Uco Mahila Pragati Dhara (UMPD)

Uco Mahila Pragati Dhara is designed to support and give power to women entrepreneurs by offering easy financial assistance at open-minded and concessional terms for handling production, manufacturing or service related economic activities under Micro and Small Enterprise Sector.

Eligibility Criteria

The following are the eligibility criteria for Uco Mahila Pragati Dhara:

Any woman individually or any unit created by a woman or group of women as a sole proprietary firm.
Partnership firm in partnership with other women or men where the main share in the partnership is of women partner(s)
Private Limited Company with major shareholding being held by Women
Closely held Public Limited Companies with major shareholding being held by Women
Women entrepreneur(s) or enterprise (where women entrepreneurs hold not lesser than 50 % of financial holding) involved in production and manufacturing process as well as service enterprise.
Not defaulter to any Bank or Financial institution.

Uco Mahila Pragati Dhara scheme gives preference to women entrepreneurs skill trained in R-SETIs or any other approved training institute.

Loan Sanctioned

Term loan or working capital facilities of a minimum of Rs.2 lakhs to a maximum of Rs.25 lakhs can be sanctioned under the scheme for setting up of new businesses or for expansion or modernisation. Some of the main businesses supported under the scheme include tailoring, beauty parlor, photocopying (Xerox ) centre, typing centre, cyber café, auto-repairing and servicing centre, laundry & dry cleaning, ISD/STD booths, cable TV networks, crèche, road transport operators, mobile repairing, canteen, restaurant, training institute and so on. The above mentioned activities are not comprehensive. All proposals meeting the eligibility criteria will be processed under the scheme on a merit basis.

Margin & Collateral

There is no margin requirement for loan of upto Rs. 2 lakh. Loans above Rs.2 lakhs to Rs.25 lakhs are required to provide a margin of 15%. Margin money can also be covered in the form of any subsidy or sponsor by a Government scheme or agency. The loan will be covered under the CGTMSE scheme. Additionally, all the assets created out of the loan will be hypothecated to the Bank.

Loan Repayment

In case of term loan, a tenure of 5 to 7 years in EMI - exclusive of moratorium period (maximum 6 months) can be provided based on the cash flow of the project. In case of working capital facilities, renewal is required every 12 months.

Applying for Uco Mahila Pragati Dhara

The Uco Mahila Pragati Dhara loan can be applied in a simple form called the IBA along with one passport size photo and the following documents:

Proof of identify: Voter's ID card or passport or driving license or PAN card
Proof of Residence: Recent telephone bills, electricity bills, property tax, receipt or passport or voter's identity card or certificate from the local bodies.
Proof of business address
Rent agreement in case business premises is on rent.
Projected balance sheet, profit and loss statement for the subsequent two years (valid for loan above Rs. 2 lakhs)
Last three years balance sheets and Profit/Loss statement of the existing unit (appropriate for loan above Rs.2 lakhs)
Clearance from Pollution Control Board, if applicable.
Details of plant and machinery to be obtained, price, number and name of the supplier.
License or permission from the Governmetal authority, if necessary.
Asset and liability statement of the promoters.

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Frequently Asked Questions

Common questions about UCO Mahila Pragati Dhara: Empower Women Entrepreneurs.

UCO Mahila Pragati Dhara is a loan scheme designed by UCO Bank to support and empower women entrepreneurs by providing easy financial assistance on flexible and concessional terms for undertaking production, manufacturing, or service-related economic activities in the Micro and Small Enterprise Sector.

Women entrepreneurs, either individually or as a group, running sole proprietorships, partnerships with a major share held by women, private or closely held public limited companies with major shareholding by women, and enterprises where women hold at least 50% of the financial holding, are eligible for the UCO Mahila Pragati Dhara loan.

The UCO Mahila Pragati Dhara scheme offers term loans or working capital facilities ranging from a minimum of Rs. 2 lakhs to a maximum of Rs. 25 lakhs for setting up new businesses or for expansion or modernization of existing ones.

The UCO Mahila Pragati Dhara scheme supports a wide range of businesses, including tailoring, beauty parlors, photocopying centers, typing centers, cyber cafes, auto-repairing and servicing centers, laundry and dry cleaning services, ISD/STD booths, cable TV networks, crèches, road transport operations, mobile repairing, canteens, restaurants, and training institutes, among others.

There is no margin requirement for loans up to Rs. 2 lakhs under the UCO Mahila Pragati Dhara scheme. For loans above Rs. 2 lakhs and up to Rs. 25 lakhs, a margin of 15% is required, which can also be covered by subsidies or sponsorships from government schemes or agencies.

For term loans under the UCO Mahila Pragati Dhara scheme, a repayment tenure of 5 to 7 years in EMIs, exclusive of a maximum 6-month moratorium period, is provided based on the project's cash flow. Working capital facilities under the scheme require renewal every 12 months.

To apply for the UCO Mahila Pragati Dhara loan, applicants need to submit a simple IBA form along with a passport-size photograph, proof of identity, proof of residence, proof of business address, projected financial statements, existing financial statements (if applicable), pollution control clearance (if applicable), details of plant and machinery, required licenses or permissions, and asset and liability statements of the promoters.

Yes, the UCO Mahila Pragati Dhara scheme gives preference to women entrepreneurs who have received skill training from Rural Self-Employment Training Institutes (R-SETIs) or any other approved training institute.

The UCO Mahila Pragati Dhara loan is covered under the Credit Guarantee Trust for Micro and Small Enterprises (CGTMSE) scheme. Additionally, all assets created out of the loan amount will be hypothecated to UCO Bank as collateral.

No, the UCO Mahila Pragati Dhara scheme is not available to individuals or entities who have defaulted on loans from any bank or financial institution.