About Mudra Loan
MUDRA Loan is a new but popular term now a days. MUDRA is a financial institution set up by government of India. It provides financial support up to maximum of 10 Lakhs to non corporate and non farm sector startups or micro and small business enterprises. It is also know as Prime Minister Mudra Yojna as it was started by honorable Prime Minister Narendra Modi on 8th April 2015.
PM MUDRA (Micro Units Development and Refinance Agency) Yojna is a flagship scheme of government. This loan can be availed at most of the public sector banks, private sector banks and private financial institutions. Under this scheme there are three types of loan product available.
Types of Mudra Loan
Shishu – loan amount up to Rs. 50,000/-.
Kishore – loan amount from Rs. 50,000/- to Rs. 500,000/-
Tarun – loan amount from Rs. 500,000/- up to Rs. 10,00,000/-
You may avail the loan product as per your business requirement. To know more about how to get a Mudra loan please Click Here
Top 5 Business To Start With Mudra Loan
Mudra Covers the industries and service providers of all areas of country. If you require working capital to start a business or refinance your running business for expansion then Mudra may be availed. We have listed here the top 5 business to start with Mudra Loan as per the report prepared by our expert team at Loan Guru.
- Purchase of a transport vehicle– You may purchase a passenger car, an auto rickshaw, an e-rickshaw, Taxi, small goods transport vehicle, 3 wheeler. This is one of the most common type of business which any individual may start. This is among the top 5 list because there is no much skills required to operate this business. Only your driving skills and communication skill will be sufficient. The working capital taken as loan is easily paid from the earnings and revenue.
- Food Processing Unit– This is also considered as one of the fastest growing business sector. India is a country of diverse culture and religion. Also there seasonal and cultural demands in food and beverages sector goods. Quality packaged food or processed food are in huge demand in local and overseas both markets. There is need of simple equipment and small working capital to start a food processing unit. Like Banana or Potato Chips making machine, Tomato Soup or Juice making machine, Ice Cream making machine, Jam and Jellies making, Papad and Pickle making. You may also plan to start a sweet shop, restaurant, food joints or food stalls in a vehicle etc. It totally depends on your area of interest.
- Small Scale Industrial Units-Apparel design, Chicken work, Traditional Hand Embroidery, Hand loom Works, dyeing and printing, Jute products, non garments products like bags, seat covers etc and other many similar small scale industrial units may be started from Mudra Loan. The logic behind keeping it in top 5 is its easy operation and higher profitability. As these business are skill based hence highly skilled professionals are highly paid and are always in huge demand. Make in India program has given boost to small scale industries. This is really one of the top business which any individual may start.
- Set Up A Service Sector Business Unit- Beauty Parlors, Boutiques, Courier agencies, Dry cleaning shops, cycle or bike repairing shops, Gymnasium or Photo Studio or any similar business unit comes under this category. For the youth of nation, this gives wide scope to become successful entrepreneur through Mudra financial aid. The reason behind listing this in top 5 is again the same. It has the potential to uplift an entire family with sustainable incremental growth.
- Proprietorship or Partnership Firm Into Small Scale Manufacturing – There are millions of firms which start manufacturing at small scale but could not survive more than a year. Here the Mudra plays a role of boon. You may take example of Aluminum or Steel utensils making units, Use and through dish, cup, plate making units, Shoes and sandals making units. The need refinance to expand their business. With Mudra, the best opportunity is provided through maximum loan amount of 10 lakhs. This is why these business units have been listed in our Top 5 Business to start with Mudra.
Now, after reading all the listed business units, you must have got the confidence to start with Mudra and become a successful entrepreneur. We keep updating our website about Mudra and similar loan products which are in public interest. You may ready more about Mudra Loan here and stay updated.