Check if your business falls under the category of micro-units and meets the eligibility criteria set by the government. You can find the details on the official website of MUDRA
PMMY offers three loan categories - Shishu (upto Rs.50,000), Kishore (Rs.50,000 - Rs.5 lakh), and Tarun (Rs.5 lakh - Rs.10 lakh). Choose the category that best suits your funding needs.
A well-crafted business plan outlining your business idea, financial projections, and how you plan to use the loan funds will increase your chances of loan approval.
While credit scores are not mandatory for Mudra loans, maintaining a good credit history shows financial responsibility and can improve your chances of getting a loan at a competitive interest rate.
Don't restrict yourself to just one bank. Compare loan terms, interest rates, and processing fees offered by different lenders before finalizing one.
Keep all the necessary documents like ID proof, address proof, business registration proof, and financial statements handy to avoid delays in loan processing.
Timely repayment of your loan builds a positive credit history and improves your chances of securing future loans.–
Several government schemes offer additional benefits to micro-units. Research and explore if there are any schemes that can help you along with the Mudra loan.