If you want to start your own business but lack the money to begin, there is no need to feel discouraged.
The central government runs several loan schemes designed to help people become self-employed and create new jobs.
One of the most popular among them is the PM Mudra Yojana.
What is PM Mudra Yojana?
The Pradhan Mantri Mudra Yojana offers loans without any guarantee to small business owners and entrepreneurs.
Under this scheme, you can get a loan ranging from ₹50,000 to ₹10 lakh.
The loan can be used to start or run businesses in manufacturing, trading, or service sectors.
Different Loan Categories Explained
PM Mudra Yojana loans are divided into three categories based on business needs.
The Shishu loan is meant for new businesses and offers funding of up to ₹50,000.
The Kishor loan ranges from ₹50,000 to ₹5 lakh and is ideal for expanding an existing business.
The Tarun loan provides funding between ₹5 lakh and ₹10 lakh for well-established businesses.
For those planning large-scale expansion, loans between ₹10 lakh and ₹20 lakh may be available under other government schemes.
Who Can Apply for PM Mudra Loan?
Any Indian citizen aged 18 years or above can apply for this loan.
The applicant should not be a bank defaulter and must have a decent credit record.
If your profile is strong, banks usually process and approve the loan smoothly.
Documents Needed for the Loan
To apply for a PM Mudra loan, you will need basic documents such as Aadhaar card, PAN card, a passport-size photograph, and bank account details.
A business project report is also required. In some cases, banks may ask for additional documents if needed.
How to Apply for PM Mudra Yojana?
Applying for the loan is simple.
You can visit your nearest nationalized bank or the bank where you already have an account.
Fill out the loan application form and submit the required documents.
Once the bank verifies everything, the loan amount is directly credited to your account.
You can also apply online through the Udyamimitra portal, making the process even more convenient.
With the right planning and support, this scheme can help turn your business idea into reality.
