NIDHI-Seed Support System is an initiative of the National Science & Technology Entrepreneurship Development Board (NSTEDB), Department of Science & Technology. A wide gap exists in financial support required by technology driven start-ups in their initial phase which is not being addressed properly. The basic idea of seed support is providing financial assistance to potential startups with promising ideas, innovations and technologies.
NIDHI Seed Support Program (NIDHI-SSP) aims at providing financial assistance to startups for proof of concept, prototype development, product trials, market entry and commercialization etc.
NIDHI Seed Support Program Highlights:
1. Support upto Rs. 1000 lakhs to eligible incubators as Grant-in-aid to disburse to start- ups.
2. Support upto Rs 100 lakhs per start-up as Seed Support under NIDHI-SSP.
3. Loan, Equity or Equity-linked instruments as the mode of financing/investing into start- ups.
3. Lowest interest rate of only 2-3 % in case of debt financing for start-ups.
Pan India program support considering “Virtual” incubation.
Eligibility: (a) Eligibility for TBI to apply for NIDHI-SSS
A fully Operational STEP/TBI with at least 5 start ups requiring seed support is eligible to apply to DST for seed support. Seed support is normally given to a DST funded STEP/TBIs, but other TBIs having not for profit legal status and hosted at public institutions would also be considered on a case to case basis.
(b)Eligibility Conditions for Incubatee Start Ups for seed support
Incubatee should be a registered company in India with minimum of three months ofresidency at the STEP/TBIs.
Incubatee has to be an Indian start-up.This support is not meant for Indian Subsidiaries of MNCs/foreign companies. Persons holding Overseas Citizens of India (OCI), Persons of Indian Origin (PIO) would be considered as Indian citizens for the purpose of this scheme.
The share holding by Indian promoters in the incubate start up should be at least 51%.
Funding Grant: Avg. Seed Fund Amount for Startups is Rs. 25 Lakhs which goes Upto 100 Lakhs per startup
Time Period: 2-3 Years