pradhan Mantri Mudra Yojana (PMMY) to promote small businessmen and new entrepreneurs. So far, crores of people have benefited in this scheme and now the government has increased the loan limit to Rs 20 lakh.
What is Pradhan Mantri Mudra Yojana?
The Pradhan Mantri Mudra Yojana was launched in the year 2015. Under this scheme, loans are given to people who want to start self -employment or increase their small business. Earlier, a loan of up to Rs 10 lakh was available in this scheme, but now it has been increased to Rs 20 lakh. The special thing is that there is no need to give any guarantee for this.
Loan is divided into three categories
The loan is divided into three categories under the Mudra Scheme:
Shishu category: Loans up to Rs 50,000 are given in this category. This is for those who are starting to start their business.
Kishore category: In this category, loans ranging from Rs 50,000 to Rs 10 lakh are given. This is for those who have started business and want to increase it.
Tarun category: Loans ranging from 10 lakh to 20 lakh rupees are given in it. This is for entrepreneurs who want to expand their business further.
How to apply?
To avail the Pradhan Mantri Mudra Yojana, you can apply in the methods given below:
Official website of the scheme www.mudra.org.in Go to and apply online.
Apply offline by visiting the nearest government or private bank, NBFC, or Micro Finance Institute.
While applying, you will have to submit your business idea, project report, Aadhaar card, PAN card, passport size photo and bank statement.
Why is this plan special?
Loan without any guarantee
Priority to women entrepreneurs and youth
Interest rates lower than other loans
Application process simple and transparent
conclusion:
If you are thinking of starting your own business, then the Pradhan Mantri Mudra Yojana is a great opportunity for you. Just you need a good business idea and a little preparation. This scheme can become a medium to convert your dreams into reality.
