This research examines the results of microfinance with regard to the social and economic empowerment of women entrepreneurs in rural India. The study uses secondary data from a multitude of sources and employs a number of statistical tools, such as factor analysis, ANOVA, chi-square tests, and regression analysis, to evaluate the contribution of microfinance to the reduction of poverty, power sharing, decision-making authority, income growth, and ensuing problems faced by rural women. The results show that microfinance greatly increases income growth, with about 78 percent of the variation in income explained by loan amount. The chi square test suggests a positive effect of the length of SHG participation on decision-making capability, and ANOVA shows that the degree of poverty reduction among different geographical areas is significant. The analysis by factor analysis identifies key issues such as male opposition to inclusion and insufficient training. The research concludes that microfinance is important to empower rural women entrepreneurs, but for this to achieve a greater effect, by the way, regional and sociocultural barriers have to be removed. The recommendations included targeted funding, thorough training initiatives, resolving regional inequalities, and encouraging gender sensitivity in the microfinance projects. The research provides a basis for future programmatic and policy actions and advances our collective knowledge of the multifaceted role of microfinance in women's empowerment.