Business Loan Tips: Great news for small businessmen, now MSME loans will be available without interest, know-how: From time to time, the central government brings various schemes for the countrymen, whose purpose is to make their future bright. In this sequence, the central government is going to give another gift to the small businessmen. The government is planning to provide money to small businessmen at low rates.
According to the information, small businessmen can be offered credit cards with a limit of Rs 100000. This will be possible only when the government’s plan to universalize credit flow becomes successful. The credit card will be given by the Small Industries Development Bank of India (SIDBI) to the micro, small and medium enterprises registered on the Udyam portal. You will get many benefits on this card.
Initial loan limit of Rs. 50000
These will be offered to MSMEs to meet their business credit needs with provisions for enhanced credit based on their financial performance and credit servicing institutions.
Under this, initially, the loan amount can vary between Rs 50000 and Rs 100000. The rules for granting citizen ratings for MSMEs may also be changed to allow better and updated data flow to the rating agency, thereby giving better ratings to the sector.
The Standing Committee report states that this will give ample opportunities to nano MSMEs such as roadside vendors, kirana shops, and village salons to sign up on the Udyam portal. Business credit cards will provide a good platform to bring such people into the system.
Business Loan Tips: Bank is also ready for this
Once the MSME is registered on the enterprise, other targeted programs can be created depending on the geography and size of the industry. The MSME database can also be used by states and other stakeholders to assist small businesses. Many banks are already providing credit cards to MSME rescuers including Pradhan Mantri Mudra Yojana.