Pradhan Mantri Mudra Yojana (PMMY) loans are collateral-free loans for non-farm micro and small businesses, given through banks, NBFCs and MFIs.
Categories
| Category | Loan amount |
|---|---|
| Shishu | Up to ₹50,000 |
| Kishore | ₹50,001 - ₹5 lakh |
| Tarun | ₹5 lakh - ₹10 lakh |
| Tarun Plus | ₹10 lakh - ₹20 lakh, only for borrowers who took and repaid a Tarun loan |
Who can apply
Proprietors, partnerships and companies in manufacturing, trading or services - shops, small manufacturers, transport operators, food processing, repair shops, beauty parlours - and allied agricultural activities (dairy, poultry, fisheries).
Documents
- KYC: Aadhaar, PAN, address proof.
- Business proof: Udyam registration, GST (if registered), shop licence.
- Bank statements (6-12 months for existing businesses).
- Quotations for machinery / equipment.
- Project report for Kishore and above, with projected sales, costs and the repayment plan.
- Category certificate if applicable.
How to apply
At any bank branch, or online through the JanSamarth portal or your bank's website.
What makes a Mudra application succeed
- A clear purpose for the money (machine X, stock for Y).
- Realistic sales projections that support the EMI.
- A DSCR comfortably above 1.25.
- A clean credit history.
Create your Mudra project report with EMI, DSCR and break-even calculated.