Are you an aspiring woman entrepreneur with an excellent business idea and looking for funding? Good news – there are a number of ways you can fund your business.
4 Smart Ways to Fund a New Business for Women Entrepreneurs in India
Here are 4 options that you can consider for funding your startup.
Personal Loan by Fintech Companies
Fintech companies are making it easy for women entrepreneurs to apply for a business loan or a personal loan for self-employed individuals. You can apply for a personal loan with companies like MoneyTap, Bajaj Finserv, etc.
These companies determine your creditworthiness online and they instantly approve the personal loan without requiring any collateral.
Fintech companies also offer a line of credit for business if you have an ongoing need for small amounts. A few advantages of taking a personal line of credit for business from fintech companies like MoneyTap is that the interest is charged only on the amount you withdraw from your credit line. You also have the option of repaying it into comfortable EMIs.
Government Funding Schemes for Startups
While it is critical to get funding in the early stages of business, it is also a huge challenge. Earlier, the Indian SME segment had limited access to formal credit.
Now, the scenario has changed with the Government announcing that it will offer loans of up to 1 crore to SMEs within 59 minutes. You just have to apply through an online portal. There is a 3% tax benefit for women-oriented SMEs.
Some examples of Government funding schemes for startups include Pradhan Mantri Mudra Yojana, Sustainable Finance Scheme, and Stand-up India. So, if you have a good business idea as a woman entrepreneur, but are worrying about a lack of capital, you can apply for these schemes.
Government Funding Schemes for Women Entrepreneurs
Governments at state and central levels have launched several financial schemes for micro-units. These schemes are targeted toward funding women entrepreneurs. This helps in boosting women’s entrepreneurship.
Some of these schemes include Annapurna Scheme, Stree Shakti Package for Women Entrepreneurship, Dena Shakti Scheme, etc.
These schemes help in encouraging women entrepreneurs to build a small business setup and utilize their skills.
Non-Government Funding Scheme For Women Entrepreneurs
There are a lot of non-government schemes that are focusing on funding women entrepreneurs. These avenues provide more funding options to startups set up and driven by women.
Some non-government funding schemes for women entrepreneurs include Saha Fund, Women Entrepreneurs India, and Cash Suvidha, to name a few. Crowdfunding is another common funding option that women entrepreneurs can consider.
If you have an idea, you can get funding for it. Whatever your business idea is, take advantage of these schemes and bring it to fruition.