Business Loan Schemes for Women Entrepreneurs 2026: Government Loan List up to ₹1 Crore Without Collateral

Business Loan Schemes for Women Entrepreneurs 2026 list is updated with the current loan limits, interest rates and official application links. Women can get loans from ₹50,000 up to ₹1 crore under these central government and bank schemes, and many of them do not ask for a guarantor or property security.

Money is still the biggest problem for most women who plan to start a small unit, a shop or a startup. Banks now offer special loan products at lower interest rates for women borrowers, and a few schemes also give an interest concession of 0.25% to 2%.

Business Loan Schemes for Women Entrepreneurs 2026

Most of these schemes run through banks, NBFCs and microfinance institutions. A few are direct central government schemes, and some are special loan products from public sector banks. Loan amount, interest rate and repayment period change from one scheme to another.

Applications are accepted at the nearest bank branch and on the official online portals. Udyam (MSME) registration and a current account in the business name are usually needed before applying.

Detail	Information
List Name	Business Loan Schemes for Women Entrepreneurs
Launched By	Central Government and public sector banks
Loan Amount	₹50,000 to ₹1 crore, depending on the scheme
Collateral	Not required under many schemes, CGTMSE cover available
Interest Concession	0.25% to 2% for women borrowers in bank schemes
Who Can Apply	Women entrepreneurs, age 18 and above
Application Mode	Online portals and bank branches

Here is the complete list of government approved business loan schemes for women entrepreneurs.

1. Pradhan Mantri Mudra Yojana
2. Stand-Up India Scheme
3. CGTMSE Credit Guarantee
4. Mahila Udyam Nidhi Yojana
5. Stree Shakti Package
6. Cent Kalyani Scheme
7. Udyogini Scheme
8. Annapurna Scheme
9. Orient Mahila Vikas Yojana
10. Dena Shakti Scheme

1. Pradhan Mantri Mudra Yojana

Pradhan Mantri Mudra Yojana is the main central scheme for women entrepreneurs. It gives collateral-free loans to non-farm, non-corporate businesses through banks, NBFCs and microfinance institutions. The loan comes in four bands: Shishu up to ₹50,000, Kishore from ₹50,001 to ₹5 lakh, Tarun from ₹5 lakh to ₹10 lakh, and Tarun Plus up to ₹20 lakh. Loans up to ₹10 lakh need no collateral, and women borrowers often get a lower interest rate. Applications are accepted at the bank branch or online on the Udyam Mitra portal. Bank wise details are given in the Mudra Loan Bank List.

2. Stand-Up India Scheme

Stand-Up India funds bigger first-time ventures for women and SC/ST entrepreneurs. Every bank branch lends between ₹10 lakh and ₹1 crore to at least one woman borrower and one SC/ST borrower for a new business in manufacturing, services, trading or an agriculture-allied activity. The composite loan can cover up to 85% of the project cost. The borrower has to bring in 10% of the project cost, and the repayment period is seven years with an 18-month moratorium. This funding is only for new units, not for expanding an existing business.

3. CGTMSE Credit Guarantee

CGTMSE is not a loan by itself. It is a government guarantee that lets banks lend to small businesses without asking for collateral or a third-party guarantee. The cover has been raised to as much as ₹5 crore, with higher guarantee cover for women-owned units. If a bank holds back the file because a woman cannot pledge property, she can ask whether the loan can be covered under CGTMSE. This often turns a rejection into an approval for women without assets to mortgage. Details are available on the CGTMSE official website.

4. Mahila Udyam Nidhi Yojana

Punjab National Bank runs Mahila Udyam Nidhi Yojana as a business loan scheme for women. The aim is to give loans to women-owned small scale industries. The loan can be repaid over a period of 10 years. Different loan options are also included under this scheme, like beauty parlour, day care centre and auto rickshaw. The maximum loan amount is ₹10 lakh.

5. Stree Shakti Package

Stree Shakti Package is run by SBI through most of its branches. This business loan scheme gives women entrepreneurs a discount on the interest rate. If the loan amount of a woman entrepreneur is more than ₹20 lakh, she gets a concession of 0.50% on the interest rate. Women who have completed the Entrepreneurship Development Programme run by a recognised institute get the benefit more easily.

6. Cent Kalyani Scheme

Central Bank of India runs Cent Kalyani Scheme for women who want to start a new venture or grow an existing one. The loan is for women involved in manufacturing, services or trading, and it is collateral-free with no processing fee. No guarantor is needed. The maximum loan amount under this scheme is ₹1 lakh.

7. Udyogini Scheme

Udyogini Scheme is a state-run support scheme for women, often with subsidised interest for lower-income applicants. It runs through state women's development corporations. Women between 18 and 55 years of age with a family income under the state limit can get loans up to ₹1 lakh for business, agriculture, retail and small entrepreneur work. A subsidy of 30% is given on loans up to ₹10,000 to widows, destitute or disabled women of SC and ST categories.

8. Annapurna Scheme

Annapurna Scheme gives small loans to women in the food and catering business, such as tiffin services, catering and snack units. A loan of ₹50,000 is given to women entrepreneurs to buy utensils and other equipment. The money can be paid back in monthly instalments over 36 months. A guarantor is required in this scheme.

9. Orient Mahila Vikas Yojana

Orient Mahila Vikas Yojana gives loans to women who, individually or jointly, own a proprietary concern and hold 51% of the share capital. Women entrepreneurs are given loans ranging from ₹10 lakh to ₹25 lakh for small scale industries. No guarantor is required for this loan, and the money can be repaid over a period of 7 years. An interest concession of around 2% is also given to women entrepreneurs.

10. Dena Shakti Scheme

Dena Shakti Scheme is meant for women entrepreneurs who want to grow their business in agriculture, manufacturing, retail stores or micro enterprises. Women are given a maximum loan amount of ₹20 lakh for retail trade, with an interest concession of 0.25%. The loan is repaid in monthly instalments. After the bank merger, this loan product is now offered through Bank of Baroda branches.

Business Loan from Bharatiya Mahila Bank

Bharatiya Mahila Bank was set up only for women borrowers, and it later merged with SBI. The business loan product that started there is still available at SBI branches for women who want to start a venture in property and SME retail. The interest rate is usually 10.15% or more, with a rebate of 0.25% for women borrowers.

How to Apply for Business Loan Scheme for Women

The process is simple if the file is complete. Most rejections happen because of a low credit score, an incomplete file, an unrealistic project report, or applying for the wrong scheme for the stage of the business. Follow the steps given below.

STEP 1 - Match the scheme to the stage of the business. Use Mudra to start small, Stand-Up India for a first big venture, and CGTMSE to remove the collateral barrier.

STEP 2 - Get a free Udyam (MSME) registration and open a current account in the business name. A sole proprietorship with Udyam registration is enough for Mudra and most bank schemes.

STEP 3 - Apply online at the official portal of the scheme, like the Udyam Mitra portal for Mudra, or visit the nearest bank branch with the filled form and documents.

STEP 4 - Submit a one-page business plan, KYC papers, bank statements and quotations for whatever the loan will buy. The bank then checks the file and sanctions the approved amount.

STEP 5 - Track the application with the branch or the portal and keep the acknowledgement safe. For any problem in the process, use the Mudra Yojana toll free number or the bank helpline.

Documents Required for Women Business Loan

Banks ask for almost the same set of papers in every scheme. Keep both the original and a photocopy ready before going to the branch.

• Aadhaar card and PAN card for identity and address proof
• Passport size photographs and the Udyam registration certificate
• Business address proof, like rent agreement, electricity bill or shop licence
• Last 6 to 12 months bank statements and income tax returns, if filed
• Project report or business plan with the cost estimate and quotation for machinery or stock
• Caste certificate, income certificate or disability certificate, where the scheme gives extra subsidy

Points to Remember Before Applying

Check the interest rate and processing fee of each bank before choosing a scheme, because the rate changes from bank to bank even under the same scheme. Keep the credit score above 700 and avoid too many loan applications at the same time. Women who are part of a Self Help Group often get priority and relaxed rules. Also check the repayment period and moratorium, as these decide the monthly instalment. For a wider view of central schemes, see the Pradhan Mantri Yojana List.

FAQ

Which scheme is best for a woman who wants a small business loan? For most micro and small businesses, Pradhan Mantri Mudra Yojana is the best starting point with collateral-free loans up to ₹10 lakh. For a bigger first venture, Stand-Up India gives ₹10 lakh to ₹1 crore.

Can a woman get a business loan without a guarantor? Yes. Mudra loans up to ₹10 lakh, Cent Kalyani Scheme and Orient Mahila Vikas Yojana do not need a guarantor or collateral. If a bank still asks for security, ask for CGTMSE cover.

Is Mudra loan only for women? No, Mudra is open to all eligible micro-entrepreneurs, but women form a large share of borrowers and often get a lower interest rate.

Do I need business registration to apply? Yes. A free Udyam (MSME) registration and a current account in the business name are needed for most schemes.