Mudra / MSME Loan Project Report

Mudra / MSME Loan Project Report
MUDRA Loans are micro loans made available through the Pradhan Mantri Mudra Yojana (PMMY) to the MSME sector to meet their liquidity requirements. This is a credit support to small businesses in the non corporate sector to start a new business or capital for expansion of existing businesses.

In order to obtain a Mudra loan, the primary and essential requirement is to submit a Project Report to the Bank during the application process. The Project Report should include all business-related financial, economic, managerial, technical aspects of the project or business and it should be complete and Contains valid data that is readily accepted and approved for loan sanctioning under PMMY.

A project report is a document that contains information about the business. The report provides a thorough cost-benefit analysis of the requested business loan. It presents detailed information about the project's cost, proposed and existing activities, existing debt (if applicable), revenue projections, and more.

MUDRA loan scheme categories
1. Shishu: loans up to 50,000/-
Kishor: loans over 50,000/- and up to 5 lakhs
Tarun: Covers loans ranging from 5 lakh to 10 lakh.
If the business unit is already in existence or has a shop/building for carrying out the anticipated business at the time of application, the chances of receiving a mudra loan improve.