Recent Trends in Entrepreneurship: Women Entrepreneurship

 Recent Trends in Entrepreneurship 

Women Entrepreneurship

Introduction: 

Women entrepreneurs may be defined as the women or a group of women who set up and operate her own enterprise. In other words women entrepreneurs are self employed individuals who establish their enterprise and involve themselves for economic activities. Earlier women were confined in the four walls of houses and their activities were mainly related to household work, without any socio-economic independence. Today women are marching ahead in almost every field and generating employment not only for themselves but also for others.

Definition: 

Women entrepreneurs may be defined as a woman or a group of women who initiate, organise and run a business concern.

Schumpeter – “Women entrepreneurs are those women who innovate, initiate or adopt a business activity”.

Government of India – “A woman entrepreneur is defined as an enterprise owned and controlled by a woman having a minimum financial interest of 51 percent of the capital and giving at least 51 percent of the employment generated in the enterprise to women.”

Frederick Harbison – “Any women or group of women which innovates, initiates or adopts an economic activity may be called women entrepreneurship”.

According to J. Schumpeter, “Women who innovate, initiate or adopt business actively are called women entrepreneurs.”

Kamal Singh, a woman entrepreneur from Rajasthan, has defined woman entrepreneur as “a confident, innovative and creative woman capable of achieving self economic independence individually or in collaboration, generates employment opportunities for others through initiating, establishing and running the enterprise by keeping pace with her personal, family and social life.”

In short, women entrepreneurs are those women who think of a business enterprise, initiate it, organise and combine factors of production, operate the enterprise and undertake risks and handle economic uncertainty involved in running it.

Women are engaged in business due to many factors which encourage them to have their own dignity and self esteem in the society. Self dependence, career consciousness and self respect etc are the key factors which motivate women entrepreneurs to choose a profession as a challenge. These are generally said as pull factors. But sometimes women join the business enterprise due to family circumstances and take up the responsibility of business. These are called as push factors. Thus pull and push factors encourage women to set up a new business or take up the existing one and stand on their legs.

 

Women entrepreneurs are playing a key role in the economic development of any developing country. They have been recognised as an important source of economic growth. Women entrepreneurs are creating new jobs not only for themselves but also for others. They contribute to the economic well being of the family and communities, women empowerment and reduction of poverty and thus the role of women entrepreneurs in economic development is inevitable. Their role is also being recognised by governments and other non-governmental organisations (NGOs), across the globe, through the promotion of various schemes, incentives and plans.

Characteristics of Woman Entrepreneur: 

A woman entrepreneur has to perform all the activities involved in establishing an enterprise. These include idea generation and screening, determination of objectives, project preparation, product analysis etc. The following are the important characteristics of women entrepreneur:

 

1) Employment to women: 

A woman entrepreneur provides at least 51% of the employment generated in her enterprise to women. Thus she plays a key role in the economic development of a country by generating employment opportunities for the women in the society.

 

2) Risk Taker: 

Woman entrepreneur assumes the risk of the business. Risk means uncertainty. It is the condition of not knowing the outcome of a decision or activity. She takes calculated risk and faces uncertainty confidently and assumes risk.

 

3) Good Organiser: 

Women entrepreneurs have remarkable skills in organising work and people. They make objective selection of individuals in conformity with their skill in solving specific problem. They bring together various factors of production, minimise losses and reduce the cost of production. A woman entrepreneur formulates business plans and ensures their execution. She combines various factors of production and then produces a product for market.

 

4) Foresight: 

Women entrepreneurs have a good foresight to know about future business environment. In other words, they well visualize the likely changes to take place in market, consumer attitude and taste, technological developments etc. and take necessary and timely actions accordingly.

 

5) Decision Maker: 

A woman entrepreneur has to take various decisions in performing activities of her enterprise. Therefore she must be innovative in decision making process. The true entrepreneurship requires creative decision making, rational approach, problem solving ability and ability to take quick and correct decision. The profitability and productivity of an enterprise directly depends upon the decision making capacity of an entrepreneur.

 

6) Self-Confident: 

A woman entrepreneur should be self confident. She must have faith in herself and in her abilities. She should have ability to tackle the problems independently with confidence. Only a self confident entrepreneur can trust others and can delegate authority to others. She should have the confidence to implement the change with her relevant knowledge, skills and experience.

 

7) Visionary: 

Vision is the ability to see the end result of goals while striving to achieve them. Every entrepreneur has a vision for growth and development. A woman entrepreneur incubates new ideas, starts her enterprise with these ideas and provides added value to society based on her independent initiative. With persistence and determination, the she develops strategies to change the vision into reality.

 

8) Hard Work: 

Women entrepreneurs work very hard to succeed. Most of women entrepreneurs work hard in the beginning and thus same becomes their habit for the lifetime because they believe that hard work is the key to success.

 

9) Optimistic: 

Women entrepreneurs are optimistic in their approach. They do not get disturbed by the present problems faced by them. They become optimistic for future that the situations will become favourable to business in future.

 

10) Creative: 

An entrepreneur must have the qualities of creative thinker. A woman entrepreneur must be reasonably intelligent and should have creative thinking so that she must be able to solve various problems and handle the critical situations in order to deal with them.

 

11) Interpersonal Skills: 

A woman entrepreneur is a person who comes across with different persons. She has to deal with many types of persons. She is the person who gets the things done through with the help of others. So a successful woman entrepreneur possesses the interpersonal skills of dealing with people.

 

12) Leadership and Team Spirit: 

A woman entrepreneur must have the ability to build successful teams and thus working in teams. She should be good at building and managing successful teams. Leadership quality is the most important characteristic of a woman entrepreneur. It is the process of influencing and supporting others to work enthusiastically towards achieving objectives.

Need of Women Entrepreneurship

In modern days, particularly in India, there is a great need for women entrepreneurs. Several factors are responsible for compelling the women members of the family to set up their own ventures.

These factors suggesting their need can be broadly classified into two groups:

I) Motivational factors or needs and

II) Facilitating factors or needs.

(I) Motivational Needs:

The following are the motivational needs for which modern women are motivated to become entrepreneurs:

1) Economic Necessity:

In business, the entry of women is relatively a new phenomenon. Because of the break-up of the joint family system and the need for additional income for maintaining the living standards in the face of inflation or rising prices, women have started entering the most competitive world of business. Thus, because of the economic necessity, women have begun entering business field for earning some income and increasing their family income in modern days of inflation.

2) Desire for High Achievement:

Another motive force compelling women to enter business world is their strong desire for high achievement in their life. In modern days, though women are educated, they are not able to find jobs in the market place or they may not be able to go out of their homes for working somewhere else because of family problems.

Therefore, a woman is tempted strongly by a desire to achieve something high and valuable and prove herself as an asset and not a liability to the family. This is the strongest motivating force for a woman to become an entrepreneurs.

3) Independence:

Another strong motive force compelling a woman to become an entrepreneur is to lead an independent life with self-confidence and self-respect. The ownership and control of a successful business provides a woman entrepreneur a prestigious status, personal reputation and a sense of independence in the society.

4) Government Encouragement:

The Government and non-government bodies have started giving increasing attention and encouragement to women’s economic conditions through self- employment and business ventures.

They have formulated various policies and programmes and introduced various incentive schemes to promote women entrepreneurs in the country. Such encouragement and incentive schemes have induced women to undertake business mentors.

5) Education:

Women have been taking up various kinds of technical, vocational, industrial, commercial and specialised education so as to qualify themselves to be self-employed in some kind of trade, occupation, vocation or business. Facilities are also being provided to women in areas where they can grow and blossom as persons in their own right. Women have proved in modern days that they are no less than men in efficiency, hard work or intelligence or even they can surpass men in several fields.

6) Model Role:

Women, like men, are also desirous of contributing their might to the economic development of their country. Similarly, our women in India would like to play a key role model. They have already entered other fields like politics, education, social field, administration, etc. Now they have started entering the business field where they can also show their importance as in other fields.

7) Family Occupation:

Family occupation is an important factor motivating a woman member to participate in the family business, along with her husband and other members of the family. There is a great need for women to undertake economic activity or business of the family and support their families in family occupation or family business so as to reduce the expenses of the family business and increase its income.

8) Employment Generation:

Another influencing factor that motivates women to become entrepreneurs is the creation of employment opportunities. Women entrepreneurs generally take up labour intensive small scale and village industries or handicrafts and they have high potential in employment generation. Therefore, they serve as a solution to the widespread problem of women unemployment to some extent.

9) Self Identity and Social Status:

Women desire to enjoy some social status and recognition in the society. Women entering business can achieve such a position of self-identity and recognition of social status because they come in contact with high level officers, ministers, authorities, and others holding high positions.

10) Growing Awareness:

With the spread of education and the growing awareness among women, the women entrepreneurs have been increasing, not only in the kitchen extension activities i.e. the 3 Ps viz. pickles, powder (masala) and papad or the traditional cottage industries, such as toy-making, basket-making etc. as they require less technical know-how, but they are entering also into engineering, electronics and many other industries which require high level technical skill. Thus, women entrepreneurs are found in such technical industries as T.V. capacitor, electronic ancillaries, and small foundries.

Thus, in modern days, women do not want to stay within the four walls of a house but they want to become, like their male, counterparts, achievement-oriented, career-minded and economically independent so that they would be able to provide costly high level medical and technical education to their children and, lead a high standard of living in their life.

(II) Facilitating Needs:

Facilitating needs are the needs for providing various facilities for the successful working of the women enterprises.

These are given below:

1) Adequate Financial Facilities:

Finance is the life-blood of any business, whether it is run by men entrepreneurs or women entrepreneurs. The Government has set up industrial estates for women. It should therefore provide the required financial facilities to the women entrepreneurs so as to motivate them to start their business or industry in such estates.

Several financial schemes like Mahila Udyam Nidhi, Marketing Development Fund etc., have been set up only for women entrepreneurs. In addition, banks and development finance institutions also provide financial assistance to women entrepreneurs. Women will be tempted to start their own business ventures when such facilities are easily available to them.

2) Innovative Thinking:

Innovative thinking in women motivate them to become entrepreneurs. Women who have entrepreneurial talent and who have innovative thinking are naturally induced to take up small business or industry to convert their innovating and talent into a position of entrepreneurship instead of employment.

3) Support and Cooperation of the Family:

Another important factor that induces women to take up entrepreneurship is the full co-operation and encouragement of the family members, particularly, husband, father-in-law and mother-in-law, grown-up sons and daughters and other members, if any. In a modern educated family, women members generally enjoy more liberty and economic freedom. So naturally, they will be anxious to have their own source of income from their business.

4) Availability of Experienced and Skilled Women:

Women entrepreneurs would be able to provide experienced and skilled people to family occupations. Therefore, women will be motivated to become entrepreneurs.

5) Development Programmes:

The Central and State Governments have started several development and training programmes particularly for women so as to enable them to become entrepreneurs. Such training and development programmes provide all types of facilities to women to start their business independently.

Problems faced by Women Entrepreneurs: 

Women entrepreneurs faced many problems in their efforts to develop the enterprise they have established. Basically, women entrepreneurs encounter two types of problems: general problems of entrepreneurs and problems specific to women entrepreneurs. The main problems faced by women entrepreneurs may be analyzed as follows:

 

1) Problems of Finance: 

Finance is regarded as the ‘life-blood’ for any organization whether it is big or small. Obtaining bankers’ support, managing the working capital, deficiency of credit resources are the problems which still remain in the domain of males. Studies have shown that even educated modern women entrepreneurs in advanced and developing economies experienced difficulties in obtaining loans. Banks  discourage women  borrowers  believing that  they  will  leave  their  business  and   become housewives again. Although the procedure of obtaining the loan has been simplified to a great extent but for women it still remain a challenge. Thus, women entrepreneur fall due to the shortage of finance.

 

2) Scarcity of Raw material: 

women entrepreneurs find it difficult to obtain raw materials and other necessary inputs. The failure of many co-operatives in 1971, such as those engaged in business basket making was mainly due to the insufficient availability of forest-based raw material. High prices of raw materials and getting raw material at the minimum of discount are the major problems which are faced by entrepreneurs.

 

3) Competition: 

Many of the women enterprise has unorganized set up. They have to face severe competition from well settled industries. So this type of cut- throat competition, results in the liquidation of women enterprise.

 

4) Lack of Education: 

In India literacy percentage among women is very low. Due to lack of proper education majority of women are not aware about the latest technological developments, marketing knowledge, innovative schemes, alternative markets etc. Lack of information and experience creates problems in setting up and running of business enterprises.

 

5) Low Risk-bearing Ability: 

Women have as compare to men, low ability to bear economic and other risks because they have led a protected life. Many times they face bias attitude in the selection of entrepreneurial training. All these dim their capacity to bear risk involved in carrying an enterprise. Risk- bearing is an essential requisite of a successful entrepreneur.

 

6) Family Responsibilities: 

In India, it is mainly a duty of women to look after the kids and other members of the family. Her commitment in family leaves little energy and time for business. In case of married women, she has to maintain a balance between her business and family. Their success in this regard also depends upon supporting husband and family. Without the support and approval of husband, the female entrepreneur cannot succeed. Accordingly, the educational level and family background of husband positively influence women entry into business.

 

7) Male-dominated Society: 

The constitution if India speaks of quality between male and female. But in reality, women are looked upon as weak section of society in all respects. Womens are not treated equal to men. Thus, in turn, serves as a barrier to women entry into business.

 

8) Absence of Entrepreneurial Aptitude: 

As per study, involvement of women in the small scale sector as owners stands at mere 7 percent. Many women take the training by attending the Entrepreneurship Development Programmes without an entrepreneurial bent of mind.

 

9) Inefficient Arrangements for Marketing and Sale: 

For marketing the products women entrepreneurs have to be dependent upon middlemen who add heavy profit of margin and that is the main reason for higher selling prices of their product. Although the middlemen exploit the women entrepreneur, elimination of middlemen is difficult, because it involves a lot of running about. Further, women entrepreneur find it difficult to capture the market and make their products popular. In order to make company successful and profitable, the entrepreneur must be able to sell his product and services. To attain this purpose access of market is essential as access to finance. Women entrepreneurs, by and large continue to face the problem of marketing of their products. So it is one of the main problems for women entrepreneurs.

In addition to the above problems, inadequate infrastructure, shortage of power and technical know-how, lack of training, credit facilities and other economic and social barriers have restricted the growth of Women Entrepreneurship in India.

 

Suggestions for growth of Women Entrepreneurs: 

The role of women entrepreneur in economic development is inevitable. Their role is also being recognized and steps are being taken to promote women entrepreneurship. But women entrepreneurship must be moulded properly with entrepreneurial traits and skills to meet the changes in trends & challenges of global markets and also be competent enough to sustain and strive for excellence in the entrepreneurial arena. Women entrepreneur need to be given confidence, independence and mobility to come out of their paradoxes. The following are the suggestions for the growth of women entrepreneurship:

 

1) Change in Social Attitudes: 

Needless to say mere creation of jobs for women is not sufficient to promote women entrepreneurship rather it requires the change in the attitudes. Societal change is a gradual and slow process. Unless attitudes are changed, credit allocation to women or subsidies will not bring much change. Instead of focusing on incentives and exemptions to women entrepreneurs, government should start the programs which actually change social outlook of the women entrepreneurs.

 

2) Training and Development Facilities: 

Training and development is necessary for the growth of women entrepreneurship. Training facilities help the women entrepreneurs to improve their professional skills and undertake the projects which are profitable for the business enterprise. Women entrepreneurship must be moulded properly with entrepreneurial traits and skills to meet the challenges of global markets.

 

3) Easy Financing: 

The commercial banks and other financial institutions should create special cell for providing easy finance to women entrepreneurs. They should be provided finance at concessional rates of interest and at easy repayment basis.

 

4) Proper Supply of Raw Material: 

Women entrepreneurs should be ensured of proper supply of scarce raw material on priority basis. They should provide the raw material at subsidised cost so that they can make the products cost competitive and reasonable.

 

5) Self Recognition and Decision Making Authority: 

Women entrepreneurs have to play dual roles as a family organiser as well as manager of the women enterprise. Therefore, they must be empowered to take all major decisions of the family and enterprise. The family members of the women entrepreneurs should provide emotional support, help, sharing of domestic activities etc for the effective functioning of their enterprise. Appropriate encouragement and need based assistance should be provided by the family members.

 

6) Identification of Projects: 

One of the biggest problems of women is the lack of entrepreneurial aptitude. Government should assist women to acquire entrepreneurial aptitude by providing technology and information which helps aspiring women to identify projects. Government and NGOs should encourage to conduct exhibitions and seminars and organise skill development programs for entrepreneurs to offer incubator facilities where an entrepreneur can manufacture a product without investing on infrastructure. They should also promote SMEs of women to help the aspiring women to identify their projects.

 

7) Setting up marketing cooperatives: 

Most of the women entrepreneurs face problems in marketing their products or services. Due to lack of mobility and heavy competition in the market they have to depend on middlemen. Middlemen take a huge amount of money to market their products. Thus, proper encouragement and assistance should be provided to women entrepreneurs for setting up marketing cooperatives. These cooperatives shall help in getting the inputs at reasonable rate and they are also helpful in selling their products at profitable prices. Hence, middlemen can be avoided and women entrepreneurs can derive the benefits of enterprise.

 

Remedies to Solve the Problems of Women Entrepreneurs

The following measures may be taken to solve the problems faced by women entrepreneurs in India:

• In banks and public financial institutions, special cells may be opened for providing easy finance to women entrepreneurs. Finance may be provided at concessional rates of interest.
• Women entrepreneurs’ should be encouraged and assisted to set up co-operatives with a view to eliminate middlemen.
• Scarce and imported raw materials may be made available to women entrepreneurs on priority basis.
• Steps may be taken to make family members aware of the potential of girls and their due role in society.
• Honest and sincere attempts should be undertaken by the government and social organizations to increase literacy among females.
• In rural areas self-employment opportunities should be developed for helping women.
• Marketing facilities for the purpose of buying and selling of both raw and finished goods should be provided in easy reach.
• Facilities for training and development must be made available to women entrepreneurs. Family members do not like women to go to a distant places for training.
  Therefore mobile training centers should be arranged. Additional facilities like a stipend, good hygienic chreches, transport facilities, etc., should be offered to attract more women to training centres.

Measures Taken for the Development of Women Entrepreneurship in India

Women empowerment should be one of the primary goals of a society. Women should be given equality, right of decision-making and entitlements in terms of dignity. They should attain economic independence. The most important step to achieve women empowerment is to create awareness among women themselves.

Development of women can be achieved through health, education and economic independence. Realizing the importance of women entrepreneurs, Govt. of India has taken a number of measures to assist them. Some of the important measures are outlined as follows:

TRYSEM

Training of Rural Youth For Self Employment was launched on 15th August 1979 which is still continuing. The objective of TRYSEM is to provide technical skills to rural youth between 18 and 35 years of age from families below the poverty line to enable them to take up self employment in agriculture and allied activities, industries, services and business activities. This is a sub scheme of IRDP.

Training given through ITIs, Polytechnics, Krishi Vigyan Kendra, Nehru Yuva Kendras etc has helped many rural women set up their own micro entreprises with IRDP assistance.

BANKS

Banks particularly commercial banks have formulated several schemes to benefit women entrepreneurs. These includes Rural Entrepreneurship Development Programmes and other Training programmes, promotion of rural non-farm enterprise, women ventures etc.

NABARD

NABARD as an apex institution guides and assists commercial banks in paying special attention to women beneficiaries while financing. It has also been providing refinance to commercial banks so as to help the latter institutions to supplement their resources which could be deployed for the purpose of financing women beneficiaries.

INDUSTRIAL POLICY

The new Industrial policy of Government has specially highlighted the need for conducting special entrepreneurship programme for women.

INSTITUTIONS and VOLUNTARY ASSOCIATION

Several voluntary agencies like FICCI Ladies Organization (FLO), National Alliance of Young Entrepreneurs (NAYE) and others assist women entrepreneurs.

NAYE has been a leading institution engaged in the promotion and development of entrepreneurship among women. It convened a conference of women entrepreneurs in November 1975.

NATIONAL POLICY FOR THE EMPOWERMENT of WOMEN, 2001

As to the commitments made by India during the Fourth World Conference on women held in Beijing during September, 1995, the Department of women and children has drafted a national policy for the empowerment of women. This is meant to enhance the status of women in all walks of life at par with men.

Assistance to Women Entrepreneurs Entrepreneurship does not differentiate the sex. A number of facilities and assistance are offered to the entrepreneurs. However, certain additional incentives or facilities offered to women entrepreneurs are discussed as follows.

Small Industrial Development Organisation (SIDO)

SIDO through a network of SISIs conduct the EDPs exclusively for women entrepreneurs. The aim is to develop entrepreneurial traits and qualities among women and enable them to identify entrepreneurial opportunities etc.

National Small Industries Corporation (NSIC)

The H.P. scheme of NSIC provides preferential treatment to women entrepreneurs. It also conducts Entrepreneurs and Enterprise Building programmes for women.

Industrial Development Bank of India (IDBI)

The schemes of IDBI for women entrepreneurs are summarized as follows:

Promoter’s Contribution: The IDBI set up the Mahila Udyan Nidhi (MUN) and Mahila Vikas Nidhi (MVN) schemes to help women entrepreneurs. IDBI conduct programmes of training and extension services through designated approved agencies and association with other development agencies like EDII, TCOs, KVIC etc.

Mall Industries Development Bank of India (SIDBI)

SIDBI has special schemes for financial assistance to women entrepreneurs. It provides training and extension services. It gives financial assistance at concessional terms in setting up tiny and small units.

Commercial Banks

The “Stree Shakthi Package Scheme” of SBI provides a package of assistance to women entrepreneurs. The consultancy wings of SBI give guidance on project identification and project viability.

The program of assistance such as repair and servicing, photocopying, dry cleaning, retail trade business enterprises, poultry farming, tailoring, etc. The Bank of India has introduced a scheme known as ‘ Priyadarshini Yojana’ to help women entrepreneurs.

Schemes for Women Entrepreneurs

Women are becoming more active in the sphere of entrepreneurship and developing it in a dynamic way. Women have the ability to change things when they want to and they have been acknowledged for being quite constant in their growth. Women who want to work for themselves and start a business are encouraged in today’s world because of the advances their gender has achieved.

For these women who own MSMEs, the government and public institutions across the country are offering lucrative incentives to promote them and make it simpler for them to receive loans. There are age restrictions, loan limitations and conditions associated with these loans, which we urge you review thoroughly before proceeding with the loan.

However, in a nutshell, let us look at how various organisations support women through various schemes.

In India, there are nine different schemes for women entrepreneurs.

Annapurna Project

This is loan assistance for women in the food catering sector who are just starting out with their small enterprises. The loan enables these women entrepreneurs to use it for capital needs such as purchasing equipment and utensils, establishing vehicles and so on.

Women can sell packaged food items and snacks under this programme, which is one of the most typical companies that women entrepreneurs seek out and flourish in since it is something that housewives have been handling their entire lives and are used to. This increases their sales since they now have access to more finance and more items to help them launch their business than they could previously. The plan has a lending ceiling of ₹50,000.

Business Loan From Bharatiya Mahila Bank

Business Loan from Bharatiya Mahila Bank is the banking plan designed to support women and their enterprises on a wide scale. Women have dabbled in different industries and are striving for success continuously. The aim of this bank is to empower women economically with a borrowing limit of `₹20 crores.

Mudra Yojana Programme

It is a Government of India project that aims to enhance the status of women in India by offering business loans and other support so that they may become financially independent and self-sufficient. They will be handed Mudra cards, which act like credit cards and have a withdrawal limit of 10% of the loan amount, if the loan is approved.

This programme offers numerous different sorts of programmes according on the type of business, the extent of expansion and the loan goal. The government’s lending ceiling under this plan is ₹10 lakhs.

Orient Mahila Vikas Yojana

This programme is for women who own 51% of a company’s stock individually or collectively as a private concern. This is an excellent chance for these stakeholders to assist in the expansion of their firm and the advancement of their sector. This strategy does not need collateral security and offers a 2% interest rate discount. The payback time is adjustable up to 7 years and the maximum loan amount is ₹25 lakhs.

Scheme of Dena Shakti

This programme is also for women entrepreneurs, but only in the industries of agriculture, retail, manufacturing, small businesses and microcredit organisations are eligible. RBI is responsible for setting the maximum ceiling limitations for women beneficiaries. The ceiling limitations are based on the industry in which women entrepreneur are growing or launching a company. The maximum loan amount is ₹20 lakhs.

Pradhan Mantri Rozgar Yojana (PMRY)

This scheme is social and financial programmes established for women entrepreneurs. The goal of this programme is to create skill-based, self-employment opportunities for women entrepreneurs and clever brains at work who want to be financially independent. This system, which applies to both urban and rural regions, was created after various changes to the cost, eligibility and subsidy restrictions.

The loan subsidy amount set under PMRY is up to 15% of the project cost, with a per-borrower limit of ₹12,500. PMRY is applicable to businesses in the industries, commerce and service sectors. The maximum age is 35 and the maximum loan amount for a business is ₹2 lakh, while the maximum loan amount for service and industry is ₹5 lakh.

Scheme of Udyogini

This initiative promotes women to be self-sufficient and assists them in self-development by providing them with the necessary financial resources. This initiative supports aspiring female entrepreneurs by offering loans and low interest rates in compared to the private sector’s soaring rates, as well as being a reliable source of credit. Individuals with a family income of less than ₹40, 000 per year are eligible. They encourage loans in the commercial and service sectors in particular, with a ceiling of ₹1 lakh.

Kalyani Cent Scheme

The initiative is aimed for both new enterprises and those looking to develop and expand, the main distinction is that it is geared toward NOTE women entrepreneurs. The system excludes the retail trade, educa- tion and training and self-help organisations.

On their website, the qualified categories are listed in full along with the rules. This loan has no collateral requirements and no processing costs. These initiatives for women entrepreneurs allow specified groups of business women to take out loans and develop their businesses. The maximum loan amount under this plan is ₹100 lakh.

Mahila Udyam Nidhi

This programme tries to narrow the equity gap by encouraging MSMEs and small ventures to expand and succeed. Mahila Udyam Nidhi helps in rebuilding of SSI units that are inoperable but are still salvageable. The debtor is allowed ten years to repay the loan, with a maximum loan amount of ₹10 lakhs.

Indifi is another option and the greatest one in terms of the services and convenience they give when it comes to women’s business loans. This financial assistance provides a boost for women who are seeking for methods to expand and establish themselves as businesses. It is one of the most effective ways to obtain loans and assist women in obtaining excellent loans and lenders, as well as a great deal of moral support and encouragement.

Indifi is a specialist in the field of loan financing since it analyses data from a variety of sources to determine a company’s creditworthiness. By giving loans based on performance and potency, they are able to appraise the past, anticipate the future and strive toward a more resourceful present. It is beneficial for these aspiring and rising female businesses to put the money to good use.

Short-term and long-term loans, bill discounting and a variety of other money lending options are available at attractive rates, with certain loans being made collateral-free. By eliminating risk, decreasing paperwork and related fees and making it a straightforward and hassle-free process, their strategy makes it easier and more comfortable for emerging entrepreneurs to take up a women business loan.