5 Best Government Schemes For Women Entrepreneurs: Money Matters

The Indian government is increasingly recognising the need to provide financial, technical, and social support to women who aspire to start and grow their own businesses. But what are the best government schemes designed to help women entrepreneurs grow and expand their businesses? Let’s take a look at some of the best government schemes aimed at empowering women in business:

5 Best Government Schemes For Women Entrepreneurs

1. Pradhan Mantri Mudra Yojana (PMMY)

The Pradhan Mantri Mudra Yojana is one of India’s most popular financial inclusion schemes. Under this initiative, the government provides “loans up to 10 lakh to the non-corporate, non-farm small/micro enterprises. These loans are classified as MUDRA loans under PMMY. These loans are given by Commercial Banks, RRBs, Small Finance Banks, MFIs, and NBFCs”, according to Mudra's official portal. The loan is provided without requiring any collateral, making it an attractive option for women looking to start or expand their businesses.

2. Stand Up India Scheme

Launched in 2016, the Stand Up India Scheme aims to facilitate bank loans between ₹10 lakh and ₹1 crore to women entrepreneurs, particularly those from the SC/ST and minority communities. Press Information Bureau states, “Recognising the challenges that energetic, enthusiastic, and aspiring SC, ST, and women entrepreneurs may face many challenges in converting their dream to reality, Stand-Up India was launched to promote entrepreneurship amongst women, Scheduled Castes (SC) & Scheduled Tribes (ST) categories, to help them in starting a greenfield enterprise in manufacturing, services or the trading sector and activities allied to agriculture.” By promoting entrepreneurship, it aims to create a more inclusive and diverse business landscape.

3. Mahila Samriddhi Yojana

The Mahila Samriddhi Yojana is a microfinance scheme that provides loans to women entrepreneurs from low-income or backward communities, helping them start or grow their businesses. According to the Ministry of Social Justice and Empowerment, Govt. of India, “NSFDC provides Mahila Samriddhi Yojana for units costing upto Rs.1,40,000/. NSFDC provides loans up to 90% of the Project Cost with a maximum amount of Rs.1.25 lakhs. The loan under the Yojana is to be repaid in quarterly installments within a maximum period of three years including 3 months moratorium period.” To be eligible for this scheme, women must belong to backward classes, as defined by the government, and have a family income of less than ₹3 lakhs per year.

Don't miss:5 Tips For Choosing The Best Investment Plan: Money Matters

4. TREAD Scheme (Trade Related Entrepreneurship Assistance and Development)

The TREAD scheme, launched by the Ministry of Micro, Small, and Medium Enterprises (MSME), is designed specifically to encourage women to become self-employed by offering them financial assistance, training, and marketing support. According to DCMSME, “There are three major components of the scheme:

(i) Government of India (GOI) grant upto 30% of the total project cost to the Non-Government Organisations (NGOs) for promoting entrepreneurship among women. The remaining 70% of the project cost is financed by thelending agency as loan for undertaking activities as envisaged in the project.

(ii) GOI grant upto Rs.1 lakh per programme to training institutions /NGOs for imparting training to the women entrepreneurs, subject to these institutions/NGOs bringing their share to the extent of a minimum 25% of GOI grant and 10% in case of NER.

(iii) Need-based GoI grants upto Rs.5 lakh to National Entrepreneurship Development Institutions and any other institutions of repute for undertaking field surveys, research studies etc.”

Don't miss:5 Best Short-Term Investment Options With High Returns According To Experts: Money Matters

5. Women Entrepreneurship Platform (WEP)

Launched by NITI Aayog, the Women Entrepreneurship Platform (WEP) is a one-stop platform aimed at providing women entrepreneurs with the resources they need to succeed. Press Information Bureau states, “ WEP is a public-private partnership platform incubated at Niti Aayog and aims to create an enabling ecosystem for women entrepreneurs in India. The program is part of WEP’s Financing Women Collaborative (FWC), a first-of-its-kind initiative aimed at accelerating access to finance for women entrepreneurs.” Women can use WEP to get connected with business experts, investors, and other entrepreneurs.

For more such stories, stay tuned to HerZindagi.

Image credit: Freepik