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 updating, 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…

Pragati Scheme was launched in March 2024 by UGRO Capital Limited (UGRO), a non-deposit taking Non-Banking Financial Company (NBFC) registered with Reserve Bank of India (RBI), to improve access of finance to women owned businesses across the country and encourage their entrepreneurial spirit.

How is it being implemented?

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

Women owned or co-owned businesses

What’s on offer?

I. Product

Term loan
Ticket Size: upto ₹5 Crores

II. Purpose:

Investment/acquisition of fixed assets to expand business operations, upgrade plant & machinery
Working capital requirements
Embrace sustainability with green initiatives like installing solar rooftop and EVs

III. Borrower Type:

Individuals, Sole Proprietorship, Partnership, Limited Liability Partnership (LLP), Private Limited Company, Public Limited Company
For more information around this, please contact UGRO via means mentioned below

IV. Security or Collateral or Guarantee or Insurance

Security: First charge over assets created out of the loan disbursed under the Scheme
Collateral: Will be required only if the borrower chooses to go for a secured business loan instead of unsecured business loan under the Scheme
Guarantee: For more information around this, please contact UGRO via means mentioned below
Insurance: For more information around this, please contact UGRO via means mentioned below

V. Interest Rate

Interest rates can be floating or fixed
Ranges between 9.00% to 36.00% depending upon UGRO Reference Rate, inherent credit and default risk in the products, customer profile, past repayment track record of the customer, customer segment, market reputation, nature and value of primary and collateral securities, external ratings of the customers , industry trends, etc.
UGRO Reference Rate is 15.40% w.e.f January 25, 2024

VI. Processing Fee

Typically upto 4% of loan amount sanctioned
For women owned/co-owned businesses, there may be a 50% discount offered on the processing fee. For more information around this, please contact UGRO via means mentioned below

VII. Margin Money Requirement

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

VIII. Tenure, Repayments & Pre-Closures

Tenure: 12 months – 15 years
Repayments: EMIs
Pre-payment & Foreclosure Charges:
- Pre-payment done upto a maximum of 25% of principal outstanding AND within 12 months of loan sanction date: 4% of outstanding being pre-paid
- Pre-payment done above 25% of principal outstanding within OR after 12 months of loan sanction date & pre-payments after 12 months of loan sanction date: 6% of outstanding being pre-paid
- Foreclosure charges: 6% of principal outstanding

IX. Turnaround Time

May take 4-5 business days as the loan is processed digitally and requires less documentation
For more information around this, please contact UGRO via means mentioned below