Mudra Loan Eligibility Explained: Who Can Apply & How to Get Approved?
Mudra loan Eligibility.The Pradhan Mantri Mudra Yojana (PMMY) is a government initiative to provide financial support to micro and small businesses. Mudra loans are available in three categories: Shishu (up to ₹50,000), Kishore (₹50,000 – ₹5 lakh), and Tarun (₹5 lakh – ₹10 lakh). To be eligible, the applicant must be a non-corporate, non-farm small business engaged in manufacturing, trading, or services. Startups, entrepreneurs, and small retailers can apply, but must provide basic documentation, including identity proof, business registration, and financial statements. Collateral-free loans and flexible repayment terms make Mudra loans attractive. However, approval depends on credit history, business viability, and lender policies. Learn how to apply, improve your chances of approval, and choose the best Mudra loan for your business growth.