46 XX | Enlightener Series | C. Private Sector Schemes

Disclaimer….before you read ahead!

The information contained herein is of a general nature and for information purposes only, with the intent of raising awareness around various resources, schemes etc. available for women entrepreneurs in India. It is not intended to address the circumstances of any particular individual or entity. It does not purport to be all-inclusive or necessarily contain all the information that may be relevant for the reader, and may be subject to updation, revision or amendment. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to remain accurate in the future. The reader, therefore, is required to exercise their discretion; and not act on such information without appropriate professional advice after a thorough examination of the particular situation.

Furthermore, we are not a lender and are not authorized by the Reserve Bank of India to act as one. By disseminating the information contained herein, we are not soliciting any borrower or customers for the company or organization mentioned herein nor do we intend to syndicate any capital for the reader of this article.

About this scheme…

Vyapar Mitra Business Loan, a collateral free digital loan offering, was launched in 2021 by Muthoot Fincorp Ltd., an RBI registered Non-Banking Finance Company (NBFC), designed for small enterprises and self-employed individuals who need instant working capital.

How is it being implemented?

Under this Scheme, direct financial assistance in the form of loans is given to,

Small Enterprises across Manufacturing, Trading, Retail, Construction or Services
Self-Employed Individuals

What’s on offer?

I. Product

Working Capital Loan (Vyapar Mitra Business Loan, Nirman Mitra Business Loan, Pharma Mitra Business Loan)
Ticket Size: ₹25,000 – ₹10 Lakhs

II. Purpose

Working capital & business improvement requirements

III. Borrower Type

Sole Proprietorships, Partnership Firms, Limited Liability Partnerships (LLPs), Private Limited Company, Closely-Held Public Company
For more information around this, please contact Muthoot Fincorp via means mentioned below

IV. Security or Collateral or Guarantee or Insurance

Primary Security: Hypothecation of stock or book debts
Collateral Security: Nil
Guarantee: Nil
Insurance: For more information around this, please contact Muthoot Fincorp via means mentioned below

V. Interest Rate

24% to 28% per annum basis profile, stock, cash flow and risk category

VI. Processing Fee

Up to 3% + GST

VII. Margin Money Requirement

For more information around this, please contact Muthoot Fincorp via means mentioned below

VIII. Tenure, Repayments & Pre-Closures

Tenure: up to 313 days or 54 weeks; renewals up to three times a year
Repayments: Equated Daily Instalment (EDI), Equated Weekly Instalment (EWI)
Pre-payment & Foreclosure Charges: Nil

IX. Turnaround Time

This Scheme is characterized by quick approval, seamless processing, and faster disbursal
Sanction usually takes 2 to 3 working days post the submission of all required loan documents

Interested? Read ahead to check your eligibility….

I. Are you likely to be between the age of 21 and 65 years at the time of application?

II. Does your business require you to have stock-in-hand or receivables/debtors?

If your answers to the questions above are an emphatic YES, you are all set to avail loan under Vyapar Mitra Business Loan!

So…how big is this scheme and what has been done so far?

I. During 2024-25, 128,659 accounts were lent to under this Scheme, of which, 4% were New To Credit (NTC)

So, now, how should you go about it?

I. For submitting application,

Download the Muthoot FinCorp ONE app here: Google Play Store, Apple App Store. Go to the loans section, and select ‘Vyapar Mitra Business Loans.’ Enter your loan details and submit the form. One of Muthoot Fincorp’s area representatives will contact you to guide you through the next steps