The Startup India seed fund scheme has been started by the Government of India. Under the scheme, the government is going to provide financial support by providing them capital at the early stage of the growth of an enterprise. If you desire to get detailed information about the startup India seed fund scheme then you should read this article very carefully. This article contains information related to Startup India Seed Fund Scheme yet released by the government including eligibility criteria applying process object benefits and more.
What is Startup India seed fund scheme?
On 16 January 2021, the scheme has been announced by the Honorable Prime Minister Narendra Modi in his grand plenary address at Prarambh: Startup India International Summit. The scheme was announced after the approval of the EFC and the honorable Finance Minister. Startup India Seed Fund Scheme was launched by the honorable Piyush Goyal on 19 April 2021. Under the initiative of the startup India seed fund scheme, the government is going to provide funding from Angel investors and venture capital firms to start up only after the proof of concept. It is as similar to the bank providing loans only to asset-backed applicants. But under this scheme government is going to provide funding to start-ups with innovative ideas to conduct proof of concept trials.
Also Read: Kaushal Vikas Yojana Registration
Objective Of Startup India Seed Fund Scheme
There are a lot of startups in India that suffer from capital adequacy during the seed and proof of concept development stage. Sometimes lack of capital is the reason of break the situation for startups with good business ideas. To not let such startups break down Government of India has started a startup India seed fund scheme. The motive of this scheme is to provide capital to startups with innovative business ideas at the early stage for proof of concept, prototype development, product trials, market-entry, and commercialization.
Benefits/ Features Of Startup India Seed Fund Scheme
- No mandatory physical incubation
- Pan India startup program
- Startups can apply to three incubators simultaneously
- Startups will get financial help
Highlights Of Startup India Seed Fund Scheme
- Name of the scheme: Startup India seed fund scheme
- Launched by: Government of India
- Launched for: startups
- Benefits: financial support
- Mode of application: online
- Official site: seedfund.startupindia.gov.in
Eligibility Criteria
All those who meet the further mentioned eligibility criteria can apply for the scheme:
Startup
- Startup recognised by the DPIIT incorporated not more than 2 years ago
- Must have a business idea to develop a product or a service with a market fit visible commercialization and scope of scaling
- Should be using technology in its core product or service or business model or distribution model or methodology to solve the problem
- Preference would be given to the startups creating an innovative solution in the sector
- Social impact
- Waste management
- Water management
- Financial inclusion
- Education
- Agriculture
- Food processing
- Biotechnology
- Healthcare
- Energy
- Mobility
- Defense
- Space
- Railway
- Oil and gas
- Textiles etc
- Must not receive more than rupees 10 lakh of monetary support under any of the government scheme
- The startup must have Indian shareholding promoters with at least 51% at the time of application
Incubators
- Must be a legal entity from any of the following:
- A society registered under the Societies Registration Act 1860
- A Trust registered under the Indian Trusts Act 1882
- A Private Limited company registered under the Companies Act 1956 or the Companies Act 2013
- A statutory body created through an Act of the legislature
- Should be operational for at least two years
- Must have facilities to seat at least 25 individuals
- Must have at least 5 startups undergoing incubation physically
- 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
- Should not be disbursing seed funds using funding from any third-party private entity
- Must have been assisted by the Central/State Government
- If not assisted by the Central/State Government then
- Must be operational for at least three years
- Must have at least 10 separate startups undergoing incubation
- Need to present last 2 years’ annual audited reports
Also Check: Grameen Kaushalya Yojana
Startup India Seed Fund Scheme Application Procedure For Startups
- To apply for the Startup India, Seed Fund Scheme you need to visit the Startup India website
- From home page of the website, you need to click on apply now option available in the menu bar
- A pop-up window will appear from where you need to select apply now option given under for startup
- Click on create an account option and the new page will open on the screen
- Enter your name email id mobile number and password
- Click on register option or you may sign up by using your Google Plus account, Facebook account, Twitter account or LinkedIn account.
- Now you need to login with the portal and the application form will open on the screen
- Fill out the application form including the name of the representative, designation, mobile number, email ID, and other important details
- Press the saving next option each time until you reach the final application page
- Upload all the required documents and submit the application
- Must review the application form after entering the details before submission
Application Procedure: For Incubators
- To apply you need to visit the official website
- From the home page of the website, you need to click on apply now option available in the menu bar
- A pop-up window will appear from where you need to select apply now option given under Incubators
- Click on create an account option and the new page will open on the screen
- Enter your name email id mobile number and password
- Click on the register option or you may sign up by using your Google Plus account, Facebook account, Twitter account, or LinkedIn account.
- Now you need to log in with the portal and the application form will open on the screen
- Fill out the application form including general details, incubator’s team, incubator’s support details, fund requirement details, and other details
- Press the saving next option each time until you reach the final application page
- Upload all the required documents and submit the application
- Must review the application form after entering the details before submission
Login Process
- To log in you need to visit the official website
- From the home page of the website, you need to click on the login option available in the menu bar
- A pop-up window will appear where you need to enter your username and password
- Press the login button and the user dashboard will show on the computer screen
Contact Us
If you have any queries then you may follow the further-mentioned steps:
- You need to visit the official website
- From the home page of the website, you need to click on the contact option
- A new page will open on the screen with a form
- Enter the details in it such as
- Entity type
- Name of the entity
- Name
- Email id
- Location
- Query type
- Message
- Press submit button and your query has been submitted