Women in India often face financial challenges to start their own business. But now it has become a thing of past as there are many government loan schemes for women in India. The government has taken this initiative to make women financially independent and to help them explore their talent. With the progress of banking industry in India, women can easily get a loan for startups.

Due to the initiative, “Startup India Standup India”, the government has been putting more focus on making women strong. Women can not only become self-dependent by starting their own business but also create job opportunities for others. All these things have a direct impact on boosting the economic growth of the country. Read below to know about government loan schemes for new businesses for women.

Annapurna Scheme

Anapurna Scheme is an Indian government loan for small business or startups based on food catering. Those women who want a working capital for setting up any food-related business is eligible for Annapurna Scheme. Below are the some of the details one needs to consider to take a loan under this scheme.

• One can get a financial loan up to Rs. 50,000 which every woman needs to repay within 3 years.
• A person who seeks a loan under this scheme must have a guarantor and he must keep collateral with the bank.
• A loan under this scheme is available from State Bank of India.
• Interest rates for the repayment are decided through market value during the given period.
• After the sanctioning of the loan, the lender doesn’t need to pay the interest for the first method.

Stree Shakti

Stree Shakti scheme is for those women who have Entrepreneurship Development Programmes (EDP). State Bank of India offers loan under this scheme to ensure capital gain to the needy persons.

• As much as Rs. 50 lakhs loan can be sanctioned under this scheme.
• If the loan amount exceeds Rs. 2 lakhs then a concession of 0.50% on the rate of interest is given to the lender.
• At least 50% ownership is necessary for the person who desires to take a loan for its business.

Bhartiya Mahila Bank Business Loan

One of the powerful government loan schemes for women is Bhartiya Mahila Bank Business Loan. Those who want to start their venture in the field of the retail sector, MICRO loans, and SME loans. However, BMB was merged into SBI on 31st March 2017.

• There is a facility of sanctioning of a loan up to Rs. 20 crores for manufacturing enterprises.
• A collateral-free loan up to Rs. 1 crore can be availed through this scheme.
• A period of 7 years is given for a loan under this scheme.
• The interest rate for this loan is 12.25% (base rate of 10.25% and an additional 2% is also charged)

Dena Shakti Scheme

Dena Shakti Scheme offers financial assistance to women in the fields of agriculture, manufacturing, micro-credit or retail stores.

• Under the category of education, housing, and retail trading, a loan amount of Rs. 20 lakhs is sanctioned.
• A sum of Rs. 50,000 is offered for the category of micro-credit under this scheme.
• On the rate of interest, a concession of 0.25% is provided to the lender.

Oriental Mahila Vikas Yojana Scheme

Another yojana among government loan schemes for women to provide financial assistance is Oriental Mahila Vikas Yojana Scheme. This scheme offers an excellent platform to women by providing them with capital money. It was initiated by Oriental Bank of Commerce.

• A person who seeks a loan for a business must be an owner of 51% of that business and a concession of 2% is offered on the rate of interest.
• The repayment period for loan under this scheme is 7 years.
• If the loan amount is below Rs. 10 lakhs and under SSI (Small Scale Industries) if the amount is up to Rs. 25 lakhs then no collateral is needed for it.