The Seed Funding Scheme(SFS).

Startups can receive financial aid for proof-of-concept, prototype development, product trials, market entry, and commercialization.

The Seed Funding Scheme(SFS).

A Program To Promote Entrepreneurship:

For entrepreneurs in the early stages of an enterprise's growth, the accessibility of financing is crucial.

Startups can only receive funding from angel investors and venture capital firms if a proof of concept has been shown. Similar to this, banks only lend money to applicants who can vouch for their assets.

To enable firms with creative concepts to conduct proof-of-concept studies, seed money is crucial.

The Scheme's Goal:

The Startup India Seed Fund Scheme (SISFS) intends to give entrepreneurs financial support for concept proofing, prototype development, product trials, market entry, and commercialization.

This would allow these companies to progress to the point where they could seek funding from venture capitalists or angel investors, or apply for commercial bank loans.

How the Startup India Seed Fund Will Work

The Seed Fund will be distributed to qualified entrepreneurs through qualified incubators located throughout India.

1. Nodal Department of the Department for the Promotion of Industry and Internal Trade

2. Government officials and industry experts make up the Experts' Advisory Committee.

3. Be operational for at least 2-3 years, regardless of whether it is government-sponsored.

4. DPO IT-recognised StartupsIncorporated less than 2 years ago.

The Features Of The Startup India Seed Fund Scheme:

 1. Year-round ‘Call for Applications’ for Incubators and Startups

 2. Sector-agnostic

 3. No mandatory physical incubation

 4. pan-India startup programme

 5. Startups can apply to three incubators simultaneously.