Women are shaping the world and it is time we recognize the same and give credit for it. Women all over the world are transforming economics and organizations. There are several women entrepreneurs across the world who have made their presence felt. They quietly but boldly enter the male-dominated world and are scaling new heights every day. Considering the growing number of women-owned businesses, the government and financial institutions offer loans for women that are specially designed to meet your needs. If you are an entrepreneur looking for funds for your business, you are in the right place. Let us consider the things you need to keep in mind when you apply for a business loan.
No need for a collateral
Women can get a business loan up to an amount of Rs. 40 lac and the best part is that there is no requirement for collateral. Also known as an unsecured loan, the lender will give you funds for your business without the hypothecation of an asset or asking for a guarantor. The loan is offered for self-employed women and it can be availed for any business purpose. It can be used for a business upgrade or for the purchase of equipment. All you need to do is ensure that the entire loan amount and interest are repaid on time through EMI. However, you will have to meet the eligibility criteria of the lender to avail the funds.
Professionals and non-professionals are eligible
Only because you do not own a manufacturing unit or run a shop, it does not mean that you will not be able to get access to funds. With an increase in the number of professionals like doctors, CA, CS, architects, and more, lenders are offering loan products that are specially designed for them. Whether you are a professional or non-professional, you will be eligible for the loan. The terms and conditions of the loan will be similar to any other business loan. It has a high approval amount and long tenure.
You can consolidate debt with a loan
You can take a loan to consolidate debt and enjoy a low-interest rate. Hence, if you already have high-interest loans, you can apply for one loan at a low interest and consolidate all the outstanding loans. It will reduce the amount of interest you pay on the loan. Businesses across the country use loan consolidation as an option. When your loan is consolidated, you only have to focus on one repayment and enjoy a better interest rate.
Women from Rural India can also apply
With the expansion of banking services across the length and breadth of the country, it has become possible for women from Rural India to apply for a business loan. There is minimal documentation requirement and quick loan approval. Irrespective of the type of business you own, you are eligible for the loan.
Keep these things in mind when you apply for a business loan in India. The loan application process is smooth and convenient, making it an ideal borrowing option for you. Women entrepreneurs can now make the most of the loan products available to them.