In recent years, there has been a significant growth in the number of women entrepreneurs in India. Nevertheless, despite their massive growth in the business world, women entrepreneurs face many problems, including limited access to funds.
The government has launched several initiatives to promote women's empowerment in India. One such scheme is the Udyogini scheme, which offers financial assistance to women in rural and under-developed areas. In this article, we will talk about the Udyogini scheme, its eligibility criteria, the documents required and the application process.
What is the Udyogini Scheme?
One of the significant concerns of the Government of India is to empower the Indian women and make them Atma Nirbhar. Hence, the government launched the Udyogini scheme to provide financial assistance to budding women entrepreneurs in underdeveloped and rural areas of India.
Moreover, this scheme empowers poor women entrepreneurs to start businesses with financial assistance. Under this scheme, beneficiaries can avail business loans to start businesses in different sectors. The government has directed financial institutions to offer interest-free business loans to women from various sections of society.
Udyogini Scheme Eligibility
Udyogini scheme focuses on empowering women by enabling them to participate in economic activities and boost women's entrepreneurship in India. Here are the eligibility criteria for the Udyogini scheme:
- Applicant must be a woman.
- Applicants must be between the ages of 18 and 55 years.
- The applicant’s annual family income must be less than Rs. 1.5 lakh.
- There is no upper limit for beneficiaries who come under the disabled, widowed or destitute categories.
- Applicants can avail this scheme if their businesses are engaged in small-scale industry sectors, retailers, manufacturers, traders, self-employed professionals and other related categories.
- Applicants must have a good credit score.
Documents Required for Udyogini Scheme
When you want to apply for the Udyogini Scheme, you must submit the following documents to a financial institution:
- Three coloured passport-size photographs.
- Ration card or voter ID card.
- Detailed Project Report (DPR) of the activity for which you want financial assistance.
- Certificate regarding training or experience of the activity under which you want the financial assistance.
- Family’s annual income certificate.
- Caste certificate if you are an ST/SC applicant.
- Quotations of machinery, equipment and capital expenses.
How to Apply for the Udyogini Scheme?
When it comes to applying for the Udyogini Scheme, applicants can use online and offline mediums. Here are a few simple steps applicants can follow to apply for the Udyogini scheme.
Online Method
Here are a few simple steps applicants can follow to apply for the Udyogini scheme online:
Step 1: Visit the bank’s official website offering loans under the Udyogini scheme.
Step 1: Visit the bank’s official website offering loans under the Udyogini scheme.
Step 2: Look for the Udyogini scheme option from the navigation bar and click the link to complete the application form.
Step 3: CDPO will scrutinise your application and forward it to the selection committee after spot verification.
Step 4: After that, they will examine your application form and forward it to the bank.
Step 5: They will verify your documents and project proposal to process your loan application.
Step 6: After successful verification, they will send a request letter to the corporation for the subsidy release.
Step 7: The bank will release the loan amount once they approve your loan application.
Step 8: They will disburse the loan amount directly to your bank account or supplier’s account for equipment, machinery or other capital expenditures.
Offline Method
You can follow these simple steps to apply for the Udyogini scheme via offline mode:
Step 1: Get the application form from the Deputy Director or CDPO office or visit the bank’s official website that offers loans under the Udyogini scheme.
Step 2: You must visit the nearest bank that offers a loan under the Udyogini scheme with all the required documents.
Step 3: Fill out the application form to submit it to the officials along with the required documents.
Step 4: They will verify your loan requests and examine documents and project proposals.
Step 5: After that, they will process your loan application and send a request letter to the corporation to release the subsidy.
Step 6: Once they approve your loan application, the bank disburses the amount to your bank account or directly to suppliers’ accounts for machinery, equipment and other capital expenditures.
Udyogini Scheme Interest Rate
Udyogini scheme offers interest-free loans to women seeking to finance their small businesses, making them Atma Nirbhar. The disabled, Dalit and widows are eligible for interest-free loans under this scheme, and women belonging to other categories have to pay 10% to 12% interest on the loan amount.
However, the financial institutions regulate the interest rate from where you are applying for this scheme. Moreover, under this scheme, you can get a 30% subsidy on your family’s annual income.
Udyogini Scheme Benefits
Here are some benefits of the Udyogini scheme that you will get when you avail this scheme:
- You can get a loan of up to Rs. 3 lakhs if you fulfil this scheme’s eligibility criteria.
- With this scheme, you can start a business categorised under 88 small-scale industries.
- Interest-free loans are available if you want to start a business in the agricultural sector.
- It also aims to convey functional skills to women about business planning, pricing, feasibility, costing and more.
- It offers a 30% subsidy on loans under this scheme to help women while repaying their loan amount.
- The Udyogini application form’s evaluation process is transparent to ensure a smooth assessment.
List of Business Categories Supported Under Udyogini Scheme
Here is a list of business categories supported under the Udyogini scheme:
- Agarbatti manufacturing
- Audio-video parlour
- Bakeries
- Banana leaf manufacturing
- Beauty Parlour
- Bangles
- Bed sheet and towel manufacturing
- Books and notebooks binding
- Bottle cap manufacturing
- Bamboo article manufacturing
- Canteen and catering
- Creche
- Clinic
- Condiments
- Coconut shop
- Chalk crayon manufacturing
- Chappal manufacturing
- Cleaning powder
- Coffee and tea powder
- Corrugated box manufacturing
- Cotton thread manufacturing
- Cut-piece cloth trade
- Dairy and poultry trade
- Diagnostic lab
- Dry cleaning
- Dry fish trade
- Eat outs
- Edible oil trade
- Energy food
- Fairtrade shop
- Fax paper manufacturing
- Fish stalls
- Flower shops
- Flour mills
- Fuelwood
- Footwear manufacturing
- Gift articles
- Gym centres
- Handicrafts manufacturing
- Household article retail
- Ice cream parlour
- Ink manufacturing
- Jams, jellies and pickles manufacturing
- Typing and photocopy
- Jute carpet manufacturing
- Library
- Leaf cup manufacturing
- Mat weaving
- Matchbox manufacturing
- Milk booth
- Mutton stalls
- Newspaper, weekly and monthly magazine vending
- Nylon button manufacturing
- Old paper mart
- Pan and cigarette shop
- Pan masala shop
- Papad manufacturing
- Phenyl and naphthalene
- Photo studio
- Plastic article shop
- Printing and dyeing
- Quilt and bed manufacturing
- Radio and TV service
- Ragi powder shop
- Readymade garment
- Real estate agency
- Ribbon manufacturing
- Sari & embroidery
- Security service
- Shikakai powder manufacturing
- Silk weaving
- Shops and establishment
- Silk thread manufacturing
- Silk-worm rearing
- Soap oil, cake manufacturing
- Stationery shop
- STD booths
- Sweet shops
- Tailoring
- Tea stall
- Travel agency
- Tutorials
- Typing institute
- Vegetable vending
- Vermicelli manufacturing
- Wet grinding
- Woollen garment manufacturing
Udyogini Scheme Information Helpline Number
In case you face trouble availing yourself of the benefits of the Udyogini scheme, you can call their information helpline number at +91-9319620533. They will help you resolve your issues and answer your queries related to this scheme.
Therefore, to motivate and assist women entrepreneurs in the backward areas of India, the government has launched the Udyogini scheme. It financially assists them in setting up a business by opting for loans at zero or low interest rates and becoming Aatmanirbhar. Hence, the government helps women entrepreneurs to impart skills and become financially stable.
Related Government Schemes:
Delhi Mukhyamantri Mahila Samman Scheme
Disability Pension Indian Army
Senior Citizen Card - Application Form, How To Apply
Mahtari Vandan Yojana in Chhattisgarh
Ladli Behna Yojana
