List of Government Schemes To Support Startups in India

LIST OF GOVERNMENT SCHEMES
TO SUPPORT STARTUPS IN INDIA
With the latest improvement in India’s ease of business ranking, there has
been a higher push by the Government to also create and nurture a startup
ecosystem in the economy. In order to promote and support entrepreneurs,
the government has created a ministry (department) dedicated to helping new
businesses. The ruling party has introduced many schemes to bolster
entrepreneurship in India and to assist emerging startups financially.
Different fields of startups like fintech, edtech, pharma, e-commerce, supply

chain, and even consumer marketing are gaining momentum due to increased
funding and supportive policies. This initiative not only supports great minds
but allows competition and equal representation in the business world.
Here is a list of government schemes launched to develop and encourage

entrepreneurship in India.
1) Startup India Seed Fund

On 16 January 2021, Prime Minister Narendra Modi announced the launch of
the 'Startup India Seed Fund' — worth INR 1,000 crores — to help startups and
support ideas from aspiring entrepreneurs.
What is Startup India Seed Fund Scheme?
Easy availability of capital is essential for entrepreneurs at the early stages of

growth of an enterprise.
Funding from angel investors and venture capital firms becomes available to
startups only after the proof of concept has been provided. Similarly, banks
provide loans only to asset-backed applicants. It is essential to provide seed
funding to startups with an innovative idea to conduct proof of concept trials.
DPIIT has created Startup India Seed Fund Scheme (SISFS) with an outlay of
INR 945 Crore to provide financial assistance to startups for Proof of Concept,
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prototype development, product trials, market entry, and
commercialization.It will support an estimated 3,600 entrepreneurs through
300 incubators in the next 4 years.
Eligibility Criteria
Startups
 A startup, recognized by DPIIT, incorporated not more than 2 years ago

at the time of application.
To get DPIIT-recognized, please
visit https://www.startupindia.gov.in/content/sih/en/startupgov/startup-
recognition-page.html
 The startup must have a business idea to develop a product or a service
with a market fit, viable commercialization, and scope of scaling.
 The startup should be using technology in its core product or service, or
business model, or distribution model, or methodology to solve the
problem being targeted.
 Preference would be given to startups creating innovative solutions in
sectors such as social impact, waste management, water management,
financial inclusion, education, agriculture, food processing,
biotechnology, healthcare, energy, mobility, defence, space, railways, oil
and gas, textiles, etc.
 Startup should not have received more than Rs 10 lakh of monetary
support under any other Central or State Government scheme. This does
not include prize money from competitions and grand challenges,
subsidized working space, founder monthly allowance, access to labs, or
access to prototyping facility.
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 Shareholding by Indian promoters in the startup should be at least 51%
at the time of application to the incubator for the scheme, as per
Companies Act, 2013 and SEBI (ICDR) Regulations, 2018.
 A startup applicant can avail seed support in the form of grant and
debt/convertible debentures each once as per the guidelines of the
scheme.
Incubators
 The incubator must be a legal entity:
- A society registered under the Societies Registration Act 1860, or
- A Trust registered under the Indian Trusts Act 1882, or
- A Private Limited company registered under the Companies Act 1956 or
the Companies Act 2013, or
- A statutory body created through an Act of the legislature
 The incubator should be operational for at least two years on the date of
application to the scheme
 The incubator must have facilities to seat at least 25 individuals
 The incubator must have at least 5 startups undergoing incubation
physically on the date of application
 The incubator must have a full-time Chief Executive Officer, experienced
in business development and entrepreneurship, supported by a capable
team responsible for mentoring startups in testing and validating ideas,
as well as in finance, legal, and human resources functions
 The incubator should not be disbursing seed fund to incubatees using
funding from any third-party private entity
 The incubator must have been assisted by the Central/State
Government(s)
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 In case the incubator has not been assisted by the Central or State
Government(s):
- The incubator must be operational for at least three years
- Must have at least 10 separate startups undergoing incubation in the
incubator physically on the date of application
- Must present audited annual reports for the last 2 years
 Any additional criteria as may be decided by the Experts Advisory
Committee (EAC)
2) eBiz Portal
This is the first electronic government-to-business(G2B) portal. The main

purpose of the portal is to transform and develop a conducive business
environment in the country. eBiz Portal was developed by Infosys in a
public-private partnership model. It is a communication center for investors
and business communities in India. The portal has launched 29 services in 5
states of India, viz., Andhra Pradesh, Delhi, Haryana, Maharashtra, and
Tamil Nadu. The government will add more services to the scheme with
time.
What is the eBiz Portal?
The eBiz portal integrates several government services in a single website to
facilitate faster delivery of licenses, registrations, and clearances for
businesses. Businesspeople will be able to apply for required clearances on the
portal, make electronic payments to process these applications and track the
status of their application online. The eBiz portal is also a repository of
information on services required for business set-up in India.
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The eBiz portal introduces an unprecedented degree of clarity to obtaining a
number of licenses and registrations necessary for setting up a business in
India. Well-organized applicants will find that the amount of time involved in
the application process will drop significantly.
However, companies that do not have staff members familiar with India’s
business environment may struggle to gather, prepare and file support
documents required for some of the G2B services featured on the eBiz portal.
Some of the services featured on the eBiz portal require supporting
documentation or information that is difficult to obtain or produce without
local expertise. Although the eBiz portal makes it easier for some individuals
and companies to setup in India, it does not do much for those that do not
have experience working with the Indian government.
List of startup schemes launched by the Indian government and run under
different ministries and are further headed by different departments.
Ministry Of Electronics and Information Technology (MeitY)
Startup Scheme 1: Support for International Patent Protection in Electronics

& Information Technology (SIP-EIT)
Launched In: N/A
Headed by: Department of Electronics and Information Technology (DeitY)
Industry Applicable: IT Services, analytics, enterprise software, technology
hardware, Internet of Things, AI.
Eligible For: MSMEs and technology startups in the ICTE sector.
Overview: The scheme, launched by the Indian government, aims to provide
financial support to MSMEs and technology startup units for international
patent filing to encourage innovation and recognise the value and capabilities
of global IP along with capturing growth opportunities in the ICTE sector.
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Fiscal Incentives: Reimbursement will be limited to a total of INR 15 Lakhs per
invention or 50% of the total expenses incurred in filing and processing of the
patent application upto grant, whichever is lesser.
Time Period: The scheme is valid upto 30.11.2019
To know more about this startup scheme –
http://www.ict-ipr.in/sipeit/SIPEITForm
Startup Scheme 2: Multiplier Grants Scheme (MGS)
Launched In: May 2013
Headed By: Department of Electronics and Information Technology (DeitY)
Eligible For: Startups, incubator/academia/accelerators. Should have projects
in electronics & information technology.
Overview: The MGS aims to encourage collaborative R&D between industry
and academics/R&D institutions for development of products and packages.
Fiscal Incentives: The Government grants for individual industry would be
limited to a maximum of INR 2 Cr per project and the duration of each project
should, preferably, be less than two years. For industry consortiums, these
figures would be INR 4 Cr and three years.
Time Period: 2-3 years
To know more about this startup scheme:
https://www.meity.gov.in/content/multiplier-grants-scheme
Startup Scheme 3: Software Technology Park (STP) Scheme
Launched In: N/A
Headed By: Software Technology Parks of India (STPI)
Industry Applicable: IT services, fintech, enterprise software, analytics, AI.
Eligible For: Software companies
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Overview: The STPI has been set up with the objective of encouraging,
promoting, and boosting software exports from India. The STP Scheme, by
the Indian government, provides statutory services, data communications
servers, incubation facilities, training and value-added services. The scheme
allows software companies to set up operations in convenient and inexpensive
locations and plan their investment and growth, driven by business needs.
Fiscal Incentives: Sales in the DTA up to 50% of the FOB value of exports is
permissible and depreciation on computers at accelerated rates up to 100%
over 5 years is permissible.
Time Period: N/A
For more information: https://stpi.in/
Startup Scheme 4: Electronic Development Fund (EDF) Policy
Launched In: N/A
hardware, Internet of Things, AI, nanotechnology.
Eligible For: Startups pursuing innovation in technology sectors like electronics,
IT, and nanoelectronics.
Overview: The agenda was envisaged to develop the Electronics System Design
and Manufacturing (ESDM) sector to achieve “Net Zero Imports” by 2020. The
EDF will help attract venture funds, angel funds and seed funds towards R&D
and innovation in the specified areas. It will help create a cell of Daughter
funds and Fund Managers who will be seeking good startups (potential
winners) and selecting them based on professional considerations.
Fiscal Incentives: The Electronic Development Fund (EDF) is set up as a “Fund
of Funds” to participate in professionally-managed “Daughter Funds” which, in
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turn, will provide risk capital to companies developing new technologies.
CANBANK Venture Capital Funds Ltd. (CVCFL) is the Fund Manager for EDF.
Time Period: N/A
For more information: http://www.edfindia-canbankventure.com/
Startup Scheme 5: Modified Special Incentive Package Scheme (M-SIPS)
Launched In: July 2012
Industry Applicable: Technology hardware, Internet of Things,
aeronautics/aerospace & defence, automotive, non-renewable energy,
renewable energy, green technology and nanotechnology.
Eligible For: Startups in electronic manufacturing
Overview: The scheme aims to support IPR awareness workshops/seminars for
sensitising and disseminating awareness about Intellectual Property Rights
among various stakeholders especially in the E&IT sector.
Fiscal Incentives: This startup scheme by Indian government provides a capital
subsidy of 20% in SEZ (25% in non-SEZ) for units engaged in electronics
manufacturing. It also provides for reimbursements of CVD/ excise for capital
equipment for the non-SEZ units. For some of the high capital investment
projects like the scheme provides for Central Taxes and Duties reimbursement
of Central Taxes and Duties.
Time Period: N/A
For more information: http://www.msips.in/MSIPS/HomePage
Startup Scheme 6: Scheme to Support IPR Awareness Seminars/Workshops in
E&IT Sector
Launched In: N/A
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Industry Applicable: IT services, analytics, enterprise software, technology
Eligibility: This startup scheme by the Indian government is eligible for
educational institutes and industry bodies like MAIT, ELCINA, CII, NASSCOM,
FICCI, IESA, ASSOCHAM, etc., DeitY Society(ies) or DeitY Autonomous
Body(ies). It is mandatory that the organisation should be registered with the
Central Plan Scheme Monitoring System (CPSMS) portal, in order to apply for
support for IP Awareness Workshop(s)/Seminar(s).
Overview: The scheme provides IP (Intellectual Property) awareness
workshops and seminars and funding grants.
Fiscal Incentives: The organisations are provided with a grant of INR 2 Lakhs to
INR 5 Lakhs. This includes educational institutes – INR 2 Lakhs, industry bodies
– INR 3 Lakhs and DeitY Society(ies) or DeitY Autonomous Body(ies) – INR 5
Lakhs.
Time Period: The scheme is valid upto 30.11.2019.
For more information: http://www.ict-ipr.in/sipeit/IPRForm
Ministry Of Agriculture And Farmers Welfare
Startup Scheme 7: NewGen Innovation and Entrepreneurship Development

Centre (NewGen IEDC)
Launched In: N/A
Headed By: NewGen Innovation and Entrepreneurship Development Centre
(NewGen IEDC)
Industry Applicable: Chemicals, technology hardware, healthcare &
lifesciences, aeronautics/aerospace & defence, agriculture, AI, AR/VR
(augmented + virtual reality), automotive, telecommunication & networking,
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computer vision, construction, design, non-renewable energy, renewable
energy, green technology, fintech, Internet of Things, nanotechnology, social
impact, food & Beverages, pets & animals, textiles & apparel.
Eligibility: The parent institution should have requisite expertise and
infrastructure. This includes a minimum dedicated space of about 5,000 square
feet to establish a NewGen IEDC, library, qualified faculty, workshops, etc.
Overview: The NewGen IEDC is being promoted in educational institutions to
develop an institutional mechanism to create an entrepreneurial culture in S&T
academic institutions and to foster techno-entrepreneurship for generation of
wealth and employment by S&T persons. As of now, there are total 40+ EDCs
and 35 IEDCs in different states.
Fiscal Incentives: The NSTEDB startup scheme by Indian government will
provide a limited, one-time, non-recurring financial assistance, up to a
maximum of INR 25 Lakhs. Also, non-recurring grants would be provided for
supporting working capital cost.
Time Period: N/A
For more information: https://www.nstedb.com/institutional/edc.htm
Startup Scheme 8: The Venture Capital Assistance Scheme
Launched In: 2012
Headed By: Small Farmers’ Agri-Business Consortium (SFAC)
Industry Applicable: Agriculture
Eligibility: Assistance under this scheme by Indian government will be available
to individuals, farmers, producer groups, partnership/proprietary firms, self-
help groups, companies, agri-preneurs, units in agri-export zones, and
agriculture graduates individually or in groups for setting up agri-business
projects. For professional management and accountability, the groups have to
preferably form into companies or producer companies under the relevant Act.
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Overview: Venture Capital Assistance is financial support in the form of an
interest-free loan provided by the SFAC to qualifying projects to meet the
shortfall in capital requirements for implementation of the project.The Scheme
was implemented during 2012-17 in the XII Plan. SFAC has formed tie-ups with
41 banks to provide financial support.
Fiscal Incentives: The quantum of SFAC Venture Capital Assistance will depend
on the project cost and will be the lowest of the following:
> 26% of the promoter’s equity.
> INR 50 Lakhs
for projects located in North-Eastern Region, Hilly States (Uttarakhand,
Himachal Pradesh, Jammu & Kashmir) and in all cases in any part of the
country where the project is promoted by a registered Farmer Producers
Organisation, the quantum of venture capital will be the lowest of the
following:
> 40% of the promoter’s equity.
> INR 50 Lakhs
Time Period: This startup scheme is valid for the period between 2012-2017.
For more information: http://sfacindia.com/Procedure_For_VCA_Scheme.aspx
Startup Scheme 9: Credit Guarantee
Launched In: N/A
Headed By: Credit Guarantee Fund Trust for Micro and Small Enterprises
(CGTMSE)
Industry: Sector-Agnostic
Eligibility: The scheme is applicable for new and existing Micro and Small
Enterprises engaged in manufacturing or service activity excluding retail trade,
educational institutions, agriculture, self-help groups (SHGs), training
institutions, etc.
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Overview: The scheme was launched by the Indian government to strengthen
the credit delivery system and facilitate the flow of credit to the MSE sector.
Lending institutions majorly included public, private, foreign banks along with
regional rural banks, and SBI and its associate banks.
Fiscal Incentives: Both term loans and/or working capital facility up to INR 100
Lakhs per borrowing unit are being provided. The guarantee cover provided is
up to 75% of the credit facility up to INR 50 Lakhs (85% for loans up to INR 5
Lakhs provided to micro enterprises, 80% for MSEs owned/operated by
women and all loans to NER including Sikkim) with a uniform guarantee at 50%
for the entire amount if the credit exposure is above INR 50 Lakhs and up to
INR 100 Lakhs.
Time Period: N/A
For more information: https://www.cgtmse.in/
Startup Scheme 10: Performance & Credit Rating Scheme
Launched In: August 2016
Headed By: National Small Industries Corporation (NSIC)
Industry Applicable: Sector-agnostic
Eligibility: MSMEs registered in India are eligible to apply under this scheme. In
May 2017, the guidelines were revised which stated that a unit with a turnover
of INR 1 Cr or above will be eligible under the scheme. Now the case of rating
needs to be recommended by a bank or NBFC.
Overview: The scheme aims to create awareness about the strengths and
weaknesses of small-scale industries. It was formulated by the Ministry of
MSME under the Indian government in consultation with various stakeholders
i.e. Small Industries Associations & Indian Banks’ Association and various rating
agencies viz. CRISIL, ICRA, Dun & Bradstreet (D&B) and ONICRA.
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Fiscal Incentives: The incentives are proportional to the turnover of the
MSMEs. For instance, up to INR 50 Lakhs, 75% of the rating fee or INR 25,000
(whichever is less) will be contributed under the scheme. For turnover above
INR 50 Lakhs to INR 200 Lakhs, 75% of the fee or INR 30,000 (whichever is less)
while for turnover more than INR 200 Lakhs, 75% of the fee or INR 40,000
(whichever is less).
Time Period: N/A
For more information: https://www.nsic.co.in/pdfs/Rev_gd23052016.PDF
Startup Scheme 11: Raw Material Assistance
Launched In: N/A
Eligibility: MSMEs registered in India are eligible to apply under this scheme.
Overview: This startup scheme aims at helping MSMEs by way of financing the
purchase of raw material (both indigenous & imported), thereby giving an
opportunity to MSMEs to focus on manufacturing quality products.
Fiscal Incentives: Under this scheme by the Indian government, MSMEs will be
helped to avail economics of purchases like bulk purchase, cash discount, etc.
Also, all the procedures, documentation and issue of letter of credit in case of
imports will be taken care of. Security will be in the form of Bank Guarantee
from Approved/Nationalised Banks.
Time Period: MSMEs will get financial assistance for procurement of raw
material up to 90 days. In case outstanding dues are cleared within 270 days,
micro enterprises will bear 9.5%- 10.5% interest while small and medium
enterprises will have to pay 10% to 11% interest.
For more information: https://www.nsic.co.in/rma.asp
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Startup Scheme 12: Revamped Scheme of Fund for Regeneration of
Traditional Industries (SFURTI)
Launched In: 2005
Headed By: Khadi and Village Industries Commission
Eligibility: Non-Government organisations (NGOs), institutions of the Central
and State Governments and semi-Government institutions, field functionaries
of State and Central Govt., Panchayati Raj institutions (PRIs), private sector by
forming cluster specific SPVs, corporates and corporate social responsibility
(CSR) foundations with expertise to undertake cluster development are eligible
to apply under this scheme.
Overview: The objectives of this scheme launched by the Indian government is
to organise traditional industries and artisans into clusters to make them
competitive and provide support for their long-term sustainability. At the same
time, it also aims to enhance the marketability of products of such clusters,
build up innovative and traditional skills, and more to gradually replicate
similar models of cluster-based regenerated traditional industries.
Fiscal Incentives: The financial assistance provided for any specific project shall
be subject to a maximum of INR 8 Cr to support soft, hard and thematic
interventions. Following is the budget limit per cluster:
> Heritage Clusters (1,000-2,500 artisans) – INR 8 Cr/ cluster
> Major Clusters (500-1,000 artisans) – INR 3 Cr / cluster
> Mini-Clusters (Up to 500 artisans) – INR 1.5 crore/ cluster
For NER/J & K and the Hill States, there will be 50% reduction in the number of
artisans per cluster.
Time Period: The timeframe for the implementation of the project will be
three years.
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For more information:
http://msme.gov.in/sites/default/files/SFURTI_GUIDELINES_REVISED.pdf
Startup Scheme 13: Single Point Registration Scheme (SPRS)
Launched In: 2003
Eligibility: All micro and small enterprises registered with the Director of
Industries (DI)/District Industries Centre (DIC) as manufacturing/service
enterprises or having an acknowledgement of Entrepreneurs Memorandum
(EM Part-II) are eligible for registration under this scheme by the Indian
government. Those who have already commenced their commercial
production but not completed one year of existence, a Provisional Registration
Certificate can be issued to them under SPRS scheme with a monitory limit of
INR 5 Lakhs, valid for the period of one year from the date of issue.
Overview: With a view to increasing the share of purchases from the small-
scale sector, the Government Stores Purchase Programme was launched in
1955-56. NSIC registers micro & small enterprises (MSEs) under the Single
Point Registration Scheme (SPRS) for participation in government purchases.
Fiscal Incentives: The eligible micro and small enterprises will get an
exemption from payment of Earnest Money Deposit (EMD) and will be issued
tender sets free of cost. In tender participating, MSEs quoting price within the
price band of L1+15 per cent shall also be allowed to supply a portion up to
20% of the requirement by bringing down their price to L1 Price where L1 is
non-MSEs.
Time Period: The SPRS Certificate granted to the micro & small enterprise is
valid for two years. It will be reviewed and renewed after every two years by
verifying continuous commercial and technical competence of the registered
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micro & small enterprise in manufacturing / producing the stores for which it
has been registered by NSIC.
For more information: http://www.nsicspronline.com/home.aspx
Startup Scheme 14: Aspire – Scheme for promotion of innovation,
entrepreneurship, and agro-industry
Launched In: March 2015
Headed By: Steering Committee, Ministry of MSME
Industry Applicable: Agriculture, pets & animals, social impact, healthcare &
life sciences
Eligibility: All MSMEs with an Entrepreneurs Memorandum (EM) registration.
Overview: Aspire has been launched by the Indian government with an
objective to set up a network of technology centres, incubation centres to
accelerate entrepreneurship and also to promote startups for innovation and
entrepreneurship in rural and agriculture-based industry. It also includes the
setting up of Technology Business Incubators (TBIs). As per the June
2017 status report of Startup India Action Plan, 15 TBIs are being set up. 11
TBIs have been approved and four others are in advanced stages. Six Technical
Business Incubators are in advanced stages of approval by DST. INR 34.92 Cr
has been sanctioned and INR 15.3 Cr has been already disbursed to nine TBIs.
Fiscal Incentives: >One-time grant of 50% of the cost of Plant & Machinery
excluding the land and infrastructure or an amount up to INR 30 Lakhs,
whichever is less to be provided for supporting 20 existing incubation centres.
> One-time grant of 50% of the cost of Plant & Machinery excluding the land
and infrastructure or an amount up to INR 100 Lakhs, whichever is less to be
provided for setting up of new incubation centres.
> Support would be provided for incubation of ideas at the inception stage,
each idea would be provided financial support @INR 3 Lakhs per idea to be
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paid up front to the incubator to nurture the idea, with a target to support 450
ideas.
>A one-time grant of INR 1 Cr will be provided to the eligible incubator as Seed
Capital. The Incubator will invest as Debt/ Equity funding upto 50% of total
project cost or INR 20 Lakhs per startup, whichever is less. 150 such innovative
and successful ideas to be supported.
> INR 200 Lakhs for Accelerators to hold 10 workshops for incubates [out of
the existing centres supported and new centres set up] to assist for creating
successful business enterprises. Plans to conduct 10 such workshops.
Time Period: Period of incubation to be 12 months to 24 months.
For more information: http://msme.gov.in/sites/default/files/MSME-ASPIRE-
FINALBOOK.pdf
Startup Scheme 15: Infrastructure Development Scheme
Launched In: N/A
Eligibility: space shall be allotted to IT/ITES/MSME units not registered with
STPI (Software Technology Parks Of India Scheme). It will be allotted to only
those units that are falling under the overall definition of MSME as per the
guidelines of Ministry of Micro, Small and Medium Enterprises. Units other
than MSMEs such as Banks/PSUs/financial institutions, corporate sectors etc.
would also be considered for allotment on a case-to-case by merit.
Overview: This scheme by the Indian government aims to solve the office
space issues of MSMEs. The Corporation has commercial buildings at New
Delhi, Chennai, and Hyderabad. Apart from other schemes, the Corporation
provides office space on a lease rental basis to prospective units.
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Fiscal Incentives: The sizes of available office space range from 467 sq.ft. to
8,657 sq.ft. The unit has to deposit interest-free Security deposit equivalent to
six months rent refundable at the time of vacation of premises. The rentals are
reviewed every year.
Time Period: The notice period is for 90 days. There is no lock-in period.
For more information: https://www.nsic.co.in/pdfs/faqinfra012017.pdf
Startup Scheme 16: MSME Market Development Assistance
Launched In: 2002
Headed By: Office of the Development Commissioner (MSME)
Eligibility: Unit having valid permanent registration with the Directorate of
Industries/District Industries Centre are eligible under this scheme. The
selection of small/micro manufacturing units would be done by MSME-DIs as
per displayed product profile, the theme of the fair and space availability.
Furthermore, Micro & Small manufacturing enterprise can avail this facility
only once a year and only one person of the participating unit would be eligible
for the subsidy on airfare.
Overview: The scheme offers a funding to interested individuals aimed at
increasing participation of representatives of small/micro manufacturing
enterprises under the MSME India stall at international trade fairs/exhibitions.
This scheme by the Indian government also encourages small & micro
exporters in their efforts at tapping and developing overseas markets and
enhance export from the small/micro manufacturing enterprises.
Fiscal Incentives: 75% of air fare by economy class and 50% space rental
charges for micro & small manufacturing enterprises of General category
entrepreneurs will get reimbursed under this scheme. For women/SC/ST
entrepreneurs & entrepreneurs from North Eastern Region, 100% space, rent,
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and economy class airfare will be reimbursed. The total subsidy on air fare &
space rental charges will be restricted to INR 1.25 Lakhs per unit.
Time Period: N/A
To know more about this scheme ,
click http://www.dcmsme.gov.in/sido/Marketingod32_7_2007.htm
Startup Scheme 17: National Awards (Individual MSEs)

Launched In: N/A
Eligibility: The MSMEs should have been in continuous manufacturing/services
for the last four years and should have Udyog Aadhaar Memorandum (UAM).
MSMEs would also have to mandatorily register in MSME Databank web
portal before submitting their application.
Overview: With a view to recognising the efforts and contribution of MSMEs,
the Ministry of MSME gives National Awards annually to selected
entrepreneurs and enterprises under the scheme of National Awards.
Fiscal Incentives: The Selected National awardee is facilitated with a cash prize
of INR 1 Lakh, INR 75K, INR 50K in order of ranking. Cash prizes of INR 1 Lakh
are provided under Special National Award category to women, SC/ST and
North Eastern Region (NER) entrepreneur.
Time Period: The awards are given every year.
To know more about this scheme, click:
http://www.dcmsme.gov.in/schemes/award_scheme.html
Startup Scheme 18: Coir Udyami Yojana

Launched In: N/A
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Headed By: Coir Board
Industry Applicable: Agriculture
Eligibility: All coir processing MSME units registered with the Coir Board under
Coir Industry (Registration) Rules, 2008 are eligible under this scheme by the
Indian government. There will be no income ceiling for assistance for setting up
of a project under the Coir Udyami Yojana. Assistance under the Scheme will
be made available to individuals, companies, self-help groups, non-
governmental organisations, institutions registered under the Societies
Registration Act 1860, production co-operative societies, joint liability groups,
and charitable trusts. However, the units that have already availed a Govt.
subsidy under any other Scheme of Govt. of India or State Govt. for the same
purpose are not eligible to claim a subsidy.Overview: The scheme aims to
support the setting up of coir units with a project cost upto INR 10 Lakhs plus
one cycle of working capital, which shall not exceed 25% of the project cost.
The banks shall consider a composite loan instead of a term loan to cater to
the working capital requirements. This should be exclusive of INR 10 Lakhs
limit proposed. However, the subsidy will be computed excluding working
capital component.
Fiscal Incentives: Banks will finance capital expenditure in the form of a term
loan and working capital in the form of cash credit. Projects can also be
financed by the bank in the form of composite loans consisting of cap ex and
working capital. The amount of credit will be 55% of the total project cost after
deducting 40% margin money (subsidy) and owner’s contribution of 5% from
beneficiaries.
Time Period: Rate of interest chargeable for the loans shall be at par with the
base rate. Repayment schedule may not exceed seven years after an initial
moratorium, as may be prescribed by the concerned bank/financial institution.
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To know more about this scheme ,
click http://coirservices.gov.in/Html_Files/OperationalGuidelines_CUY.pdf
Startup Scheme 19: International Cooperation (IC) Scheme

Launched In: 1996
Industry Applicable: Travel & tourism, human resources, events, advertising
Eligibility: State/Central Government Organisations, Industry/Enterprise
Associations, and Registered Societies/Trusts and Organisations associated
with the MSME are eligible to apply under this scheme. The organisation
should be registered with the primary objective of promotion and
development of MSMEs. It should be engaged in such activities for at least
three years and should have regular audited accounts for the past three years.
Events, for which financial support under the Scheme is sought, must have
significant international participation.
Overview: Under this scheme by the Indian government, financial assistance
for travel and marketing expenditures relating to the development of the
MSME sector in India is supported by the department. The objective is to make
MSMEs internationally competitive by technology infusion/upgradations,
modernisation of MSMEs, and promotion of exports of MSMEs.
Fiscal Incentives: The incentives vary as per the category of organisation. For
instance, MSME gets 100% of the economy class airfare subject to a maximum
of INR 1.5 Lakhs or actual fare paid, whichever is lower. On the other hand, off
bearer of the applicant organisation also gets an additional duty allowance of
INR 150 per day along with the airfare subjected to limitations above. MSMEs
also get 100% of the space rent subject to a maximum of INR 1 Lakh or actual
rent paid, whichever is lower. Common expenses such as freight & insurance,
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local transport, secretarial/ communication services, printing of common
catalogues may be funded as well.
Time Period: N/A
To know more about this scheme,
click http://msme.gov.in/sites/default/files/IC_EN.pdf
Startup Scheme 20: Credit Linked Capital Subsidy for Technology Upgradation
Launched In: N/A
Eligibility: Existing SSI Units registered with the State Directorate of Industries
that have upgraded their existing plant and machinery with state-of-the-art
technology, with or without expansion are eligible under this scheme. Also,
new SSI Units which are registered with the State Directorate of Industries
which have their facilities only with the appropriate eligible and proven
technology duly approved by the GTAB/TSC will be eligible.
Overview: This startup scheme by the Indian government – aims at facilitating
technology upgradations by providing upfront capital subsidy to small scale
industry (SSI) units, including khadi, village, and coir industrial units, on
institutional finance (credit) availed by them for modernisation of their
production equipment (plant and machinery) and techniques.
Fiscal Incentives: The Ceiling on loans under the scheme has been raised from
INR 40 Lakhs to INR 1 Cr while the rate of subsidy has been enhanced from
12% to 15%. Here, the admissible capital subsidy is calculated with reference
to purchase price of plant and machinery, instead of term loan disbursed to
the beneficiary unit.
Time Period: N/A
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click http://www.dcmsme.gov.in/schemes/SCLCS_FOR_TU_SSI_UNITS.pdf
Startup Scheme 21: Bank Credit Facilitation Scheme

Launched In: N/A
Eligibility: MSMEs registered in India
Overview: The scheme aims to meet the credit requirements of MSME units.
NSIC has entered into a Memorandum of Understanding with various
nationalised and private sector banks. Through syndication with these banks,
NSIC arranges for credit support (fund- or non-fund-based limits) from banks
without any cost to the MSMEs.
Fiscal Incentives: N/A.
Time Period: The repayment period varies depending upon the income
generated from the unit and generally varies from five-seven years. However,
in exceptional cases, it can go up to to 11 years.
For more information: https://www.nsic.co.in/pdfs/FAQ_Bank_Tieup2016.pdf
NITI Aayog
Startup Scheme 22: Atal Incubation Centres (AIC)

Launched In: N/A
Headed By: Atal Innovation Mission (AIM)
Industry Applicable: Chemicals, technology hardware, healthcare & life
sciences, aeronautics/aerospace & defence, agriculture, AI, AR/VR (augmented
+ virtual reality), automotive, telecommunication & networking, computer
vision, construction, design, non-renewable energy, renewable energy, green
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technology, fintech, Internet of Things, nanotechnology, social impact, food &
beverages, pets & animals, textiles & apparel.
Eligibility: AICs can be established in public/private/public-private partnership
mode. These can be established in: Academia – includes higher educational
institutes and R&D institutions. Non-academic – includes companies/
corporates/ technology parks / industrial parks/ any individual/ group of
individuals.
Overview: AICs are set up under the Atal Innovation Mission (AIM). AICs aim to
support and encourage startups to become successful enterprises. They will
provide necessary and adequate infrastructure along with high-quality
assistance or services to startups in their early stages of growth. As per June
16, 2017, Startup India Action Plan status report, NITI Aayog has approved 10
institutes to establish new incubators with a grant of INR 10 Cr each.
Fiscal Incentives: AIM will provide a grant-in-aid of INR 10 Cr to each AIC for a
maximum of five years to cover the capital and operational expenditure cost in
running the centre. The applicant would have to provide a built-up space of at
least 10,000 sq. ft to qualify for the financial support.
Time Period: N/A
To know more about this scheme, click https://www.niti.gov.in/
Startup Scheme 23: Atal Tinkering Laboratories (ATL)

Headed By: Atal Innovation Mission
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Beverages, pets & animals, textiles & apparel.
Eligibility: Schools (Grade VI – XII) managed by the Government, local body or
private trusts/society can apply to set up an ATL.
Overview: The objective of this startup scheme by the Indian government is to
foster curiosity, creativity, and imagination in young minds; and inculcate skills
such as design mindset, computational thinking, adaptive learning, physical
computing etc. As per the Startup India Action Plan, 500 Tinkering Labs are to
be established. NITI Aayog has selected 457 schools for establishing Tinkering
Labs. Of the selected, 350 Tinkering Labs have received a Grant-in-Aid of INR
12 Lakhs each. Earlier this month, NITI Aayog CEO Amitabh Kant stated that
this year, the Atal Innovation Mission (AIM) scheme will look to select 1,000
schools. They will receive a grant of about $31K (INR 20 Lakhs) each. The
money will be utilised to set up tinkering labs to foster innovation.
Fiscal Incentives: AIM will provide grant-in-aid that includes a one-time
establishment cost of INR 10 Lakhs and operational expenses of INR 10 Lakhs
for a maximum period of five years to each ATL.
Time Period: N/A
To know more about this scheme, click: https://www.niti.gov.in/
Startup Scheme 24: Scale-up Support to Establishing Incubation Centres

Launched In: N/A
Headed By: NITI Aayog
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Beverages, pets & animals, textiles & apparel.
Eligibility: To avail benefits of this startup scheme by the Indian government,
the startup should be a legal entity registered in India as a public, private, or
public-private partnership and must be in operation for a minimum of three
years.
Overview: This startup scheme envisages to augment the capacity of the
Established Incubation Centres in the country. It will provide financial scale-up
support to enable Established Incubation Centres. The scheme would radically
transform the startup ecosystem in the country by upgrading the Established
Incubation Centres to world-class standards.
Fiscal Incentives: Grant-in-aid support of INR 10 Cr will be provided in two
annual instalments of INR 5 Cr each.
Time Period: N/A
For more information: https://www.niti.gov.in/
Ministry of Skill Development and Entrepreneurship

Startup Scheme 25: Udaan Training Programme For Unemployed Youth Of
J&K
Launched In: 2012
Headed By: National Skill Development Corporation (NSDC)
Industry Applicable: Education, human resources
Eligibility: Graduates, post-graduates, and professional degree holders in J&K.
Overview: Udaan is a Special Industry Initiative for Jammu & Kashmir. This
scheme by the Indian government provides employment-oriented training to
the youth from the state for over five years, covering various sectors like
business management, software, and BPO. The Scheme aims to cover 40,000
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youth of J&K over a period of five years. As on July 2015, 10, 555 youths had
joined the scheme with 585 selection drives conducted. Also, as per a May
2017 Business Standard report, INR 246 Cr have already been spent on the
programme, but only 10% candidates were hired. Also, of the 9,780 Kashmiri
youths who received jobs under Udaan, it is unclear how many are still
employed. The NSDC eventually lost track of the beneficiaries.
Fiscal Incentives: INR 750 Cr has been earmarked for the implementation of
the scheme over a period of five years to cover other incidental expenses such
as travel cost, boarding and lodging, stipend, travel and medical insurance cost
for the trainees and administration cost. Furthermore, corporates are eligible
for partial reimbursement of training expenses incurred for Udaan candidates
who have been offered jobs.
Time Period: N/A
For more information: https://www.skilldevelopment.gov.in/udaan.html
Ministry of Heavy Industries & Public Enterprises

Startup Scheme 26: Enhancement of Competitiveness in the Indian Capital
Goods Sector
Launched In: November 2015
Headed By: Department of Heavy Industries (DHI)
sciences, aeronautics/aerospace & defence, agriculture, automotive,
construction, non-renewable energy, renewable energy, green technology,
Internet of Things, nanotechnology, social impact, food & beverages, textiles &
apparel.
Eligibility: Indian capital goods sector unit or their consortium.
Overview: The scheme objective is to boost the Indian economy by making
Indian Capital Goods Sector globally competitive. The Technology Acquisition
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Fund Programme (TAFP) under the scheme provides financial assistance to
existing capital goods industrial units for acquiring/ transferring and
assimilating advanced technologies and also the development of technologies
through contract route, in-house route or through the joint route of contract in
order to achieve global standards and competitiveness.
Fiscal Incentives: Selected startups will get a one-time grant up to 25% of the
cost of the technology acquisition of each technology. Maximum amount given
shall not exceed INR 10 Cr.
Time Period: N/A
For more information :
https://dhi.nic.in/writereaddata/Application_TAFP_1504201563565128354195
5561.pdf
Ministry of New and Renewable Energy (MNRE)

Startup Scheme 27: National Clean Energy Fund (NCEF) Refinance
Launched In: March 2014
Headed By: Indian Renewable Energy Development Agency (IREDA)
Industry Applicable: Renewable energy, clean energy, green energy plants.
Eligibility: To avail this particular scheme by the Indian government, plants
should have a minimum two-year operational history, after commissioning of
the project and the 2 year’s average PLF (in case if the plant has operated for
more than 2 years, then the average PLF of any 2 years) should be at least 20%
in case of biomass power and 15% in case of Small Hydro Power (SHP) projects.
The project should also have a minimum of average DSCR of 1.1, after taking
into account IREDA refinance amount and should be able to service the loan.
The project should be revived/operationalised within six months from the date
of disbursement.
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Overview: The scheme aims to revive the operations of the existing biomass
power and small hydro power projects by bringing down the cost of funding
these projects. This is done by providing refinance at concessional rates of
interest, with funds sourced from the National Clean Energy Fund (NCEF).
Fiscal Incentives: In terms of the scheme, IREDA would provide funds received
from NCEF by way of refinance to scheduled commercial banks and financial
institutions (including IREDA). Refinance should not exceed 30% of the loan
outstanding, @ 2% interest rate from IREDA to Scheduled commercial banks /
FIs (including IREDA) and the same shall be extended by the Banks/FIs to the
project developers at the same rate of 2%, subject to, maximum refinance
amount INR 15 Cr per project.
Time Period: The scheme will be in operation for a period of five years
commencing from the financial year 2013-14.
click http://www.ireda.gov.in/writereaddata/Revised%20IREDA%20NCEF
%20Refinance%20Scheme.pdf
Startup Scheme 28: IREDA Scheme For Discounting Energy Bills

Launched In: April 2016
Industry Applicable: Renewable energy, clean energy, green energy
Eligibility: The applicant should be an existing borrower of IREDA (Sole/co-
financing/consortium financing). The borrowers should not be declared as
NPAs by any of the lenders. The discounted amount will be utilised only for
clearance of dues of term lenders of the project and also working capital
lenders overdue, if any on a pro-rata basis, in terms of financing documents.
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Overview: This scheme by the Indian government proposes to provide bill
discounting facility for the energy bills of Indian Renewable Energy
Development Agency (IREDA) borrowers which are pending for payment with
Utilities for upto six months.
Fiscal Incentives: Upto 75% of the invoice value pending for maximum six
months from the date of the application subject to a maximum bill discounting
facility of INR 20 Cr. The minimum amount of transaction covering a set of bills
shall not be less than INR 1 Cr.
Time Period: Terminal date of repayment will be 12 months from
disbursement date.
To get more information about this scheme,
click http://www.ireda.gov.in/writereaddata/IREDA%20Bill%20Discounting
%20Scheme(1)(1).pdf
Startup Scheme 29: Bridge Loan Against MNRE Capital Subsidy

Launched In: N/A
Headed By: Bridge Loan Against MNRE Capital Subsidy
Eligibility: MNRE accredited channel partners, State Nodal Agencies (SNA) and
other stakeholders, as approved by MNRE, who have already submitted valid
claims of capital subsidy at IREDA, which is pending for the release of payment
on account of non-availability of funds, will be eligible under the scheme.
Overview: The aim is to provide term loans for renewable energy and energy
efficiency projects.
Fiscal Incentives: The selected startup or government business projects will get
up to 80% of the existing pending eligible capital subsidy claim, as verified by
the IREDA with a minimum loan assistance of INR 20 Lakhs. The loan amount to
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be recovered out of capital subsidy received/to be received from MNRE. The
shortfall, if any, will be recovered from the borrower, which will be payable on
demand.
Time Period: N/A
Startup Scheme 30: Bridge Loan Against Generation-Based Incentive (GBI)
Claims
Launched In: N/A
Eligibility: Renewable energy developers who have already submitted a valid
GBI claim under GBI Scheme with the Indian Renewable Energy Development
Agency (IREDA), which is processed and pending for the release of payment on
account of non-availability of funds, will be eligible under this scheme.
Overview: GBI loans were announced for grid interactive wind and solar power
projects. The main aim is to broaden investor base, facilitate the entry of large
independent power producers and to provide a level playing field to various
classes of investors.
Fiscal Incentives: A minimum loan assistance of INR 20 Lakhs is provided under
this scheme. Loan amount to be recovered out of GBI proceeds received/to be
received from MNRE. A shortfall, if any, will be recovered from the borrower,
which will be payable on demand.
Time Period: N/A
Startup Scheme 31: Loan for Rooftop Solar PV Power Projects
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Eligibility: This scheme by the Indian government is available for all grid-
connected/interactive solar PV projects located on rooftops. Applications can
be submitted under Aggregator Category and Direct Category. For the
aggregator category minimum project capacity to be submitted shall be at
least 1,000 kWp and a minimum capacity of subprojects under this mode shall
not be less than 20 kWp. For the direct category, applicants shall include
projects from single roof owners only. Minimum project capacity to be
submitted shall be at least 1,000 kWp. Private sector companies/firms, central
public sector undertaking (CPSU), state utilities/ discoms/ transcos/ gencos/
corporations and joint sector companies can apply for the loan.
Overview: This startup scheme aims to support all grid connected/interactive
solar PV projects located on rooftops.
Fiscal Incentives: The quantum of a loan from the IREDA shall be 70% of the
project cost with minimum promoter’s contribution of 30%. However, the
IREDA may extend the loan upto 75% of the project cost based on the credit-
worthiness of the promoter, track record, project parameters, etc. The
maximum repayment period for the loan shall be up to nine years, with a
moratorium period of 12 months from the date of COD of the project. The
maximum construction period shall be 12 months from the first disbursement.
Time Period: N/A
Startup Scheme 32: Credit Enhancement Guarantee Scheme
Launched In: October 2016
Eligibility: Commercially viable, grid-connected renewable energy projects
(solar/wind) with a minimum average DSCR of 1.2 can apply under the scheme.
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Also, the minimum issue size of the proposed bonds should not be less than
INR 100 Cr.
Overview: This scheme by the Indian government acts as a non-fund partial
credit guarantee instrument for project developers/ promoters to raise bonds
against commissioned and operationally viable renewable energy projects.
Fiscal Incentives: The IREDA will provide credit enhancement by way of
unconditional and irrevocable partial credit guarantee to enhance the credit
rating of the proposed bonds. The IREDA can extend guarantee upto 25% of
the proposed issue size of the bonds and, in any case, it should not be more
than 20% of total capitalised project cost. The guarantee fee to be charged by
the IREDA shall be in the range of 1.8%-2.9% p.a. of its exposure.
Time Period: The guarantee period will be linked with the period for which
bonds are issued, the maximum tenure of the project bonds may be upto 15
years.
Schemes By Public Sector Enterprises
Startup Scheme 33: Dairy Entrepreneurship Development Scheme
Launched In: 2014
Headed By: National Bank for Agriculture and Rural Development (NABARD)
Industry Applicable: Agriculture, pets & animals, social impact, food &
beverages.
Eligibility: Farmers, individual entrepreneurs, NGOs, companies and groups
from the unorganised and organised sector can apply under this scheme. An
individual will be eligible to avail assistance for all the components under the
scheme but only once for each component. More than one member of a family
can be assisted under the scheme provided they set up separate units with
separate infrastructure at different locations. The distance between the
boundaries of two such farms should be at least 500 metres.
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Overview: This startup scheme by the Indian government aims to bring
structural changes in the unorganised sector so that initial processing of milk
can be taken up at the village level itself and bring about upgradations of
traditional technology to handle milk on a commercial scale.
Fiscal Incentives: The incentives differ with respect to the cost of the required
equipment or establishment of the facilities. In all cases, 25% of the outlay
(33.33 % for SC / ST/ farmers) as back-ended capital subsidy subject to the
applicable ceiling is provided to the eligible stakeholders.
Time Period: N/A
To know more about this scheme by the Indian Government,click
https://www.nabard.org/content1.aspx?id=591&catid=23&mid=530
Startup Scheme 34: 4E (End to End Energy Efficiency)

Launched In: September 2016
Headed By: Small Industries Development Bank of India (SIDBI)
Eligibility: MSME units in the manufacturing or services sector which are in
operation for at least three years and have earned cash profit in the last two
years of operation are eligible. The startup should not be in default to any
bank/FI. The unit should have undergone a process of Detailed Energy Audit
(DEA) through a technical agency/consultants having BEE certified Energy
Auditors. Furthermore, the Detailed Project Report (DPR) prepared by the
technical agency/consultant should have been vetted by the EEC, SIDBI. Also,
the unit should not have availed a Performance Linked Grant under the WB-
GEF Project for the proposed EE Project and should be in compliance with the
Environment & Social Management Framework.
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Overview: The scheme has been launched jointly by India SME Technology
Services Ltd. (ISTSL) in association with the World Bank. The main objective is
to implement energy efficiency measures on an end-to-end basis. For meeting
part costs of (i) capital expenditure including for the purchase of
equipment/machinery, installation, civil works, commissioning, etc. (ii) Any
other related expenditure required by the unit, provided it is not more than
50% of (i). The scheme by the Indian government, also, it aims to help startups
finance second-hand machinery/equipment for use.
Fiscal Incentives: Under the 4E scheme, the MSME unit has to pay only INR
30,000 and applicable taxes and the balance fee will be paid by SIDBI to
auditors. Up to 90% of the project cost with minimum loan amount of INR 10
Lakhs and maximum loan amount not to exceed INR 150 Lakhs per eligible
borrower can be granted under this scheme. Eligible loan amount should not
exceed one-fifth of the total turnover of the applicant unit. Also, the
repayment period including initial moratorium period of up to six months, shall
not be more than 36 months for loans up to INR 100 Lakhs and 60 months for
loans beyond INR 100 Lakhs.
Time Period: N/A
Startup Scheme 35: Pradhan Mantri Mudra Yojana (PMMY)
Launched In: February 2016
Headed By: Micro Units Development and Refinance Agency Ltd. (MUDRA)
Eligibility: Non–Corporate Small Business Segment (NCSB) comprising millions
of proprietorship / partnership firms running as small manufacturing units,
service sector units, shopkeepers, fruits / vegetable vendors, truck operators,
food-service units, repair shops, machine operators, small industries, artisans,
food processors and others, in rural and urban areas can apply for the loan. All
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kinds of manufacturing, trading and service sector activities can get a MUDRA
loan.
Overview: MUDRA provides refinance support to banks / MFIs for lending to
micro units having loan requirement upto INR 10 Lakhs. As per recent
media reports, loans extended under the PMMY during 2016-17 have crossed
the target of INR 1.8 Lakh Cr. The estimated number of borrowers in this fiscal
were more than 4 Cr, of which 70% were women. Furthermore, for the fiscal
year 2017-18 the target has been kept at INR 2.44 Lakh Crore for Mudra Loans.
Fiscal Incentives: MUDRA offers incentives through these interventions:
>Shishu: covering loans upto INR 50,000/-
> Kishor: covering loans above INR 50,000/- and upto INR 5 Lakhs
> Tarun: covering loans above INR 5 Lakhs and upto INR 10 Lakhs
Generally, loans upto INR 10 Lakhs issued by banks under Micro Small
Enterprises are given without collateral. Also, within these interventions,
MUDRA ensures to meet the requirements of different sectors/business
activities as well as business/entrepreneur segments.
Time Period: N/A
To know more about this startup scheme by the Indian Government,
click https://www.mudra.org.in/Offerings
Startup Scheme 36: Stand Up India

Launched In: April 2016
Eligibility: The enterprise can be in trading, manufacturing, or services. In the
case of non-individual enterprises, at least 51% of the shareholding and
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controlling stake should be held by an SC/ST or woman entrepreneur. The
borrower should not be in default to any bank or financial institution.
Overview: This scheme by the Indian government facilitates bank loans
between INR 10 Lakhs and INR 1 Cr to at least one Scheduled Caste or
Scheduled Tribe borrower and at least one women borrower per bank branch
for setting up a Greenfield enterprise.
Fiscal Incentives: Composite loan between INR 10 Lakhs and INR 1 Cr to cover
75% of the project cost can be taken up, inclusive of the term loan and working
capital. The stipulation of the loan being expected to cover 75% of the project
cost would not apply if the borrower’s contribution along with convergence
support from any other schemes exceeds 25% of the project cost. The rate of
interest would be the lowest applicable rate of the bank for that category
(rating category) not to exceed (base rate (MCLR) + 3%+ tenor premium).
Time Period: The loan is repayable in seven years with a maximum
moratorium period of 18 months.
click https://www.standupmitra.in/Home/SUISchemes
Startup Scheme 37: Sustainable Finance Scheme

Launched In: N/A
Industry Applicable: Green Energy, Non-renewable Energy, Technology
Hardware, Renewable Energy
Eligibility: Renewable energy projects such as solar power plants, wind energy
generators, mini hydel power projects, biomass gasifier power plants, etc. for
captive/ non-captive use (i.e., power generated is sold/supplied to the grid /
off-grid). Any kind of potential CP investments including waste management.
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Suitable assistance to OEMs which manufacture energy efficient / cleaner
production / green machinery/equipment. Either the OEM should be an MSME
or it should be supplying its products to a substantial number of MSMEs.
Overview: The objective of this startup scheme by the Indian government is to
assist the entire value chain of energy efficiency (EE) / cleaner production (CP)
and sustainable development projects which lead to significant improvements
in EE / CP / sustainable development in the MSMEs and which are presently
not covered under the existing sustainable financing lines of credits.
Fiscal Incentives: Suitable assistance by way of term loan/working capital to
ESCOs implementing EE / CP / Renewable Energy project provided either the
ESCO should be an MSME or the unit to which it is offering its services is an
MSME. The rate of interest will be applicable on basis of credit rating of
MSME’s.
Time Period: N/A
Startup Scheme 38: SIDBI Make in India Soft Loan Fund for Micro Small and
Medium Enterprises (SMILE)
Launched In: August 2015
Eligibility: New enterprises in the manufacturing, as well as services sector, can
apply under this scheme. Existing enterprises undertaking expansion,
modernisation, technology upgradations or other projects for growing their
business will also be covered.
Overview: The aim of this scheme by the Indian government is to provide a
soft loan, in the nature of quasi-equity, and term loan on relatively soft terms
to MSMEs to meet the required debt-equity ratio for the establishment of an
MSME as also for pursuing opportunities for growth for existing MSMEs.
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Fiscal Incentives: For general category, 10% of the project cost subject to a
maximum of INR 20 Lakhs is provided as the loan amount. It increases to 15%
for the enterprises promoted by Scheduled Caste (SC) / Scheduled Tribe (ST) /
Persons with Disabilities (PwD), and women, subject to a maximum of INR 30
Lakhs. Persons belonging to these categories must own controlling stake (i.e.
51% or higher).
Time Period: On expiry of three years from the date of the first disbursement,
the outstanding soft loan together with any dues thereon shall be converted
into a secured term loan and the entire loan shall carry an applicable rate of
interest as per internal rating of the borrower. The repayment period is
generally upto seven years inclusive of the moratorium upto 1-1/2 year for the
term loan and upto two years for a soft loan.
click https://www.sidbi.in/files/SIDBI_Ebrochure_SMILE_new.pdf
Startup Scheme 39: Startup Assistance Scheme
Launched In: N/A
Industry Applicable: Sector-Agnostic
Eligibility: Early-stage units where revenue has commenced after product
acceptance by at least one corporate customer with repeat orders, or in the
case of retail consumers, a trend of revenue for six months has been observed.
Only those early-stage MSMEs which are defined in the MSMED Act, 2006
(Constitution of the units to be Private Limited Companies) will be considered
eligible. These companies, should not, in general, be in existence for more than
5 years; or – not received adequate and regular bank credit facilities (except
under the Credit Guarantee Trust for Micro & Small Enterprise or Overdraft
against Fixed Deposits); or could have incurred losses in the past years.
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However, to avail of scheme benefits, a clear plan for profitability (EBIDTA,
cash and net level) should be in place over the next two years.
Overview: The scheme by the Indian government aims to provide structured
financing for ‘startups’ and ‘early-stage enterprises’ mostly in sectors which
traditionally do not involve physical assets like technology, biotech, asset-light
service sector businesses, web/ mobile-based businesses, clean technologies,
social ventures, etc. Innovative business models in other asset-based sectors
could also be considered selectively.
Fiscal Incentives: The financial assistance provided is need-based, subject to a
maximum of INR 200 Lakhs and equity kicker (1%-2% equity on paid up capital
at par or a suitably structured kicker). Currently, 14% rate of interest is
applicable on the loan amount.
Time Period: The loan repayment tenure is upto 7 years including need-based
moratorium.
Startup Scheme 40: Growth Capital and Equity Assistance
Launched In: N/A
Eligibility: The eligible stakeholders under this scheme include an MSME as per
the definition of Government of India (MSMED Act), SIDBI’s existing customers
(meeting internal rating criteria) and units with past three years of profitability
and two years of satisfactory banking credit track record (meeting internal
credit rating criteria). Acceptable external rating from CRISIL, ICRA, D&B,
SMERA etc. would be desirable.
Overview: This scheme by the Indian government provides assistance to
existing Small and Medium Businesses in need of capital for growth. The
assistance is provided in form of mezzanine/convertible instruments,
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subordinated debt and equity (in deserving cases). This quasi-assistance has a
higher moratorium on repayment and a flexible structuring.
Fiscal Incentives: Under this scheme, the MSMEs are helped to leverage
equity/sub-debt assistance from SIDBI for raising higher debt funds. It also
helps to avoid the complexities of enterprise valuation, exit issues etc.–
associated with equity investments. Information regardin the amount of
growth capital provided to the MSME enterprises is not available.
Time Period: N/A
Ministry of Science & Technology

Startup Scheme 41: Assistance to Professional Bodies & Seminars/Symposia
Launched In: N/A
Headed By: Science and Engineering Research Board (SERB)
Industry Applicable: Events, chemicals, technology hardware, healthcare & life
Eligibility: The support is provided to research institutes/ universities/medical
and engineering colleges and other academic institutes/professional bodies
who organise such events. The applicant should be an Indian citizen residing in
India and must hold a regular position in a recognised academic institution or
in a national laboratory / recognised R&D institution. Also, he/she should
submit the application not earlier than six months and not later than three
months, before the date of the event.
Overview: SERB extends partial support on a selective basis, for organising
seminar/symposia/ training programmes/workshops/conferences at national
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as well as international level, for the scientific community to keep them
abreast of the latest developments in their specific areas. The primary focus of
the scheme is to support events having a strong orientation towards scientific
research in the areas of basic sciences, engineering, technology, agriculture &
medicines.
Fiscal Incentives: The incentives include nominal support for pre-operative
expenses like domestic travel for young and senior scientists (Indian only),
contingencies (stationery items, working tea /lunch, audio-visuals etc.) and
pre-conference printing (announcements, abstracts etc.).
Time Period: N/A
Startup Scheme 42: Ayurvedic Biology Program
Launched In: N/A
Industry Applicable: Chemicals, healthcare & life sciences, nanotechnology,
social impact.
Eligibility: Support is provided to research institutes/ universities/medical and
engineering colleges and other academic institutes/professional bodies who
organise such events. Support is also provided to Indian citizens residing in
India, holding a regular academic/research position in a recognised institution.
The proposals can be submitted by an individual or by a team of investigators.
Overview: SERB supports basic research employing modern biology,
immunology, and chemistry to investigate the concepts, procedures, and
products of Ayurveda. The current areas of interest include Rasayana and
degenerative diseases; Prakriti and human genomics; role of Pathya and
nutritional sciences in health and disease; and physiological, immunological
and biochemical correlates of traditional Ayurvedic procedures such as
Panchakarma.
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Fiscal Incentives: SERB extends partial financial support, on a selective basis,
for organising such domestic events (as well as international). Support is
primarily given to encourage participation of young scientists and research
professionals in such events along with nominal support for pre-operative
expenses like announcements brochures, etc.
Time Period: N/A
Startup Scheme 43: Industry Relevant R&D
Launched In: N/A
Eligibility: The academic partner must be an Indian citizen and hold a regular
academic/research position in an academic institution or national laboratories
or recognised R&D institutions. More than one academic partner may be
allowed. For being an industry partner, all industries (including MSME &
industrial R&D Centres) are eligible. More than one Industry and or more than
one Investigator from one Industry can be associated with a project. He/she
should be an Indian citizen residing in India, holding a regular
academic/research position in a recognised institution.
Overview: SERB aims to support ideas that address a well-defined problem of
industrial relevance through this scheme. The proposal is jointly designed and
implemented by an academic partner (which includes a partner from national
laboratories/recognised R&D institutions, as the case may be) and industry.
Fiscal Incentives: The industry share should not be less than 50% of the total
budget. Overhead is provided to the academic partner. The SERB share shall
not exceed INR 50 Lakhs for a project. The upper cap may be relaxed on a case-
to-case basis.The support from SERB shall be extended only to the academic
partner and not to the industry. The research grant will be provided for
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equipment, manpower, consumables, travel, pilot plant study, and any other
costs associated with the project.
Time Period: First call in a financial year will be made in the first week of June
of every year and the window will be opened for submission of research
proposals from June 1 to July 31. Funding decision on the proposals will be
communicated to the PIs during December and the grant will be released in
January-February next year. The second call will be made in the first week of
November of every year and the window will be opened for submission of
research proposals November 1 to December 1. Funding decision on the
proposals will be communicated to the PIs during May next year and the grant
will be released in June-July.
Startup Scheme 44: High Risk-High Reward Research
Launched In: N/A
Eligibility: Indian citizen residing in India, holding a regular academic/research
position in a recognised institution can apply under this scheme. The proposals
can be submitted by an individual or by a team of investigators.
Overview: SERB aims at supporting proposals that are conceptually new and
risky, and if successful, expected to have a paradigm-shifting influence on
science and technology. Proposals that address scientific issues which will
result in ‘incremental’ knowledge will not be supported.
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Fiscal Incentives: The research grant covers equipment, consumables,
contingency and travels apart from overhead grants. No budget limit is
prescribed for these projects.
Time Period: First call in a financial year will be made in the first week of June
of every year and the window will be opened for submission of research
proposals from June 1 to July 31. Funding decision on the proposals will be
communicated to the PIs during December and the grant will be released in
January-February next year. The second call will be made in the first week of
November of every year and the window will be opened for submission of
research proposals November 1 to December 31. Funding decision on the
proposals will be communicated to the PIs during May next year and the grant
will be released in June-July.
Startup Scheme 45: Technology Development Programme (TDP)
Launched In: N/A
Eligibility: Scientists, engineers, or technologists working in academic
institutions, registered societies, R&D institutions, laboratories having
adequate infrastructure & facilities to carry out technology development work
as well as prototype building.
Overview: The mandate of Technology Development Programmes (TDP) is to
convert proof-of-concepts for the development of pre-competitive/commercial
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technologies/ techniques/ processes. Some of the typical areas in which
proposals can be submitted are glass, ceramics, molecular/ biomolecular
electronics, polymer and biosensors, waste (plastic, hospital & electronic)
utilisation and management, laser/ plasmas/ microwave technology, alternate
fuels, fuel conservation, efficient utilisation of fuels, civil infrastructure
technologies etc.
Fiscal Incentives: Institutions under this scheme get support for project staff
salaries, equipment, supplies and consumables, contingency expenditure,
patent filing charges, outsourcing charges, internal travel, fabrication costs,
testing charges, overheads, etc.
For Industry, the only cost of consumables up to 50% has been approved while
for Institution/Industry Joint Programmes, support to the Industry up to 50% of
the cost of consumables is provided.
Time Period: N/A
Startup Scheme 46: National Science & Technology Management Information
System (NSTMIS)
Launched In: N/A
Headed By: Department of Science and Technology (DST)
Eligibility: Scientists & Technologists; Statisticians and economists;
Sociologists; as well as Development/ Planning/ Policy Experts, Management
Specialists etc. from academic/research institutions, registered societies,
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voluntary agencies (NGOs), professional bodies & consulting organisations etc.
can apply under this scheme.
Overview: DST under this scheme sponsors research projects/studies to
interested investigators/organisations where studies could be taken up in the
areas of S&T investment, S&T infrastructure, S&T output, S&T databases, S&T
manpower, R&D productivity/efficiency etc.
Fiscal Incentives: Grant-in-aid is provided for projects. Also, overheads on
projects are provided at the rate of 10% of the total project cost for
educational institutions and NGOs and 8% for laboratories & institutions under
Central Government departments/agencies.
Time Period: N/A
Startup Scheme 47: Biotechnology Industry Partnership Programme (BIPP)
Launched In: N/A
Headed By: Biotechnology Industry Research Assistance Council (BIRAC)
Industry Applicable: Healthcare & life sciences
Eligibility: An Indian company, whether small, medium, or large with a DSIR-
recognised in-house R&D unit, is eligible under this scheme. Also, a joint
association of an Indian company and national R&D organisations and
institutions; as well as a group of Indian companies along with national
research organisations etc. are eligible.
Overview: The scheme is a government partnership with industries for support
on a cost-sharing basis for path-breaking research in frontier futuristic
technology areas having major economic potential and making the Indian
industry globally competitive. It is focussed on IP creation with ownership
retained by Indian industry and, wherever relevant, by collaborating scientists.
Fiscal Incentives: The eligible stakeholders are provided support for high-risk,
accelerated technology development especially in futuristic technologies.
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Support is also provided for companies working in very high-risk, nationally-
and socially-relevant areas, with no assured market. It provides for product
evaluation and validation through support for limited and large-scale field trial
for agriculture products and clinical trials (Phase I, II, III) for health care
products and also supports research project for novel IP generation.
Time Period: There are three calls for proposals in a year: February 15–March
31, June 15–July 31 and October 15–November 30.
Startup Scheme 48: Industry Innovation Programme on Medical Electronics
(IIPME)
Launched In: N/A
Eligibility: Indian startups which are less than three years old from date of
advertisement which have 51% ownership, Indian LLPs and those which have
Department of Scientific and Industrial Research (DSIR) Recognition (only for
early transition & transition to scale) are eligible to apply under the scheme.
Overview: BIRAC aims to promote and foster cutting-edge technologies in the
field of medical electronics through this scheme. The project IIPME is a
partnership project between the Department of Electronics and Information
Technology, Ministry of Communications and Information Technology,
Government of India, and Biotechnology Industry Research Assistance Council,
a public sector undertaking of the Department of Biotechnology, Ministry of
Science and Technology, Government of India.
Fiscal Incentives: The loan and grant are provided according to the startup
stage. The Seed Grant (Idea to PoC) is INR 50 Lakhs for 18 months, early
transitions funding include INR 100 Lakhs for 24 months and for those
transitioning to scale, a mix of grant & loan for 24 Months is provided.
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Time Period: The call for application is made three times a year, with
evaluation cycle starting from July 10, November 10, & March 10 in the
specified order.
Startup Scheme 49: Extra Mural Research Funding
Launched In: N/A
Eligibility: Indian citizen residing in India, holding a regular academic/research
position in a recognised institution can apply. The proposals can be submitted
by an individual or by a team of investigators. The proposal will be funded if it
has novelty and the investigator has the competence to execute the project.
Overview: The Board funds all the areas of science and engineering without
discriminating between disciplines for EMR projects.
Fiscal Incentives: The research grant covers equipment, consumables,
contingency and travels apart from overhead grants. No budget limit is
prescribed. The budget is decided based on the requirement for its successful
implementation. The Investigator should propose a budget which is realistic,
taking into account, the infrastructure and resources available at the
implementing institutions. The average cost of the EMR project is INR 35 Lakhs
for a duration of three years.
Time Period: Funding is provided normally for a period of three years.
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Startup Scheme 50: SPARSH (Social Innovation programme for Products:
Affordable & Relevant to Societal Health)
Launched In: N/A
Headed By: BIRAC
Eligibility: If at idea and PoC stage:
> Biotechnology Indian startups should be incorporated under the Indian
Companies Act and have a minimum of 51% Indian Ownership. Plus, they
should be less than three years old as on the date of advertisement/ Indian
entrepreneurs (Indian citizen willing to form a Company as per Indian Law).
> Limited Liability Partnership (LLP) should be incorporated under the
Limited Liability Partnership Act, 2008. Plus, it should be less than three years
old as on the date of advertisement, having a minimum half of the persons
who subscribed their names to the LLP document as its Partners should be
Indian citizens.
> Indian academic scientists, researchers, PhDs, medical degree holders,
biomedical engineering graduates (who must be willing to incubate in a
business incubator).
>Proprietorship concern established by an Indian citizen and a
Certificate/license should be issued by the municipal authorities/ under the
Shop & Establishment Act /under other relevant statutes.
> No DSIR certification is required.
If at Proof of Concept to Validation stage:
> Companies incorporated under the Indian Companies Act having a minimum
of 51% Indian ownership.
> DSIR recognition
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> Limited Liability Partnership (LLP) incorporated under the Limited
Liability Partnership Act, 2008
> Indian institution/ universities/ public research organisation who can become
co‐applicants along with the company/LLP as main applicant established in
India and having NAAC/ UGC/ AICTE or any equivalent recognition
certificate.
– Partnership firms/society/ Trust/ NGO/ foundation/ association established
in India under the relevant Indian Law, having at least half of the
stakeholders (partners/ trustees/ members/ associates etc) as Indians.
Furthermore, access to Innovative Pilot Scale Delivery Models is provided only
to:
> Companies incorporated under the Indian Companies Act having a minimum
of 51% Indian ownership.
>DSIR recognition.
>The product should have gained necessary approvals from the concerned
regulatory authority (‐ies) for pilot studies.
>It is desirous that the projects show partnership or a consortium of
product/service innovator Company, an implementer/deployer (research
foundations, Section 25 companies etc) and clinical partner(s). Any such
partner for execution/ implementation can become a co‐Applicant in the
proposal.
Overview: The scheme intends to create a pool of social innovators in the
biotech arena who will identify specific needs and gaps in health care. The
social innovators will be provided financial and technical support for
developing market-based solutions that have potential to bring cost effective
health care breakthroughs to vulnerable populations in particular.
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Fiscal Incentives: For startups at the idea to proof of concept (PoC) stage,
grant‐in‐aid up to INR 50 Lakhs for a period up to 18 months is available. For
those at the proof of concept to validation stage, the amount remains the
same but the time period increases to 24 months. In the case of access to
Innovative Pilot Scale Delivery Models – grant‐in‐aid for a period up to 24
months is provided. The project cost sanctioned for the company would be
matched equally by BIRAC and the company.
Time Period: N/A
Startup Scheme 51: Promoting Innovations in Individuals, Startups and
MSMEs (PRISM)
Launched In: N/A
Headed By: Council of Scientific & Industrial Research
Eligibility: The scheme runs in two phases. For PRISM I, any Indian citizen
including student innovators can apply. For PRISM II, PRISM innovators or
innovators who have successfully demonstrated proof of concept with the
support of government institution/agency; PRISM-R&D proposals and public
funded – R&D institutes/ autonomous institutions/ laboratories/ academic
institutes etc. are eligible.
Overview: The scheme provides grants, technical guidance and mentoring to
individual innovators by incubating their idea towards the creation of new
enterprises in phases. It also provides grant-in-aid support to technology
solution providers developing technology solutions aimed at helping MSME
cluster.
Fiscal Incentives:
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>PRISM Phase-I Category-I: For proof of concept/prototype/models, with
project cost upto INR 5 Lakhs, a maximum of INR 2 Lakhs or 90% of the total
project cost (whichever is less) is provided.
> PRISM Phase-I, Category-II: For fabrication of working model/ process know-
how/testing & trail/ patenting/ technology transfer, etc. with a project costing
between INR 5 Lakhs to INR 35 Lakhs, a maximum of INR 20 Lakhs or 90% of
the total project cost (whichever is less) is given.
>Prism-Phase-II: Enterprise incubation, with a project costing between INR 35
Lakhs and INR 100 Lakhs, up to INR 50 Lakh limited to 50% of the total project
cost is provided.
> For PRISM-R&D Proposals, up to INR 50 Lakhs limited to 50% of the total
project cost is given.
Time Period: N/A
To know more about this startup scheme by the Indian Government, click here.
Startup Scheme 52: Science and Technology of Yoga and Meditation
(SATYAM)
Launched In: N/A
Headed By: Department of Science and Technology (DST)
Eligibility: Scientists/academicians with research background in ‘Yoga and
Meditation’ and having a regular position, plus practitioners actively involved
in yoga and meditation practices in collaboration with academic and research
institutions of repute are eligible to apply.
Overview: SATYAM aims at investigations on the effect of Yoga and Meditation
on – physical and mental health and well being, body, brain, and mind in terms
of basic processes and mechanisms. The scheme has been launched under the
DST’s Cognitive Science Research Initiative (CSRI).
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Fiscal Incentives: Not specified.
Time Period: The scheme supports research projects for a maximum period of
three years.
Startup Scheme 53: Rapid Grant for Young Investigator (RGYI)
Launched In: N/A
Headed By: Department of Biotechnology (DBT)
Eligibility: The Principal Investigator should be below 40 years holding an
independent position (and within 10 years of receiving a PhD). Each application
should have Co-PI (preferably below 50 years) with prior experience in grant
management. Also, applicants must be from non-profit organisations and
should have demonstrated a promising track-record of early achievements
appropriate to his/her research field and career stage, including significant
publications (as the main author) in international, peer-reviewed, scientific
journals.
Overview: The scheme fosters creative research in various fields of
biotechnology (medical, agriculture, animal biotech, environment and industry,
etc.) to enhance the early career development of young investigators. The
programme aims to provide the first extramural grant to establish labs and
initiate research in the frontier areas of biotechnology.
Fiscal Incentives: RGYI provides startup grants to young investigators across
the country working in different settings such as central government funded
institutions, state government-funded university departments, scientists at
DSIR-approved private institutions etc.
Time Period: N/A
Startup Scheme 54: Biotechnology Ignition Grant (BIG)
Launched In: N/A
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Eligibility: The Applicant should be an Indian citizen and has to be physically
incubated in an incubator and produce a recommendation. They must provide
termination for full-time association of project. Applicants from non-
profit/research organisation need to furnish an NOC. The
Promoter/shareholder of any LLP is not eligible.
Overview: BIRAC believes in novel ideas that have a commercialisation
potential and that evolve from startups or academic spin-offs. This scheme
aims to support those ideas which have an unmet need for funding and
mentorship. It promotes basically the technology ideas relating to
medical/health biotechnology, biopharma and medical
devices/biomaterials/diagnostics, agro, biotechnology and animal/marine
biotechnology, industrial/ environmental biotechnology and biomass value
addition via biotechnology, biotechnology-based services/reagents/supplies,
bioinformatics and bio-IT interface etc.
Fiscal Incentives: Up to INR 50 Lakhs for research projects with a
commercialisation potential with duration of up to 18 months are provided.
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List of Government Schemes To Support Startups in India

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LIST OF GOVERNMENT SCHEMES

TO SUPPORT STARTUPS IN INDIA

Different fields of startups like fintech, edtech, pharma, e-commerce, supply

Here is a list of government schemes launched to develop and encourage

1) Startup India Seed Fund

Easy availability of capital is essential for entrepreneurs at the early stages of

 A startup, recognized by DPIIT, incorporated not more than 2 years ago

This is the first electronic government-to-business(G2B) portal. The main

Ministry Of Electronics and Information Technology (MeitY)

Startup Scheme 1: Support for International Patent Protection in Electronics

Ministry Of Agriculture And Farmers Welfare

Startup Scheme 7: NewGen Innovation and Entrepreneurship Development

Startup Scheme 17: National Awards (Individual MSEs)

Startup Scheme 18: Coir Udyami Yojana

Startup Scheme 19: International Cooperation (IC) Scheme

Startup Scheme 21: Bank Credit Facilitation Scheme

Startup Scheme 22: Atal Incubation Centres (AIC)

Startup Scheme 23: Atal Tinkering Laboratories (ATL)

Startup Scheme 24: Scale-up Support to Establishing Incubation Centres

Ministry of Skill Development and Entrepreneurship

Ministry of Heavy Industries & Public Enterprises

Ministry of New and Renewable Energy (MNRE)

Startup Scheme 28: IREDA Scheme For Discounting Energy Bills

Startup Scheme 29: Bridge Loan Against MNRE Capital Subsidy

Startup Scheme 34: 4E (End to End Energy Efficiency)

Startup Scheme 36: Stand Up India

Startup Scheme 37: Sustainable Finance Scheme

Ministry of Science & Technology

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