Any individual engaged in non-corporate, non-farming economic operations can apply for a MUDRA loan through the Pradhan Mantri Mudra Yojana Scheme. The eligibility conditions for Mudra loans are as follows:

• Applicants should be at least 18 years old and no older than 65.
• Individuals, start-up companies, business owners, entrepreneurs, SMEs, and MSMEs are all eligible.
• Traders, artisans, manufacturers, and retailers who exclusively work in the trading, services, and manufacturing industries are also qualified.
• If the applicant’s requirements total less than ten lakh.
• Applicants with a strong payback history and no outstanding bank balances.
• People from the SC/ST/OBC categories.
• Applicants with no previous loan defaults with any financial institution.

The following businesses are eligible for Mudra Loan:

1. Business vendors and shopkeepers:

Shopkeepers and sellers, including fruit and vegetable dealers, can qualify for a loan of up to ₹ 10 lakh.

2. Service Sector Units:

Beauty salons, boutiques, parcel services, car repairs, dry cleaning, gyms, saloons, tailoring shops, and so on.

3. Textile Industry:

Mudra loans can aid textile businesses such as handloom, knitting, silk work, garment design, embroidery, and traditional dying.

4. Food Production Sector:

Start-ups involved in food processing, retail, food parcel services, or cold storage might use this mudra loan to grow their operations.

5. Agricultural Activities:

Loans under this initiative are available for agricultural operations such as dairy farming, poultry, fishing, and the construction of small canals and wells.

6. Vehicles:

Loans will be available for purchasing passenger automobiles, goods transportation vehicles, and three-wheelers.

The eligibility documents for the Mudra loan vary depending on the loan purpose. The documentation necessary for certain purposes are listed below:

1. Documents for vehicle loans

• Completed Mudra Yojana and vehicle loan application forms.
• Two passport-sized photographs of the applicant.
• Identity documents include an Aadhaar card, passport, voter ID card, driver’s license, and so on.
• An Aadhaar card, passport, bank statements, phone, or utility bill can all be used as proof of address.
• Income Proof
• Finally, bank statements for the last six months.

2. Documents for a Business Installment Loan

• Completed Mudra Yojana loan application form.
• Two passport-sized photographs of the applicant.
• Identity documents include an Aadhaar card, passport, voter ID card, driver’s license, and so on.
• Proof of residential address might be in the form of an Aadhaar card, passport, bank statements, phone or power bill.
• Proof of ownership for the business or residence.
• Trade allusions
• Proof of Qualification, Establishment, and Business continuity
• 2-year ITR and CA-certified financials
• Bank statement from the last six months

3. Documents for Business Loan

• Completed Mudra Yojana loan application form.
• Identity and age verification documents include Aadhaar cards, passports, voter ID cards, driver’s licenses, and so on.
• Residential address evidence, such as an Aadhaar Card, Passport, bank statements, telephone or power bill.
• Proof of ownership of the business or residence
• Proof of Qualification, Establishment, and Business continuity
• Bank statement over the past 12 months
• Proof of business continuation.
• Income tax returns for the most recent two years

Is the agriculture industry eligible for Mudra loans?

MSMEs include the agricultural industry; nevertheless, only a few types of firms in the agricultural sector are eligible for Mudra Loan:

• Livestock
• Poultry
• Beekeeping
• Fishing
• Agribusiness Centers
• Agriclinics
• Food and agricultural product industry

Eligibility Criteria

1. Age: 18 to 65 years.
2. Eligible Entities:
   • Individuals
   • Startups
   • Small businesses
   • Entrepreneurs
   • SMEs
   • MSMEs
3. Sectors:
   • Retailers, manufacturers, artists, and traders in manufacturing, services, and trading.
4. Loan Amount: Up to ₹10 lakh.
5. Credit History: excellent repayment record free of defaults.
6. Categories: SC, ST, and OBC individuals.

Eligible Businesses

1. Vendors and Shopkeepers: This group includes sellers of fruits and vegetables.
2. Businesses in the service sector:  include salons, boutiques, and auto repair companies.
3. Textile Industry: This includes embroidery and handlooms.
4. Food production Sector: Food processing and cold storage are included in the food production sector.
5. Agriculture-related activities:  include raising chickens, fish, and dairy products.
6. Purchase of Vehicles: For the transportation of passengers and products.

Required Documentation

1. Vehicle Loan:
   • Application forms
   • Identity and address proofs
   • Income proof and bank statements
2. Business Installment Loan:
   • Forms of application
   • Proofs of address and identity
   • Evidence of ownership
   •  
   • Commercial allusions
   • Financial records (bank statements, certified CA financials, ITRs)
3. Business Loan:
   • Forms of application
   • Proofs of address and identity
   • Evidence of ownership
   • Evidence of financial continuity
   • ITRs and bank statements

Agriculture Sector Eligibility

Mudra loans are available to certain MSMEs in the agricultural sector, including agribusiness centers, cattle, poultry, and beekeeping. 

Conclusion

The goal of the Mudra Loan program is to empower entrepreneurs and small company owners by giving them the critical financial support they need to grow and succeed in their respective industries.

Always consult reputable news sources and the official Mudra Loan resources for the most recent information.