MSMEs Loans available in Maharashtra

Maharashtra is one of the most industrialized states in India, with a thriving MSME sector that generates significant employment and contributes to the state’s GDP. The Maharashtra state government has implemented various loan schemes and policies to support the growth and development of MSMEs in the state. These schemes provide financial assistance, subsidies, tax incentives, and other necessary resources to entrepreneurs to establish and expand their businesses.

In recent years, the Maharashtra state government has focused on promoting entrepreneurship among women and SC/ST communities by launching several MSME loan schemes exclusively for them. These schemes aim to encourage and facilitate the participation of women and SC/ST entrepreneurs in the state’s economy by providing them with adequate financial support and other resources. In this blog, we will discuss some of the MSME loan schemes available in Maharashtra for women and SC/ST entrepreneurs.

MSME Loan Schemes Available in Maharashtra:

Maharashtra MSME Champions Scheme

The MSME Champions Scheme is an initiative launched by the Department of Industries, Government of Maharashtra, to provide financial assistance and other support services to high-potential MSMEs in the state. It aims to empower and accelerate the growth of these businesses, contributing significantly to the state’s economic development. Following are some of its highlights:

Chief Minister’s Employment Generation Programme (CMEGP) Maharashtra

Chief Minister’s employment generation programme is a scheme launched by the state government of Maharashtra. The main objective of the scheme is to make the youths of the state self-reliant by establishing self-employment opportunities across the state. The following are its main highlights:

Mahila Bachat Gat Yojana

The Mahila Bachat Gat Yojana is a scheme launched by the Maharashtra State Rural Livelihoods Mission (MSRLM) for women’s self-help groups. Registered SHGs with the Gram Panchayat or Zilla Parishad and participating in MSRLM programs are eligible for this scheme. Following are some of its benefits:

Credit Linked Capital Subsidy Scheme (CLCSS)

Credit Linked Capital Subsidy Scheme was launched in October 2000 by the Government of India. This scheme provides necessary funds to MSMEs for upgrading their existing technologies. Enterprises can use this scheme to upgrade their existing plant and machinery and increase profit. This scheme has no upper loan limit, but the subsidy is calculated on the loan amount sanctioned for P&M purchase only. The following are its main features:

Pradhan Mantri MUDRA Yojana (PMMY)

The Pradhan Mantri MUDRA Yojana (PMMY) is a flagship central government scheme launched in 2015. It provides micro-loans to non-corporate, non-farm micro and small enterprises in both rural and urban areas.

PMMY offers loans under three categories, depending on the stages of business growth and funding needs:

• Shishu Mudra: Up to Rs. 50,000
• Kishore Mudra: Rs. 50,001 to Rs. 5 lakh
• Tarun Mudra: Rs. 5 lakh to Rs. 10 lakh

MUDRA loans are availed through various financial institutions, including Public sector banks, Private sector banks, Regional Rural Banks, Small Finance Banks, Microfinance Institutions, and Non-Banking Financial Companies (NBFCs).

Unlike other loan schemes, PMMY doesn’t have specific criteria for age, gender, tenure, interest rates, etc. All these factors can vary based on the category of the loan and the policies of the lending institution.

Prime Minister’s Employment Generation Programme (PMEGP)

PMEGP is a credit-linked subsidy scheme administered by the Ministry of Micro, Small and Medium Enterprises (MSME), which aims at creating job opportunities by establishing micro-enterprises. The main target of this scheme is Women, Traditional and prospective artisans and Unemployed youth. The following are some of its main features:

Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE).

CGTMSE is a joint initiative launched in 2000 by the Ministry of Micro, Small and Medium Enterprises (MSME), the Government of India, and the Small Industries Development Bank of India (SIDBI). It encourages financial institutions to provide collateral-free credit schemes to micro and small enterprises. In case of any default, the bank can file a claim with CGTMSE. The following are some of its main features:

Stand-up India

Stand-up India is a central government scheme launched in 2016. It provides bank loans for entrepreneurship among women and members of Scheduled Castes (SCs) and Scheduled Tribes (STs). Existing businesses cannot avail loans through this scheme, as these are provided for starting new businesses. These loans are provided through various banks, including scheduled commercial banks, regional rural banks (RRBs), and small finance banks.

This scheme provides loan amounts ranging from Rs. 10 lakhs to Rs. 1 crore. The interest rates and tenure vary depending on the nature of the business and other factors such as the nature of the business, credit policies of the lender, etc.

SIDBI Make in India Soft Loan Fund for Micro, Small, and Medium Enterprises (SMILE)

SMILE is a scheme launched by the central government to provide financial assistance to 25 Identified sectors under the ‘Make in India’ initiative. This scheme promotes the ‘Make in India’ initiative among entrepreneurs. SMILE provides adequate funding for the setting up of new enterprises and also for the expansion of existing ones. The following are some of its main features:

About Finline!

Finline is an online platform for creating financial reports for getting bank loans and investments. It’s like ‘Canva’ but for financials. If you are an entrepreneur looking for a bank loan, you must have a well-crafted project report. We, at Finline will help you with that. Our team will help you create a powerful business plan in ten minutes. That too in your language. All public and private sector banks working in India accept our project report. Click to create your report.