Women Entrepreneur Scheme for Empowering Women in India

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Women Entrepreneur Scheme for Empowering Women in India

According to Ministry of Statistics and Program Implementation’s data, in India, there are approximately 8.05 million women entrepreneurs, which is about 13.76% of the total number of businesses in the nation. The women owned businesses employ 13.48 million individuals, which is 10.24% of the total no. of workers in India. 

This data indicates that there is a big gap between men and women in terms of business. There could be various reasons for the same such as fewer resources, social pressures and lesser chances to succeed in business. 

To prioritize women’s empowerment and improve participation of women entrepreneurs, the Government of India has come up with the Woman Entrepreneur Scheme for empowering Indian women. 

India's Low Ranking in Women's Entrepreneurship

Currently, India has a low ranking in women’s entrepreneurship. State of India's Livelihood Report by Access Publications states that, despite contributing 3.09% to industrial output and employing 10% of workers, India ranks 57 out of 65 for women's entrepreneurship around the globe, with only 2.16% of women participating in early-stage entrepreneurial activities.

We often see successful women entrepreneurs in the news, such as Falguni Nayar - Founder of Nykaa, and Vineeta Singh - Co-Founder of Sugar Cosmetics. However, they are still relatively rare. India needs more women entrepreneurs to challenge and overcome gender disparity in the business industry. For achieving this, the Woman Entrepreneur Scheme can be helpful. 

Women Entrepreneur Scheme 

Women Entrepreneur Scheme in India is popularly known as Stand Up India Scheme. It was launched by the Government of India on 5th April in 2016 to support women's entrepreneurship development in India. Contrary to the popular belief, this scheme is not only for women, but also for ST and SC communities.

Features of Women Entrepreneurship Scheme

Key features and benefits of Women Entrepreneurship Scheme include the following:

• It provides bank loans between Rs. 10 lakh to Rs. 1 crore to women entrepreneurs, STs and SCs.  

• Non-individual enterprises can avail women entrepreneur loan under the scheme. For this, at least 51% of the shareholding and controlling stake must be held by an SC, ST or woman entrepreneur. 

• Women Entrepreneur Scheme is for greenfield enterprises engaged in manufacturing, trading and agriculture-allied services.

• Borrowers enrolled in the scheme are issued a Rupay debit card, which is accepted at almost all ATMs in India.

• For the first three years, the startup companies run by women entrepreneurs in India may be able to receive tax benefits under the scheme. 

Who is Eligible for Woman Entrepreneur Scheme?

Check the eligibility requirements mentioned below to know whether you are eligible for woman entrepreneurship scheme:

• Only greenfield projects are eligible for the woman entrepreneur scheme’s benefits.

• The applicant must be a woman. If the applicant is a male, he must belong to SC or ST background to be eligible.

• The applicant must be 18 years of age or older.

• The applicant must not have defaulted on any bank/financial institution loan.

If you meet the above-stated eligibility criteria for Stand Up India scheme, then you can go ahead and apply for it.

How to Apply for Women Entrepreneur Loan?

There are three different ways to apply for women entrepreneur loan under women entrepreneurship scheme:

• Visit Your Bank’s Nearest Branch: You can directly visit your bank’s nearest branch and speak with the relationship manager for assistance in Women Entrepreneur Loan.

• Stand Up India Portal: You can apply for a loan under the scheme from the comfort of your home. Simply visit the official stand up India portal and file an application there.

• Lead District Manager (LDM): You can reach out to the Lead District Manager (LDM) to help you out. The list of LDMs is available on the Stand Up India portal.

Conclusion

The number of women entrepreneurs is really low when compared to men entrepreneurs. To promote the participation of women in entrepreneurship, the Government of India launched the women entrepreneur scheme in 2016. While the GOI supports women to partake in entrepreneurship schemes, it is ultimately for the women to decide whether they want to avail the scheme’s benefits. It’s high time for Indian women to overcome barriers caused by gender disparity and show the world they're equally capable of excelling in business. 

Want to establish a company in India? Connect with Registrationwala for assistance in the Startup Company Registration process. 

FAQs: Women Entrepreneurship

Q1. What are some problems faced by women entrepreneurs?

A. Women entrepreneur problems include lack of funding, lack of education, difficulty in work-life balance and lack of professional networks. 

Q2. What is women entrepreneur meaning?

A. Women entrepreneurs refer to women who establish and manage their own businesses.  

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