Skip to content

FREE Check your credit score & pre-approved offers

Government Business Loan Schemes: CGTMSE, Mudra & Stand-Up India

How CGTMSE, Pradhan Mantri Mudra Yojana and Stand-Up India help startups and MSMEs get loans, often without collateral.

By BankHelpline Editorial Team Reviewed by Sheetal Pawar, Director Updated

Key takeaway

The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) gives lenders a credit guarantee on eligible collateral-free loans to micro and small enterprises. You apply through a bank or eligible NBFC, not directly to CGTMSE.

What is the CGTMSE scheme?

The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) gives lenders a credit guarantee on eligible collateral-free loans to micro and small enterprises. You apply through a bank or eligible NBFC, not directly to CGTMSE.

What is Pradhan Mantri Mudra Yojana (PMMY)?

Mudra loans support non-farm income-generating micro and small enterprises through banks, NBFCs and MFIs. Loans are grouped into Shishu, Kishore, Tarun and Tarun Plus categories based on loan size.

What is Stand-Up India?

Stand-Up India supports SC/ST and women entrepreneurs setting up greenfield enterprises in manufacturing, services, trading or allied agricultural activities, through scheduled commercial banks.

How do I apply?

  • Register your business on the Udyam portal (free)
  • Prepare a business plan or project report
  • Approach a bank or NBFC that participates in the scheme
  • Submit KYC, business and financial documents

Frequently asked questions

Yes. Eligible micro and small enterprises can get collateral-free loans backed by CGTMSE, and Mudra loans are generally collateral-free. Limits and eligibility are set by each scheme and lender.

Sources & editorial policy

Content is researched from official sources such as the Reserve Bank of India (RBI), credit bureaus and lender websites, and reviewed periodically. Rates and charges change often – always confirm the latest terms with the lender.

Ready to find your best offer?

Share your number and our expert will call you within 30 minutes during working hours.

+91

By submitting, you agree to our Terms & Privacy Policy and allow us to contact you.

Call Expert Get Free Offers