Can Women Get Rs 1 Crore Business Loan Without Collateral in India?

Women Get Rs 1 Crore Business Loan: Indeed, women entrepreneurs have started setting up most of the startups and small businesses recently, but access to finance is still one of the things bothering most of them, especially when it comes to collateral-free loans without an offer of property or assets. So can Indian women access a business loan worth Rs. 1 crore without any collateral? Yes, but there are some important things to put in mind.

Government Schemes That Enable It

Collateral-free loans to women for setting up a business worth up to Rs 1 crore in a few cases are introduced under various schemes by the government of India.

One of that schemes is Stand-Up India which makes provision for loans from RS 10 lakh to Rs 1 crore to be granted to women entrepreneurs for setting up greenfield enterprises in the manufacturing, trading, or services sectors. These loans are against the credit guarantee fund schemes, thereby enabling them to be disbursed without requiring third-party collateral.

CGTMSE: Collateral-Free Lending Safety Net for Banks

Another important arm which also enables banks to lend without demanding collateral is the CGTMSE- Credit Guarantee Fund Trust for Micro and Small Enterprises. Thus, loans amounting to Rs 1 crore can be availed by eligible women-led enterprises. The government guarantees up to 85% of the loan amount, thus reducing the risk level for the lender.

More Schemes for Women

Loans for women have been given under various schemes like Cent Kalyani Scheme from the Central Bank of India and Dena Shakti Scheme from the Bank of Baroda. Such schemes have set lower eligibility criteria and reduced interest rates for women who wish to borrow money. Most of these schemes are not at the amount of Rs. 1 crore, but they offer a strong platform for scaling.

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Final Verdict

Yes, it is possible for women to get up to Rs 1 crore in business loans without collateral in India. Thanks to government support and evolving banking policies. However, applicants need to be eligible and have a good business plan and apply through relevant channels.

Disclaimer: Loan approval and terms depend on individual profiles and bank policies. Please verify details with official sources before applying.