SHG Issues

How we can help you

Swayamsiddha Foundation, Mumbai, has a field level experience of more than a decade. It is engaged in women empowerment through activities such as Self Employment and Self Help Groups. We have introduced Membership Registration programme for Women who intend to start their own business enterprises.

Swayamsiddha Foundation provides hand-holding support services to members of Self Help Groups (Bachat Gats), who intend to convert their SHG into a Business Enterprise.

A fee of Rs.100/- per year is charged from prospective entrepreneurs. To know more about our Membership Programme click here. Kindly note that Membership Registration with Swayamsiddha Foundation does not means registration of your Self Help Group (SHG).

Problems existing Women Self Help Groups(Bachat Gat) ?

Some of the problems faced by women SHG are as follows:

1. Problem of Finance:

Though there are many finance schemes for SHGs, either the finance provided under these schemes is meager or access to these schemes is not easy. SHGs therefore find it difficult to get finance and the financial institutions tend to discourage women from obtaining financial assistance.

2. Lack of Information:

Women SHGs lack information - information in terms of managing their SHG, documentation, legal requirements etc.

3. Transitional Issues:

Managing and running is one thing and converting a SHG into a Business Enterprise is a different game altogether. The mentality of SHG members requires to be converted from a SHG member to an entrepreneur.

4. Limited Mobility:

Unlike men, women mobility in India is highly limited due to various reasons. Cumbersome exercise involved in starting an enterprise coupled with the officials humiliating attitude towards women compels them to give up idea of starting an enterprise.

5. Internal Cohesiveness :

Before converting a SHG to a Business Enterprise, the group should be united and cohesive in nature. Unfortunately a vast majority of SHGs lack internal cohesiveness and there are lingering internal issues, over the period of time, these issues grow out of control and affects the entire group. Hence, internal cohesiveness is necessary for SHGs to sustain and transition into a successful business entity.

6. Lack of Education:

In India, around three-fifths (60%) of women are still illiterate. Illiteracy is the root cause of socio-economic problems. Due to the lack of education and that too qualitative education, women are not aware of business, technology and market knowledge. Also, lack of education causes low achievement motivation among women. Thus, lack of education creates one type or other problems for women in the setting up and running of business enterprises.

7. Low Risk-Bearing Ability:

Women in India lead a protected life. They are less educated and economically not self-dependent. All these reduce their ability to bear risk involved in running an enterprise. Risk-bearing is an essential requisite of a successful entrepreneur.

In addition to above problems, inadequate infrastructural facilities, shortage of power, high cost of production, social attitude, low need for achievement and socio­-economic constraints also hold the women back from entering into business.