Apply Mudra Loan Scheme and Application Form
This article would take you through all the information pertaining to getting loan from Mudra Bank. Mudra Bank is launched by Prime Minister Narendra Modi for the benefit of young entrepreneurs of India who do not have the required capital support to start their own business. Under the scheme, an entrepreneur can take a loan from the Mudra Bank up to an amount of Rs 10 lakh.
There are a number of small business units that are always in need of working funds. Mudra bank would fulfill their demands and supplement their business. The banks have set a total corpus of Rs 20,000 crore for micro finance institutions and small entrepreneurs.
Benefits of Mudra Bank
There benefits of Mudra Bank are many and it is a win-win situation for both the government and budding entrepreneurs. To point it down, here are the main benefits of Mudra Bank:
- It would provide a low cost and accessible funding to micro finance institutions to further leverage the budding entrepreneurs. Preference would be given to weaker sections of society.
- The Mudra Bank will in all ways increase the access of funds and liquidity required for small scale industries.
- The Mudra Bank would combine capital with integrity and thus make it a one stop solution for success of young business community.
- It would ensure that uniformity and best practices are adhered in micro finance institutions.
How can you apply for Loan from Mudra Bank?
The Mudra Bank is called so because it stands for Pradhan Mantri Micro Units Development and Refinance Agency Ltd. In order to avail loan from the Mudra Bank scheme, you would have to do the following:
- In the first place, you should have a business plan ready. It should include all the details of what you are doing or intend to do including the capital, human resource investments and other aspects like returns and SWOT analysis.
- You should mention the category under which your business lies. Mudra Bank envisages business loans under three categories, i.e. Tarun, Kishor and Shishu; each having an upper limit of loan approved and specific requirements.
- The shishu category is the first category under which an young entrepreneur can take a loan up to Rs 50 thousand.
- Next comes the Kishor category. Under this, a person can apply for a loan raning from Rs 50 thousand to 5 lakhs.
- The third and last category is Tarun category under which the applicant can apply for a loan between Rs 5 lakhs to 10 lakhs.
As a matter of fact, there are processes and documentations through which you can apply for a loan under each category. Once you are prepared with your business plan and identified your category, you have to contact any of the banks near you (private or public sector) and ask for a business loan under the Pradhan Mantri Mudra Bank Yojana.
To clarify here again, Mudra Bank is not exactly a bank but a government scheme through which banks approve and lend your credit/loan for business in India. Through Mudra Bank Scheme, your loan is processed easily and with fewer hassles. All you need to do is contact you nearest bank and produce necessary documents.
What is Mudra Card?
Mudra Card is a special card provided to those loan holders whose business loans have been passed under the scheme. This would be provided by the concerned bank which processes the loan of the applicant. This would be in the form of a credit card that can be used to buy business raw materials. The usage limit of the Mudra Card would be 10 per cent of the total amount of business loan.
Last but not the least, if you are looking forward to apply for Mudra Loans, you can simply visit the official link http://www.mudra.org.in/eligibility-criteria.pdf and know all the details pertaining to the scheme. To get in touch or get the contact details of the nodal officers for Mudra Bank Scheme, you can visit the link http://www.mudra.org.in/Nodal-Officers-MUDRA.pdf. Hope this document would help you in getting your dream business turn into a reality.
Mudra Loan Application Form
As of now only Shishu Mudra Loan form has been given from government. You can download this using this link.We will provide you other application form as soon as they are produced.
Please Read this article for More Information on Mudra Loan