MUDRA Kishor · Textiles

MUDRA Kishor Cloth Bag Unit Project Report

Bank-ready cloth bag unit report under MUDRA Kishor — project cost ₹2–25 Lakh, subsidy, CMA data, DSCR ≥ 1.50 and 5-year projections.

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About This Scheme

Are you an entrepreneur in India planning to start a cloth bag manufacturing unit under the MUDRA Kishor scheme? This page provides a comprehensive project report tailored for NIC 13929, covering project costs between ₹2–25 lakh. A bank-ready project report is crucial for loan approval under MUDRA Kishor, as it demonstrates viability through detailed CMA data, Debt Service Coverage Ratio (DSCR) analysis, and 5-year financial projections. Our report includes cost breakdowns for machinery, raw materials, working capital, and subsidy eligibility under schemes like PMEGP (up to 35% subsidy). We also cover government scheme integration, documentation checklist, and step-by-step guidance for applying at banks or NBFCs. Whether you're in Mumbai, Delhi, or a Tier-2 city, this resource helps you secure funding efficiently.

MUDRA Kishor
Scheme
Cloth Bag Unit
Business
₹2–25 Lakh
Project Cost
13929
NIC Code
₹50K–₹5L
Coverage
≥ 1.50
DSCR (bank norm)
PDF · Word · Excel
Formats
Free
First Report

Eligibility for MUDRA Kishor Cloth Bag Unit

To qualify for MUDRA Kishor loan (₹5 lakh to ₹10 lakh) or Shishu (up to ₹50,000) for a cloth bag unit, the applicant must be an Indian citizen, above 18 years, with a viable business plan. No collateral is required under CGTMSE cover. The business should be in manufacturing (NIC 13929) – producing cotton, jute, or non-woven bags. Priority is given to women, SC/ST, OBC, and minority entrepreneurs. A project report with 5-year projections, CMA data, and DSCR >1.25 is mandatory. Existing businesses with good CIBIL score (above 700) also qualify.

Project Cost & Financing Structure

For a cloth bag unit, project cost typically includes machinery (₹1-3 lakh for sewing machines, cutting tables, and printing equipment), raw materials (₹50,000-1 lakh for fabric, thread, dyes), working capital (₹1-2 lakh), and other expenses (rent, electricity, registration). Under MUDRA Kishor, loan amount up to ₹10 lakh with interest rates 8-12% p.a. Subsidy up to 35% (max ₹10 lakh) under PMEGP can reduce effective cost. Banks finance 90-95% of project cost; margin money 5-10%. Our report includes detailed cost breakup and funding mix.

Documents Required for Bank Loan

Key documents: Identity proof (Aadhaar, PAN), address proof, business plan/project report (with CMA data, DSCR, 5-year projections), quotations for machinery, proof of premises (rental/ownership), caste certificate (if applicable), and 2 years bank statement. For existing units: IT returns, GST registration, and audited financials. Under CGTMSE, no collateral documents needed. Ensure project report is signed by a qualified CA or consultant. Our template includes all necessary formats.

What Your Report Includes

Every report is formatted to the exact standards required by Indian banks and government departments.

  • Executive Summary with scheme-specific highlights
  • Promoter profile & KYC details
  • Business description & market analysis
  • Machinery & equipment list with quotations
  • Raw material & manpower planning
  • 5-year financial projections (P&L, Balance Sheet, Cash Flow)
  • CMA Data in IBA-approved format
  • Working Capital Assessment — Tandon Method II (RBI norms)
  • Loan repayment schedule with DSCR ≥ 1.25
  • SWOT analysis
  • Declarations & undertakings as per scheme guidelines

Eligibility Checklist

  • cloth bag unit owner eligible under MUDRA Kishor (₹50K–₹5L)
  • Valid Aadhaar & PAN
  • Udyam (MSME) registration recommended
  • New or existing cloth bag unit
  • Age 18+
  • No prior bank default
Export formats
PDF (A4)
Free: branded/watermarked
Word (.docx)
Paid plans
Excel (.xlsx)
Paid plans

Generate Your Report in 4 Steps

1

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2

Fill the Form

Enter applicant details, select the scheme, set your loan amount.

3

AI Generates Report

Our AI drafts the full report with financials, projections, and CMA data in under 60 seconds.

4

Download & Submit

Export PDF on the free plan (branded). Upgrade for clean exports plus Word (.docx) + Excel (.xlsx). Submit to bank or DIC office.

Why Use Cred for This Report?

MUDRA Kishor format + cloth bag unit economics combined correctly.

Subsidy/margin money for MUDRA Kishor auto-computed.

Project cost ₹2–25 Lakh, NIC 13929.

CMA, DSCR ≥ 1.50, 5-year projections.

Editable; Word + Excel exports; first report free.

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Frequently Asked Questions

Can I fund a cloth bag unit with MUDRA Kishor?

Yes — MUDRA Kishor (₹50K–₹5L) is commonly used for cloth bag unit. The report is formatted to MUDRA Kishor requirements with subsidy/margin money shown.

How much subsidy under MUDRA Kishor?

₹50K–₹5L — computed automatically in the means-of-finance and subsidy sections.

How do I get it?

Register free, pick the scheme & loan amount, and the AI drafts the full bank-ready report (CMA data, DSCR, 5-year projections) in under 60 seconds. First report free; clean exports ₹499.

What is the maximum loan amount under MUDRA Kishor for a cloth bag unit?

Under MUDRA Kishor, the loan amount ranges from ₹5 lakh to ₹10 lakh. For smaller needs, MUDRA Shishu offers up to ₹50,000, and Tarun up to ₹20 lakh. The exact amount depends on project cost and bank assessment.

Is subsidy available for cloth bag manufacturing under MUDRA?

MUDRA itself does not provide subsidy, but you can combine it with PMEGP (up to 35% subsidy for general category, 25% for others) or state-specific schemes. Our project report includes PMEGP integration to maximize benefits.

Do I need collateral for a MUDRA Kishor loan?

No, MUDRA loans are collateral-free under CGTMSE cover for loans up to ₹10 lakh. However, the bank may require a personal guarantee. The project report must include CGTMSE details to assure the bank.

How long does it take to get MUDRA loan approval?

Typically 7-15 working days after submission of complete documents. A bank-ready project report with CMA data and DSCR speeds up the process. Delays occur if financials are incomplete or CIBIL score is low.

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