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In this article, a novel dual codebook based multi-user multiple-input multiple-output (MU-MIMO) precoding and scheduling scheme with limited feedback for downlink transmission is proposed. The proposed dual codebook based MU-MIMO scheme utilizes the first codebook for limited feedback and the second codebook for scheduling and precoding for multiple users at the BS. This paper explores a simplified scheduling function at the BS to schedule users and select the precoding matrix from the second codebook simultaneously. The dual codebook based multi-user MIMO provide significant performance improvement than single-user MIMO (SU-MIMO) and outperforms the DFT codebook based MU-MIMO scheme without pairing failure at the BS.