Introduction to Business Loans for Women

In 2025, women entrepreneurs are driving economic growth with tailored business loans. Loanpao connects you to schemes like Mudra Yojana and Stree Shakti, offering low rates and flexible terms to fuel startups and expansions.

Types of Business Loans for Women

Mudra Yojana (Shishu)

Starter loans up to ₹50,000 at 10–12% p.a. for micro-businesses.

Stree Shakti Package

Loans up to ₹25 lakh at 8–10% p.a. with interest subsidies for women-owned SMEs.

Stand-Up India

Loans up to ₹1 crore at 8.5–11% p.a. for women in manufacturing, services, or trading.

CGTMSE Loans

Collateral-free loans up to ₹2 crore at 9–12% p.a. for women entrepreneurs.

Bank-Specific Women’s Loans

Custom loans up to ₹50 lakh at 8–11% p.a. from banks like SBI and HDFC.

Comparison of Business Loans for Women

Key loan options for women entrepreneurs in 2025:

Loan Scheme Loan Amount Interest Rate Tenure Key Feature
Mudra Yojana (Shishu) Up to ₹50,000 10–12% p.a. 1–5 years Micro-business support
Stree Shakti Package Up to ₹25 lakh 8–10% p.a. 3–7 years Interest subsidies
Stand-Up India Up to ₹1 crore 8.5–11% p.a. 3–7 years Manufacturing/services
CGTMSE Loans Up to ₹2 crore 9–12% p.a. 3–7 years Collateral-free
Bank-Specific Women’s Loans Up to ₹50 lakh 8–11% p.a. 3–7 years Customized for women

Note: Rates, tenures, and eligibility vary by lender and scheme.

Benefits of Business Loans for Women

These loans offer:

  • Lower interest rates (8–12% p.a.) for women.
  • Government subsidies under schemes like Mudra and Stree Shakti.
  • Collateral-free options via CGTMSE.
  • Flexible tenures (1–7 years).
  • Support for startups, SMEs, and expansions.

Tips for Applying for Business Loans

Maximize your approval chances:

  • Prepare a Business Plan: Outline your business goals and financial projections.
  • Leverage Government Schemes: Apply for Mudra, Stree Shakti, or Stand-Up India for benefits.
  • Ensure Proper Documentation: Submit KYC, ITR, and business registration.
  • Check Eligibility: Confirm women-specific criteria (e.g., 51% ownership for Stree Shakti).
  • Use EMI Calculators: Plan repayments with Loanpao’s EMI calculator.

Frequently Asked Questions

Loans designed for women entrepreneurs to start or grow businesses, often with lower rates and subsidies.

Yes, CGTMSE and Mudra Yojana offer collateral-free loans up to ₹2 crore.

Mudra Yojana, Stree Shakti, and Stand-Up India provide subsidies and low rates.

KYC, business plan, ITR, GST returns, and proof of women ownership.

Loanpao connects women to verified lenders and guides them through application processes.