Mudra Loans are ideal for micro and small businesses with an annual turnover of up to ₹30–40 lakhs. Under this government-backed scheme, entrepreneurs can access loans up to ₹10 lakhs without the need for collateral, as the Government of India provides the guarantee.
Both term loans and overdraft (OD) limits are available to suit different financial needs. While the interest rate under Mudra Loans may be slightly higher than some other schemes, it remains a highly accessible and practical option for smaller enterprises looking to secure quick and collateral-free funding.
