What is Startup? And Government Startup Scheme for Women Entrepreneurs

Introduction

In the last decade, India has experienced a startup boom. A new breed of female entrepreneurs has successfully entered previously untapped markets such as food, cosmetics, tourism, sanitation, information technology, automobiles, and even innovation. Lack of social and financial support, on the other hand, can be a substantial barrier to starting and operating a firm. In this article information on the government Startup Scheme for Women Entrepreneurs is discussed.

The Indian government has stepped up by establishing credit programmes for women to make things easy for them. These women’s schemes will be quite beneficial in obtaining the necessary financial aid for their commercial endeavours. Let’s take a quick look at what is Startup?

What is Startup?

The Government of India has launched a program called Startup India. Indian Prime Minister Narendra Modi first announced the campaign during a speech on August 15, 2015. This initiative’s action plan focuses on three areas: Simplification, Hand-holding, and Collaboration.

Related read: How to Start an Online Business from Home?

Government Startup Scheme for Women Entrepreneurs

• Mudra Yojana Scheme

Mudra Yojana is a scheme that might be beneficial to women who seek to start or expand their own small businesses. Although this is not a programme designed exclusively for women, it can be extremely beneficial. You can apply for a loan in the range of INR 50000 to INR 10 lakh.

It is ideal for beauty salons, starting a small business, or running a home-based business. This loan does not require any collateral or a guarantor.

The plan is broken into three sections:

1. Kishor: loans above 50,000/- and up to 5 lakh

2. Shishu: loans up to 50,000/-

3. Tarun: loans of more than 5,000 rupees and up to ten lakh rupees.

• Mahila Udyam Nidhi Scheme

Punjab National Bank has introduced the Mahila Udyam Nidhi Scheme, which is aimed at assisting small businesses (SSI). The purpose is to promote modernisation and technological improvement in these small scale enterprises by offering hassle-free loans. The loan has a limit of INR Ten lakhs, and the borrower has 10 years to repay it. This includes a five-year moratorium period.

The application form for this scheme is available at Punjab National Bank. Fill it out and drop it off at a Punjab National Bank branch near you. Similar programmes are available from a number of other banks, including SBI (State Bank of India).

• Bharathiya Mahila Bank Business Loan

Bharathiya Mahila Bank was founded for women who, despite their financial constraints, have big goals. It provides up to INR 20 crores in financing to women entrepreneurs who want to launch a manufacturing business. There is no need for collateral if the loan amount is less than one crore. While the Bharatiya Mahila Bank and the State Bank of India (SBI) amalgamated in 2017, the lending plan that began in 2017 remains in place.

• Women Entrepreneurship Platform (WEP)

The Indian government, through NITI Aayog, has launched the Women Entrepreneurship Platform, a startup scheme for women entrepreneurs that brings together women entrepreneurs and sponsors who want to aid them in one place.

If you want to be a female entrepreneur, you can join this group. The following is what they do in WEP (Women Entrepreneurship Platform):

1. For enterprises in their early phases, an incubation and acceleration programme is available.

2. Entrepreneurship and leadership skills are taught through skill training and mentorship programmes.

3. Marketing assistance is available.

4. Support for ensuring that laws and regulations are followed.

5. Financial support and funding

6. A group of like-minded women who form a community and network.

• Udyogini Scheme

The Udyogini Scheme is for women from low-income families earning less than INR 1.5 lakhs per year. For widowed, poor, or disabled women, there are no such limits. For this reason, this scheme proves beneficial scheme for Women Entrepreneurs whose total income is less and due to which they are not able to continue their Startup Idea.

A loan of up to Rs. 3 lakhs can be obtained at a moderate interest rate. Women will be able to start modest businesses and become self-sufficient as a result of this. The purpose of this programme is to help women from low-income families become financially self-sufficient. Subsidies on loans also make it easier for women to advance in their business ventures.

• Cent Kalyani Scheme

Do you want to establish or expand your small business? The Central Bank of India has a programme for women like you called Cent Kaylani. The scheme allows for loans of up to INR 100 lakhs to be taken out with no collateral or processing costs. This programme is open to all types of businesses, with the exception of self-help organisations, retail commerce, and educational and training institutes.

• Dena Shakti Scheme

The Dena Shakti Scheme gives loans to women entrepreneurs in India in the following sectors:

1. Agricultural enterprises

2. Stores that sell things

3. The manufacturing industry

4. Micro-finance institutions

5. Education / Housing

While the highest loan amount is INR 20 lakhs, the maximum loan amount you can apply for is decided by the sector you are working on. The interest rate is 0.25 percent, which is below the base rate.

Eligibility Criteria for Startup Scheme for Women Entrepreneurs

• Women entrepreneurs who are in the ideation stage, have just started their businesses, or have a well-established business can enrol to benefit from the scheme.

• NGOs, research organisations, companies, incubators, accelerators, and other organisations that can help women entrepreneurs in any way can be a part of this scheme.

Conclusion

These are some of the most well-known initiatives available in India to help female entrepreneurs in India. Women can benefit from these programmes because they provide a fair playing field. There is no denying that women can be successful business owners. However, we must remove social barriers, and these programmes are the first step in that direction. With the government schemes for female entrepreneurs in India, It will help Women to promote their businesses and support them to borrow funds for business at a minimum interest rate.