Start-up India Seed Fund

To fulfill the capital needs of the start-ups to boost setting up of new ones and growing the existing ones

Central government has come up with a Start-up India Seed Fund for the start-ups to raise the debt capital. On January 16, 2021, Honourable Prime Minister Mr. Narendra Modi announced a seed funding of Rs. 1000 crores for the existing as well as new start-ups in the country. This announcement was made by the PM at Start-up India International Summit, Parambh, while addressing the BIMSTEC countries. This seed fund is announced to encourage new start-ups and build a strong start-up ecosystem in India. These funds will provide as initial capital investment as well as funds to grow the existing business with productive ideas. This is an important step towards Aatmanirbhar Bharat and it empowers the same vision.


Scheme name:Start-up India Seed Fund
Scheme Under:Central Government
Launch Date:January 16, 2021
Beneficiaries:Start-ups across India in the fields of technology, agriculture, health sector, etc
Major Objective:To fulfill the capital needs of the start-ups to boost setting up of new ones and growing the existing ones
Total worth:Rs. 1000/- crore

Scheme Objectives and Benefits:

  • The main objective of the scheme is to provide the start-ups with seed funds helping them to raise the debt capital
  • It tends to benefit the new start-ups to flourish, become corporations and even global giants
  • This scheme will enable to generate employment opportunities in linked sectors
  • This scheme will also enable increased productivity and innovation
  • In the long run, it will impact increased economic growth ad development
  • It is a step towards Aatmanirbhar Bharat and Make in India mission.
  • This scheme will build a strong base and ecosystem of start-ups in the country

Application Process:

  • Visit the official Start-up India website @

  • Click on About tab on the homepage followed by Seed funding support in Our Practices section
  • Select the state applicable and go through the guidelines for seed funding
  • Then click on the Scheme & Policies tab on the home page followed by States Start-up Policies
  • Click on the applicable state. (for ex. – Gujarat)
  • Usually, the application for seed funding is required to be made to the Nodal Agency applicable
  • Details of the agency, official state website, contact and address details, etc are available thereby

  • Incentives and instructions regarding various verticals are also available

  • Accordingly click on the Apply Now link available thereby and the page will be redirected to the state start-up website
  • Accordingly start with New Registration filling the basic details like name, gender, age, DOB, registration date, PAN details, contact details, etc
  • Then fill in the Project Information (Product/ Process/ Service), features, amount of investment, expenditure, etc
  • Fill in the Other information as required about the founder, co-founder, etc and click on Submit
  • Accordingly upload the documents required
  • After proper verification of application, the suitable and applicable fund amount will be granted accordingly

Scheme Details:

  • PM Narendra Modi announced a Start-up India Seed Fund of Rs. 1000 crore for the start-ups in the country on January 16, 2021
  • This announcement was made by the PM at the Start-up India International Summit, Parambh, which marked the 5th anniversary of the Start-up India initiative
  • Initially government started Fund of Funds to provide equity capital to the start-ups and now funds will be provided to help the start-ups to raise debt capital
  • Through these funds the start-ups can fulfil its initial investment requirement along with other requirements like expenses on marketing, patent, taxes, etc
  • It also tends to increase employment opportunities in linked areas
  • It aims at encouraging new ideas and new innovations in the form of start-ups in the fields of technology, health, agriculture, etc.
  • In the year 2014, only 4 start-ups were there in the Unicorn club and now there are more than 30 start-ups
  • Currently India is world’s 3rd largest start-up ecosystem including various sectors like IT, agriculture, health, etc
  • PM said, efforts are being made for strengthening this start-up ecosystem based on ‘of the youth, by the youth, for the youth’ mantra.


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