PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh
PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh offers ₹10.0L – ₹20L (Debt / Loan) for Indian startups.
- Funding amount
- ₹10.0L – ₹20L (debt / loan)
- Funding type
- Debt / Loan
- Provider
- Ministry of Finance, Govt of India (Government)
- Application deadline
- Rolling
- Eligible stage
- Any stage
- Location
- Open to startups registered in India
Overview
The Tarun+ category is the highest tier under Pradhan Mantri MUDRA Yojana (PMMY). It was introduced to bridge the gap between micro-enterprise credit and formal MSME loans. The scheme offers loans from ₹10 lakh to ₹20 lakh to micro-entrepreneurs who have previously availed and successfully repaid a MUDRA loan at a lower tier (Shishu, Kishore, or Tarun). No collateral is required, as the MUDRA guarantee backstops lenders. Funds can be used for all non-farm income-generating activities, including manufacturing, services, trading, and tourism (homestays are explicitly included). Lenders typically expect a proven repayment history under PMMY. Applications are accepted through any MUDRA-empanelled scheduled bank or NBFC, or online via the Jansamarth portal.
Highlights
- Highest PMMY tier offering ₹10 lakh–₹20 lakh for micro-entrepreneurs ready to scale.
- No collateral — the MUDRA guarantee eliminates the need for property or asset security.
- Requires a successful repayment record on a prior MUDRA loan.
- Covers all non-farm sectors: manufacturing, trading, services, and tourism including homestays.
- Open-ended, always-open application via scheduled banks, NBFCs, or the Jansamarth portal.
Who can apply
Non-farm micro-enterprises and entrepreneurs who have previously availed and successfully repaid a MUDRA loan are eligible. Both new and existing businesses can apply. Loans are provided through MUDRA-empanelled banks, microfinance institutions, and NBFCs. Acceptable activities cover all non-farm income-generating ventures: manufacturing, services, trading, and tourism (including homestays). A prior MUDRA loan repayment record is typically required for the Tarun+ tier.
PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh is open to startups at any stage. It is open to startups registered anywhere in India.
- Eligible stage
- Any stage
- Location
- Open to startups registered in India
Deadline & timing
PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh accepts applications on a rolling basis — there is no fixed cut-off date, so eligible startups can apply at any time. Because rolling programmes can pause without notice, confirm the window is still open on the official site before you start.
What the funding covers
PMMY Tarun+ offers collateral-free loans of ₹10,00,001 to ₹20,00,000 for deserving micro-entrepreneurs. No physical security or asset is needed; the MUDRA guarantee covers lenders, making this a genuine unsecured loan. Funds can be deployed across all non-farm activities such as manufacturing, services, trading, and tourism (including homestays). Loan tenure and interest rates are set by the empanelled lender within RBI's lending guidelines. The Tarun+ tier specifically aims to scale up successful micro-enterprises, bridging them from micro-loans to formal MSME credit.
About the provider
PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh is offered by Ministry of Finance, Govt of India, a government body. As a government-backed debt / loan, it is publicly funded and open to eligible startups across India. You can verify current details and timelines on the provider's official website before applying.
How to apply
Applications are submitted on the official portal. Confirm the current deadline and document checklist there before you start.
Selection process
Lenders assess applications based on business viability and the applicant's prior MUDRA repayment track record. As a mandatory pre-condition, borrowers must have successfully repaid a lower-tier MUDRA loan (Shishu, Kishore, or Tarun). No collateral evaluation is needed. The lending institution verifies KYC documents, business plan, proof of previous MUDRA repayment, and Udyam/MSME registration if available. The decision is at the lender's discretion; there is no separate competitive selection process.
Documents you’ll need
Before you apply to PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh, keep the following documents ready:
- A pitch deck or short business plan describing the problem, product and traction
- Company registration documents and PAN
- Founder identification (PAN / Aadhaar) and brief profiles
- Recent financial statements or projections
- Product details — a demo, prototype or working link if available
Exact requirements are confirmed on the official application portal — treat this as a preparation checklist.
Who this is best for
PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh is best suited for startups in India seeking non-dilutive funding of ₹10.0L – ₹20L. If that describes your startup, review the eligibility criteria above before applying.
Frequently asked questions
What is the loan amount available under PMMY Tarun+?
The loan range is from ₹10,00,001 to ₹20,00,000. It is the highest tier of MUDRA loan.
Who is eligible for the Tarun+ loan?
Non-farm micro-entrepreneurs who have previously availed and successfully repaid a MUDRA loan at a lower tier (Shishu, Kishore, or Tarun). Both new and existing businesses can apply if they meet this condition.
Do I need to have repaid a previous MUDRA loan to get Tarun+?
Yes. Most lenders expect a proven repayment record under PMMY before sanctioning the Tarun+ tier.
Is collateral required?
No collateral is required. The borrower does not need to pledge any property or asset because the MUDRA guarantee provides security for the lender.
Are homestays and tourism businesses eligible?
Yes. Tourism activities, including homestays, are explicitly covered under the allowed non-farm income-generating activities.
How can I apply for PMMY Tarun+?
Visit any MUDRA-empanelled scheduled bank or NBFC, or apply digitally through the Jansamarth portal (jansamarth.in). You will need to provide KYC documents, a business plan, proof of prior MUDRA repayment, and suggested Udyam/MSME registration.
What documents are needed to apply?
Common requirements include Aadhaar and PAN for KYC, a business plan, proof of previous MUDRA loan repayment (loan statement or sanction letter), and your Udyam or MSME registration certificate if you have one. Some lenders may also ask for financial statements or bank statements.
Is the Tarun+ application always open?
Yes. There is no deadline — it is a rolling application window.
Do lenders charge interest?
Yes, but the interest rate is determined by each empanelled lender within RBI's guidelines for MSME lending. The policy also specifies loan tenure and repayment terms set by the lender.
Does PMMY take equity in my business?
No. PMMY provides loans (debt), not equity. You retain full ownership and no equity stake is taken.
How much funding does PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh provide?
PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh provides ₹10.0L – ₹20L (range) as debt / loan. Always confirm the exact amount and any conditions on the official site, as figures can change between cohorts.
What is the application deadline for PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh?
PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh runs on a rolling basis with no fixed deadline — applications are accepted on an ongoing basis. Check the official site to confirm the window is currently open.
Is DPIIT recognition required for PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh?
No. DPIIT (Startup India) recognition is not listed as a mandatory requirement for PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh, though having it can strengthen your application and unlock other benefits.
Who offers PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh?
PMMY Tarun+ — MUDRA Loan ₹10 Lakh to ₹20 Lakh is offered by Ministry of Finance, Govt of India, a government body. It is provided as non-dilutive funding.
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