WITH the launching of Startup India Seed Fund Scheme (SISFS), startups coming up in India will be immensely benefited & startup enterprises will get a boost to take off & achieve the desired targets said renowned industrial consultant CA Julfesh Shah while addressing a webinar organised by Innovative StartUp Forum (ISF), Bengaluru. He said, in April 2021 this scheme was launched by Piyush Goyal, under the aegis of DPIIT through Ministry of Commerce & Industry which basically aim to provide financial assistance to startups for proof of concept, prototype development, product trials, market entry and commercialization. Rs 945 crore corpus has been earmarked for this scheme which will be divided over the next 4 years for providing seed funding to eligible startups through eligible incubators across India, he said.

 

The scheme is estimated to support 3600 startups through 300 incubators. Although times are tough for the entrepreneurs due to pandemic but due to strong support and resolution of the Government to empower startups which will go a long way in fulfilling the dream of Atmanirbhar Bharat. “This SISFS scheme will secure seed funding, inspire innovation, support transformative ideas, facilitate implementation and ensure startup revolution. The scheme will create a robust startup ecosystem particularly in Tier 2 and Tier 3 cities of India which are often struggling for funding and are deprived of adequate finance,” he said. In this scheme, innovators from rural areas will be encouraged and will be given priority. Government with the motto of connect, collaborate and catalyse, has introduced various other initiatives like startup innovation challenges, startup awards, ranking of states, SCO Startup Forum, Prarambh etc, Shah added. The promising startups that are supported at their early stages shall create huge employment opportunities and young entrepreneurs with their ability, agility and dedication will definitely be successful in inculcating, incubating and innovating for the nation.

 

The online portal created by DPIIT, for the scheme, will allow incubators to apply for funds under it, he said. An Experts Advisory Committee (EAC) has been created by DPIIT to execute and monitor the Startup India Seed Fund Scheme. Grants of upto Rs 5 crore shall be provided to the eligible incubators selected by the EAC. The selected incubators shall provide grants of up to Rs 20 lakh for validation of proof of concept, or prototype development, or product trials to startups. Furthermore, investments of up to Rs 50 lakhs shall be provided to the startups for market entry, commercialization, or scaling up through convertible debentures or debt-linked instruments. The detailed guidelines of the Startup India Seed Fund Scheme are provided on the Startup India portal, Shah saids. Bosco Fernandez, Convenor of the Forum made introductory remarks. Nimish Doshi proposed vote of thanks of the webinar which was largely attended young entrepreneurs.