By AimIndia Team 
The Pradhan Mantri MUDRA Yojana (PMMY) is a big plan by the Indian government to help small businesses that are not corporations and don’t farm. It started in April 2015 to give micro-entrepreneurs easy loans called Mudra loans.There are three types of loans: Shishu, Kishore, and Tarun. Each type is for a different stage of business growth and needs a different amount of money.The loan amounts can be anywhere from Rs. 50,000 to Rs. 10 lakhs. This helps businesses grow and add to the country’s economy.
The Pradhan Mantri MUDRA Yojana has different types of loans. They are called Shishu, Kishore, and Tarun. The type of loan a business gets depends on its growth stage and how much money it needs. Public and Private Sector Banks, Regional Rural Banks, Micro Finance Institutions, and Non-Banking Financial Companies give these loans. The interest rates are competitive. So small businesses can get loans without too much financial burden.
Objectives
- Make it easy for small business owners to get money.
- Help small businesses get loans so that everyone has a chance to succeed financially.
- Helping businesses grow and hire more people.
- Helping people start their own businesses so they can support themselves.
Full Details Of Pradhan Mantri MUDRA Yojana (PMMY)
| Name of Scheme | Pradhan Mantri MUDRA Yojana (PMMY) |
|---|---|
| Announcement | Government of India |
| State/Union Territory | Nationwide (All States and Union Territories) |
| Implementation | Ongoing (Since 2015) |
| Objectives | Give loans of up to 10 lakh rupees to small businesses that are not corporations and don’t farm. |
| Loan Categories | Shishu (up to Rs. 50,000), Kishore (Rs. 50,001 to Rs. 5 lakhs), Tarun (Rs. 5,00,001 to Rs. 10 lakhs) |
| Interest Rate | Varies as per the lending institution’s policy, based on RBI guidelines. Reasonable rates are charged. |
| Application Process | Online and Offline via Member Lending Institutions (Public and Private Banks, MFIs, NBFCs, etc.) |
| Official Website | www.mudra.org.in |
Eligibility Criteria
- Individuals: Self-employed individuals, artisans, and small business owners.
- Proprietary concerns: Small business entities owned by a single person.
- Partnership firms: Businesses run by two or more partners.
- Private Limited Companies: Small privately owned businesses.
- Public Companies: Larger entities seeking to expand their micro-business operations.
Benefits
- Shishu Loans: Loans up to Rs. 50,000 for businesses in the initial stages.
- Kishore Loans: Loans between Rs. 50,001 and Rs. 5 lakhs for established businesses seeking to expand.
- Tarun Loans: Loans ranging from Rs. 5 lakhs to Rs. 10 lakhs for well-established businesses looking to scale up.
- Affordable interest rates: The pradhan mantri mudra yojana interest rate is determined by the lending institutions, ensuring reasonable charges.
- No collateral required: Loans under the scheme do not require any collateral or security.
- Easy application process: Applicants can easily apply for loans through the pradhan mantri mudra yojana online apply process.
Required Documents
- Identity Proof: Voter ID, Driving License, PAN Card, Aadhaar Card, Passport, etc.
- Address Proof: Recent utility bills, Voter ID, Aadhaar Card, Passport, etc.
- Business Proof: Relevant licenses, registration certificates, and other documents related to the business.
- Financial Documents: For Kishore and Tarun categories, financial statements, balance sheets, and tax returns may be required.
How to Apply
- Visit the Official Website: Go to the Pradhan Mantri Mudra Yojana’s official website or the www.mudra.org.in online apply portal.
- Select the Loan Type: Choose between Shishu, Kishore, or Tarun based on your business needs.
- Fill in the Application Form: Complete the pradhan mantri mudra yojana application form with personal and business details.
- Submit Required Documents: Attach the necessary documents such as identity proof, business proof, and bank statements.
- Choose a Lender: Select your preferred lender from the list of participating financial institutions.
- Submit the Application: After filling out all the details and attaching the documents, submit the application online.
- Follow Up: After submission, an application number will be generated. Keep this for future reference.
The Pradhan Mantri Mudra Yojana is a significant initiative by the government to empower small businesses and entrepreneurs. By providing accessible financial assistance, the scheme aims to foster economic growth and create employment opportunities. Whether you’re looking to start a new venture or expand an existing one, the Mudra loan is designed to meet your needs. For more detailed information or to apply, visit the official website or check your eligibility through the mudra loan eligibility criteria.