Tamil Nadu government’s favorable business environment and schemes help entrepreneurs to set up their business in the state. One such scheme is Mahila Udyam Scheme which aims to provide soft loan assistance to women entrepreneurs to set up business or industrial entity in small scale sector as well as undertaking service activities those are eligible to get assistance under SIDBI’s refinance scheme.
- Soft loan up to 25% of the project cost with amount limit of Rs 2.5 lakh per project
- Project cost for new business is limited to Rs 10 lakh
Third party guarantee is accepted by the banks. However, no collateral is necessarily needed to avail soft loans.
Repayment can be done within 10 years of obtaining loans.
- Any new project in small or tiny scale sector for manufacturing, processing of goods except Road Transport Operators
- Existing business entities in tiny or small scale sectors for undergoing modernization, technology upgradation and expansion can avail
- Sick units in tiny as well as small scale sectors including all service enterprises which potentially are in workable condition
- Al thoughprojects which are getting financial benefits from any central or state government except for State investment subsidy are not eligible to apply for this scheme
How to avail
Commercial banks like PNB, Canara Bank are giving this loan. Kindly contact your nearest bank for more details on application.