What is Micro Loan

Small businesses make up for a large percentage of the economy coming into the Indian government. However, start-ups like these often struggle to meet their financial requirements which are needed to run their businesses, creating undue hold ups in sustenance. In such situations, micro loans are very helpful in providing small financial aid to small businesses, including start-ups, micro enterprises/entrepreneurs, self-employed professionals and other individuals who have low capital requirements.

Micro loans are short-term loans which comprise of smaller loan amounts which are extended to lower income entities including micro-enterprises/entrepreneurs, low income group families, start-ups, small businesses and basically anyone who is falling short of financial aid to run their businesses and have little to almost no access to this aid.

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