Source: ET
Context: The Department for Promotion of Industry and Internal Trade (DPIIT) is conducting a third-party impact assessment of the Startup India Seed Fund Scheme to evaluate its performance in benefiting the startup community.
About Startup India Seed Fund Scheme (SISFS):
| Aspect | Details |
| SISFS was created by DPIIT, Ministry of Commerce and Industry in 2021. It aims to provide financial assistance to start-ups for proof of concept, prototype development, product trials, market entry, and commercialization. | |
| Eligibility | Startups recognized by DPIIT incorporated not more than 2 years ago at the time of application, have not received more than Rs. 10 lakhs of monetary support under any other Central or State Government scheme. |
| Preference | Startups create innovative solutions in sectors such as social impact, waste management, water management, etc. |
| Grants and Support | Grants of up to Rs. 5 crores are provided to eligible incubators, which in turn provide grants of up to Rs. 20 lakhs to startups for validation of proof of concept, prototype development, or product trials. |
| Estimated Beneficiaries | 3,600 entrepreneurs through 300 incubators in the next 4 years |
| What is Seed funding? | Seed Funding is an early stage of investment in a start-up or a new business idea to help the company reach a point where it can secure additional rounds of funding or generate revenue to become self-sustaining. |
