Women entrepreneurs are the future of the business world. They possess the same skills and ambition as their male counterparts but often face unique financial challenges. In the past, women business owners have struggled to access the capital they need to succeed. However, these challenges are slowly being addressed with the increasing availability of collateral-free business loans for women. This type of loan can benefit women entrepreneurs who lack the resources to provide collateral or don’t want to risk their personal assets. A collateral-free business loan can provide the necessary capital to get a business off the ground, purchase equipment, hire staff, or invest in marketing.
Encouraging women entrepreneurs is important to economic development because their presence directly affects raising the standard of living, building jobs, and allowing them to be more economically independent, resulting in better performance at a societal level. So, let us now know more about what Collateral-Free Business Loan for Women means.
Collateral-free business loans can be a game-changer for women entrepreneurs. Access to capital can open up many opportunities to grow their businesses and achieve success. Hence, women can invest in their businesses without risking their personal assets. Collateral-free business loans for women can be secured from Kinara Capital. With Kinara, the application process is easy and flexible.
Women entrepreneurs can apply for a business loan online in 1-minute, and the amount will get disbursed in 24-hours. The RBI Registered, Systemically Important NBFC firm recognise the importance of supporting female entrepreneurs. By providing access to capital, Kinara helps women realise their business dreams and make a lasting impact on their communities.
For women entrepreneurs, collateral-free business loans can be the key to success. These loans can help them take their businesses to the next level and maximise their potential. Women entrepreneurs looking for business financing can consider applying for a Collateral-free Business Loan for women from Kinara Capital to grow their businesses.
Opting for a collateral-free Business Loan offers numerous benefits, some of which are listed below.
Collateral-free business loans are a great way for small business owners to obtain working capital without having to use their own assets as collateral. It provides an easy and convenient way to get the funds needed to expand a business, make equipment purchases, and working capital. Collateral-free business loans are generally unsecured and do not require any property collateral. Therefore, MSMEs can use it to fund short-term projects or cover unexpected expenses. This makes them ideal for entrepreneurs who need more funds to cover these expenses.
Women who are in the initial few years of their venture need a significant amount of funding to take their businesses to the next level. Collateral-free Business loans for women provide a great way to acquire the necessary funds to get their businesses going. However, a good credit score is a must-have. Business loans for women are usually approved based on their business plans.
Banks and lenders may relax the credit score requirements for MSMEs that have a solid business proposition and growth plan. Therefore, MSMEs with a great business idea and can be well on their way to securing the necessary funding to make it a reality.
Women entrepreneurs can easily access Collateral-free Business loans from Kinara Capital, as the process is quick and convenient. The only requirement is submitting basic documents such as business proof, KYC documents, bank account statements and financial statements. Then the loan amount will get disbursed in the applicant’s bank account within 24-hours. This makes the loan a great option for women entrepreneurs seeking financial support to grow their businesses.
With the easy availability of collateral-free business loans, women entrepreneurs can find the financial support they need to turn their dreams into reality. The Government of India has launched several initiatives to support MSME women entrepreneurs with the aim of empowering them and boosting their development. Some of the schemes available for women entrepreneurs are:
The Government of India’s Mudra Loan scheme for women provides a platform for female entrepreneurs to pursue their business dreams. The scheme enables them to access collateral-free loans for their small businesses. These loans are available in three categories, Shishu Loan, Kishor Loan, and Tarun Loan, depending on the business requirement and stage of the enterprise.
The Shishu loan offers up to Rs. 50,000 to businesses in the initial stages of development, while the Kishor loan provides up to Rs. 5 lakhs to businesses seeking to improve their services. For businesses that are well-established and looking to expand, the Tarun loan offers up to Rs. 10 lakhs. The Mudra Loan scheme is an invaluable resource for women entrepreneurs who may need more resources to access traditional financing. With the help of this scheme, they can now access the funds they need to start, grow and expand their businesses.
The Government of India, through the Women Development Corporation, has introduced the Udyogini Scheme to promote and support women entrepreneurship. This program provides financial assistance to illiterate women in rural and underdeveloped areas, empowering them to pursue their entrepreneurial ambitions. Through the Udyogini Scheme, these women are able to access collateral-free business loans, giving them the economic freedom to start and grow their own businesses. This scheme has enabled countless women to become self-employed and financially independent, helping to reduce gender inequality and build a more inclusive society.
The Government of India’s Annapurna Yojana is a key initiative providing financial support to women-owned micro, small and medium enterprises (MSMEs). Under this scheme, women entrepreneurs who are looking to set up a food catering business can apply for a collateral-free business loan of up to Rs. 50,000. This amount can be used to cover the cost of essential equipment, such as utensils, mixer cum grinder, hot case, tiffin boxes, and working tables.
To make it easier to access the loan, the Government of India has waived off the payment of the first month’s EMI. The loan has to be repaid in 36 monthly instalments, with an interest rate determined by the market rate and the concerned bank. This scheme provides a great opportunity for women MSMEs to secure the necessary capital for their businesses, allowing them to get started and grow their enterprises.
The Dena Shakti Scheme is an initiative from the Government of India that is specifically tailored to support women entrepreneurs in the country. Under this scheme, women entrepreneurs in agricultural, manufacturing, microcredit, and retail store are eligible for collateral-free business loans of up to Rs. 20 lakh. Moreover, the scheme offers a concession of 0.25% on the interest rate to incentivise women entrepreneurs to take advantage of the loan facility.
Additionally, women entrepreneurs can avail of a loan of up to Rs. 50,000 under the microcredit category, thus providing them with greater access to capital and resources to start or expand their businesses. This government scheme for women is designed to support and empower women to take up entrepreneurship, thereby contributing to the economic development of the nation.
The GOI has launched several schemes for women to help them create and sustain their own businesses. Pradhan Mantri Rojgar Yojana (PMRY) is one such scheme initiated in 1993 to provide unemployed Indian youth with the opportunity to start their own business ventures. Through this scheme, the Government provides a loan of up to Rs.1 Lakh without collateral to those engaged in manufacturing, trade and services sectors. The loan can be repaid over a period of 3 to 7 years.
The scheme has been a game changer for many women entrepreneurs in India. It helped them become financially independent and take their business to the next level. This scheme has also empowered many women in rural India to become self-sufficient. It has also encouraged more women to take the entrepreneurial route and start their own businesses.
To apply for collateral-free business loans for women at Kinara, follow these simple steps:
Collateral-free business loans are the easiest to acquire. These loans open unlimited opportunities for MSMEs businesses to grow. Small businesses get several advantages, especially for women. Some of the advantages include being a role model for young women, increasing a family’s income, providing employment to the community and many more. Female entrepreneurs can contribute to economic growth in developing countries and clearly represents an untouched potential. Most women do not get a share in their family property, making it difficult for them to get a loan. Therefore, collateral-free loans become the best option for them.
Kinara Capital is a last-mile lending firm that strongly believes in empowering women and supporting them in every possible way. To help women entrepreneurs to fulfil their dreams, Kinara has designed a special loan for women. The HerVikas program provides an automatic discount on the interest rate to women-owned MSMEs without submitting any additional documents.
The top reason is that you do not have to pledge any collateral. Easy documentation and quick approval are the other main reasons for choosing this type of loan.
You can acquire Unsecured business loans based on your income. The amount ranges from Rs. 1 Lakh to 30 Lakh without submitting any property collateral. Kinara’s HerVikas program is one of the best options for women entrepreneurs. They can quickly get an automatic discount on the interest rate without submitting any additional documents.
To apply for a business loan, start by taking the 1-minute eligibility check through myKinara digital app. If you clear the business loan eligibility, you can take the loan forward by providing personal and business KYC documents to complete the process. A Kinara representative will help you with the rest of the process in the vernacular at your business place. Also, we have a dedicated customer support team available between Monday – Friday (9.30 AM – 6.00 PM) at our toll free number 1800-103-2683 for any questions or assistance. This ensures that entrepreneurs can get the help they need throughout the loan process.
Your business should fit the business loan eligibility criteria and be part of the manufacturing, trading, or services sector, with a monthly turnover between Rs. 50,000 and Rs. 2 crores to get a business loan. In addition, if you are into Manufacturing businesses, your business should be at least 1 year old. Similarly, if you are into trading or services businesses, your business should be 2 years old.
Yes, women can apply for business loans through vouch as HerVikas at Kinara Capital, which offers special loans for women entrepreneurs.
Women running small businesses, startups, or planning to start one are eligible for Mudra loans as long as the loan amount is under ₹10 lakh and the business falls within the non-corporate, non-farm sector.
The Pradhan Mantri Yojana for women, under schemes like Mudra Yojana, offers financial support to women entrepreneurs to promote small-scale businesses and self-employment.
