Government Loan Schemes for Women in India

In India, women entrepreneurs are steadily becoming a driving force in the economy. From running small shops to starting digital-first businesses, women today are taking bold steps toward financial independence. To support this journey, the Government of India has introduced multiple loan schemes designed especially for women.

These schemes not only provide easy access to finance but also encourage women to pursue entrepreneurship, expand their businesses, and contribute to the nation’s growth.

Why Special Loan Schemes for Women

Even though the number of women entrepreneurs is rising, access to funding is often a challenge. Many women face hurdles such as:

• Lack of collateral for loans
• Limited financial literacy
• Higher dependence on informal funding sources
• Hesitation from traditional banks to approve loans

To bridge this gap, the government has launched several schemes with lower interest rates, flexible repayment options, and easier eligibility criteria for women.

Just like modern tools such as POS billing software are simplifying business management for small shop owners, these loan schemes make access to capital easier for women entrepreneurs.

Top Government Loan Schemes for Women in India

Here are some of the most popular and widely used government-backed loan schemes for women:

1. Stand-Up India Scheme

• Launched by the Government of India to support women and SC/ST entrepreneurs.
• Provides loans between ₹10 lakh to ₹1 crore for setting up new businesses.
• Focuses on manufacturing, trading, and service sector enterprises.
• Offers financial support for working capital and asset creation.

2. Mudra Yojana for Women

• Part of the Pradhan Mantri Mudra Yojana (PMMY).
• Provides collateral-free loans up to ₹10 lakh.
• Categorized into three types:
  • Shishu (up to ₹50,000)
  • Kishor (₹50,000 to ₹5 lakh)
  • Tarun (₹5 lakh to ₹10 lakh)
• Ideal for women running small shops, beauty parlors, tailoring units, food businesses, or small-scale industries.

3. Annapurna Scheme

• Designed for women entrepreneurs starting food catering businesses.
• Offers loans up to ₹50,000.
• Covers expenses like working capital, utensils, and raw material purchase.

4. Dena Shakti Scheme

• Available through Dena Bank (now part of Bank of Baroda).
• Provides loans up to ₹20 lakh for women in manufacturing, agriculture, micro-credit, and retail trade.
• Comes with concessional interest rates (0.25% lower for women borrowers).

5. Bhartiya Mahila Bank Business Loan

• Focuses exclusively on women-led businesses.
• Provides loans up to ₹20 crore for manufacturing enterprises.
• Smaller loans up to ₹1 crore are also available under the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) scheme.

6. Mahila Udyam Nidhi Scheme

• Provided by Punjab National Bank and SIDBI.
• Offers loans up to ₹10 lakh to support small-scale businesses.
• Helps women entrepreneurs modernize their ventures and adopt new technology.

7. Stree Shakti Yojana

• Offered by SBI to encourage women entrepreneurs.
• Provides loans up to ₹50 lakh with interest concessions.
• Women must have at least 50% ownership in the business to apply.

Benefits of Government Loan Schemes for Women

1. Easy Access to Finance – Special eligibility norms designed to make loans accessible for women.
2. Low or Zero Collateral – Most schemes are collateral-free.
3. Reduced Interest Rates – Concessional interest rates help reduce repayment burden.
4. Encourages Entrepreneurship – Motivates women to start or expand businesses confidently.
5. Supports Economic Growth – Women-led enterprises create jobs and empower communities.

Women Entrepreneurs and POS Software

For women entrepreneurs managing retail stores, boutiques, salons, or small cafés, financing is just the first step. The next big challenge is managing operations efficiently. That’s where POS software comes in.

With QueueBuster’s POS billing software, women business owners can:

• Automate billing and invoicing
• Track inventory in real-time
• Accept multiple payment modes (cash, UPI, cards, wallets)
• Generate GST-compliant reports instantly
• Save time and focus more on growing their business

By combining government loan schemes with smart digital tools like POS systems, women entrepreneurs can scale faster and build sustainable businesses.

Final Thoughts

The Government of India’s loan schemes for women are more than just financial assistance – they are enablers of empowerment. By providing easy access to capital, these schemes allow women to dream big, take risks, and run businesses confidently.

For women already running shops or planning to start new ventures, these schemes, coupled with modern solutions like POS billing software, create the perfect ecosystem for success.

If you’re a woman entrepreneur looking to start or grow your business, explore these schemes and empower your journey with the right financial and digital tools.