“These days we hear around us, startup, startup, startup. It’s true that this is the era of startups and it’s also true that in the field of startups, in a way, India is leading the world.” says PM Modi.
In recent years, India has created a strong ecosystem for startups and entrepreneurs. The country is now home to the third largest startup ecosystem in the world, according to the Economic Survey 2021-22 report released earlier this year.
Finished 60,000 new companies are operating in India, and the country now has more 100 unicorns. However, not everyone has the right resources to thrive in the ecosystem and build a strong presence.
The Government of India actively supports startups and entrepreneurs by launching various programs and initiatives to train and provide financial assistance, technical support, grants and other essential services for these entrepreneurs and startups to fuel their growth.
These initiatives play a vital role in the journey of these entrepreneurs to build their businesses and make a mark on the world. With government support, these startups gain global recognition and can also attract foreign investors.
Here is the list of government schemes launched to create, develop and encourage new businesses and entrepreneurs:
The SAMRIDH scheme is designed to enhance the startup accelerator ecosystem in India. It was launched by the newly appointed Minister of Electronics, Information and Technology (MeitY), Ashwini Vaishnaw, who helps start-ups with product development, growth and innovation.
It is designed to provide financial support to startups and help them gather skill sets that will help them grow successfully.
The initiative aims to accelerate around 300 startups by providing them with investor connection, customer connection and other opportunities for global expansion over the next three years.
It is suggested that MeitY Startup Center (MSH) act as SAMRIDH’s executing agency. It will take capital in new companies for the government contribution through SAFE/Promissory Note, as an accelerator.
Multiplier Grant Scheme (MSG)
Initiated by the Department of Electronics and Information Technology (DeitY), the Multiplier Grants Program aims to enhance collaboration research and development (R&D) between industry and institutions/academics for the development of products and packaging.
The scheme aims to bridge the gap between R&D and proof of concept, as well as globalization and commercialization. It also helps fuel the growth of indigenous goods and services and makes it faster.
Government grants would be limited to a maximum sum of Rs 2 crore per project, and the duration of each project could be considerably less than two years. This will go up to Rs 4 crore and include three years of industry association.
next generation IECC
An initiative launched by the National Science and Technology Entrepreneurship Development Board of the Department of Science and Technology, Government of India (GoI), called the NewGen Entrepreneurship and Innovation Development Center, aims to instill entrepreneurship and innovation among through mentoring, support, and guidance.
This is a five-year program that would be offered in educational institutions. The initiative aims to support up to 20 new projects. The selected institute will receive a financial grant of up to Rs 25 lakh and a recurring expense of up to Rs 10 lakh.
Under this scheme, students will be encouraged to undertake innovation projects with the possibility of commercialization.
An initiative launched by the Government of India in 2014-15, the Agricultural Mechanization Sub-Mission (SMAM)aims to extend the reach of agricultural mechanization to small and marginal farmers in areas where the availability of agricultural power is low enough to increase productivity.
Under SMAM, both the central government and the states will contribute 75 percent and 25 percent, respectively.
The scheme aims to promote client contracting centers to offset the adverse economic impact stemming from small ownership and the high cost of individual ownership.
It also aims to raise awareness among stakeholders through demonstrations and capacity building activities, and will also provide financial assistance to small and marginal farmers to rent implements and machinery in low-mechanized regions.
In particular, the initiative aims to popularize technology for primary processing, low-cost scientific storage/transportation, value addition, and crop by-product management through capacity building and demonstrations by farmers and users. endings.
Dairy Business Development Scheme
DEDS (Dairy Entrepreneurship Development Scheme) is a scheme launched by the Animal Husbandry, Fisheries and Dairy Department to create self-employment opportunities in the dairy sector.
These opportunities will encompass activities such as improving the production, transportation, procurement, processing, preservation and marketing of milk by providing backing capital for bankable projects of 25% of the total project cost for candidates in the category general and 33.33% for farmers. under the SC/ST category.
The scheme aims to introduce changes in the structure of the informal sector and to ensure that the initial processing of milk takes place in the villages.
Single point registration scheme
SPRS (Single Point Registration Scheme) was launched in 2003 by the National Small Industries Corporation (NSIC). NSIC registers MSEs (Micro and Small Enterprises in India under SPRS) to enable them to participate in government purchases.
These companies are classified as micro, small or medium depending on the amount of the investment. Eligible MSME units have a certificate of registration from Udyog Aadhar. More than 358 items are reserved for exclusive purchases by MSMEs.
PSUs and central ministry departments must set an annual goal of purchasing at least 20 percent of their total annual purchases from MSMEs.
The Venture Capital Assistance (VCA) Scheme
The Venture Capital Assistance scheme was launched by the Small Farmers Agribusiness Consortium (SFAC) for the welfare of farmer-entrepreneurs and to develop their businesses. Promotes the training and education of agribusinesses.
The initiative has been approved by financial institutions and banks regulated by the RBI. Its objective is to offer assistance in the form of term loans to farmers so that they can meet the fund requirements for the implementation of their project.
The amount of the loan will be 26 percent of the property of the promoter. The maximum amount of the loans offered under this scheme will be 50 lakh rupees.
ZED Certification Scheme
The Zero Defect Zero Effect (ZED) scheme was launched in 2016 by the Government of India to raise awareness of ZED manufacturing among MSMEs and motivate them towards evaluating their company for ZED and support them.
The initiative also indicates production, manufacturing efficiency, human resource improvement, quality, financial efficiency, energy saving, mitigation, pollution, and includes intellectual property rights and product and process design. .