Whether you are planning to bootstrap a startup or wish to take your existing enterprise to new heights, a constant cash flow is something you will always need. Top 5 Goverment Business Loan Scheme 2023 for free information That’s where business loans or corporate loans come into the picture, and a business loan can help you secure the required funding for your business.
|Sr.No||Goverment Business Loan Scheme 2023|
|1||MSME Loan Scheme|
|3||Credit Guarantee Fund Scheme|
|4||Credit Link Capital Subsidy Scheme|
|5||National Small Industries Corporation Subsidy|
1) MSME Loan Scheme 2023 Top 5 Goverment Scheme
To help MSME business suffice their working capital needs, the Indian government introduced the MSME Loan Scheme. Under this entrepreneur loan scheme, any new or existing enterprise can avail itself of a loan up to Rs. 1 crore.
Usually, it takes around 8-12 days for the loan processing to get completed. Also, for the approval/disapproval of the application
Another interesting fact to know about this loan scheme is that a business can avail of the loan at an 8% interest rate. Also, women entrepreneurs can benefit from the advantage of the 3% reservation under this scheme.
2) MUDRA Loan 2023 (PMMY) Top 5 Goverment Scheme
Pradhan Mantri MUDRA Loan Yojana is another fantastic govt loan scheme. It is primarily suitable for women entrepreneurs, enterprises related to service and trading, etc.
MUDRA, short for Micro Units Development and Refinance Agency Ltd., acts as a refinancing support system for banks and NBFCs that lend credit to small businesses.
The loan under the scheme comes with a collateral-free credit option wherein the borrowers get the choice to extend the period of repayment.
|Sr.No.||MUDRA Loan Scheme||Principal Amount||Rate of Interest|
|1.||Shishu MUDRA Loan||This loan scheme provides a loan of up to Rs 50,000||1%-2% p.a.|
|2.||Kishor MUDRA Loan||This loan scheme provides a loan of up to Rs 5 lakhs||8.60%-11.15% p.a.|
|3.||Tarun MUDRA Loan||This loan scheme offers loans over Rs 5 lakh up to Rs 10 lakh||11.15%-20% p.a.|
3) Credit Guarantee Fund Scheme Top 5 Goverment Scheme
CGTMSE (Credit Guarantee Fund Trust for Micro and Small Enterprises) has been facilitating collateral-free loans for MSMEs for quite a long time now. Any scheduled commercial or regional rural bank can become a part of the CGTMSE scheme by empanelling itself as a leading authority. The agency grants loans to MSMEs based on their credit standing via the lending agencies registered with it. The CGTMSE scheme provides working capital loans of up to 10 Lakhs without any collateral. However, for all credit facilities of amounts greater than ₹10 Lakhs (and up to ₹1 Crore), only primary security or mortgage of land and building will be covered under this government business loan scheme.
4) Credit-Linked Capital Subsidy Scheme Top 5 Goverment Scheme
The purpose of this government business loan scheme is to fund technological upgrades in businesses. The funds can be used to undertake revamps related to the various processes involved in the business, such as manufacturing, marketing, and supply chain, so that the production cost for creating and providing goods and services is reduced. The CLCSS offers an up-front capital subsidy of 15% for eligible businesses under the scheme. Sole proprietorship businesses, partnership firms, and co-operative or private and public limited companies are all eligible for loans under CLCSS.
5) National Small Industries Corporation Subsidy Top 5 Goverment Scheme
Any business that qualifies as a micro and small enterprise with an EM Part-II (Optional)/ Udyog Aadhaar Memorandum (UAM) is eligible to apply for the NSIC subsidy under the Single Point Registration Scheme (SPRS). Suppose you qualify for this business loan scheme. In that case, you can opt for raw material assistance that allows you to fund the cost of indigenous and imported raw material required for your business.
Thanks for visiting this useful post, Stay connected with us for more Posts. Visit every day for the latest offers of various brands and other technology updates.