In this harsh world of business, it is challenging to become a top entrepreneur, especially for minority business owners. To aid financial necessities in income-generating ventures and solidarities the National Minorities Development and Financial cooperation have devised concession loans.
There are different types of business loan in India. One can choose according to their requirements. Let’s delve further into this.
There are two credit lines for annual income defined to be eligible under this scheme.
- Credit Line I :
- Rural sector: Rs. 81,000
- Urban sector : Rs. 1.03 Lakhs
- Credit Line II: Annual family income of Rs. 6 Lakhs
Schemes:
- Term Loans
| Line of Credit | Max Limit allowed |
| Credit I | Rs. 20 Lakhs* |
| Credit II | Rs 30 Lakhs* |
The Interest rate for
- Men: 6%
- Women: 8%
2. Micro Finance
| Line of Credit | Max Limit | Interest rates |
| Credit I | 1 Lakh* | 7% |
| Credit II | 1.5 lakhs* | Men: 10%
Women: 8% |
3. Mahila Samridhi Yojana
- Self-help women groups are sanctioned micro-credit of Rs. 1 Lakh* per member
Small Business Loans from NBFC
Specific NBFCs, e.g. Fullerton India, provides solidarity loans from Rs. 22,000 to Rs. 45,000* for short tenures for women without any collateral.
Conclusion
Small business loans help small ventures to grow. Applicants can choose the best-suited plan, lender and interest rates using business EMI calculator.
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