AI SummaryCentral government runs Startup India Seed Fund Scheme (SISFS) through DPIIT to give early-stage startups seed money for proof of concept, prototype development, product trials, market entry and commercialization. Scheme has a total outlay of ₹945 crore and aims to support around 3,600 entrepreneurs through about 300 incubators across the country.
Startup applications under this scheme are filed online at seedfund.startupindia.gov.in. Official notice on the SISFS portal says the last date for submission of startup applications was 31 May 2026, so the current application window has closed. Eligible startups should keep checking the portal for any fresh call for applications.
Startup India Seed Fund Scheme Application Status
SISFS is still operational and the seed money keeps flowing through approved incubators in milestone-based installments. Experts Advisory Committee (EAC) constituted by DPIIT handles overall execution and monitoring of the scheme, including selection of incubators for allotment of seed funds.
A startup needs DPIIT recognition before it can apply for seed money. Check the Startup India Scheme Registration guide for the complete process of getting recognized.
How to Apply Online for Startup India Seed Fund Scheme
Application process for SISFS is fully online. Steps below explain how startups and incubators file applications on the official portal:
STEP 1 - Go to the official website of Startup India Seed Fund Scheme at seedfund.startupindia.gov.in.
STEP 2 - On the homepage, click on the "Apply Now" tab to open the application page for Startup India Seed Fund Scheme.
STEP 3 - If you want to join the scheme as an incubator, select the apply now button. Startups can apply to up to three incubators in order of preference.
STEP 4 - Login using the username and password created as incubator or startup credentials.
STEP 5 - After login, fill in the application form with details of your team, business idea, business model, funds needed and projected use of funds. Track the status of your application on the portal in real time.
Since the startup application window closed on 31 May 2026, fresh startup applications are not being accepted right now. New call details, if any, will be announced on the SISFS portal. For scheme-related questions, contact the department at dipp-startups@nic.in.
What is Startup India Seed Fund Scheme
Easy availability of capital is very important for startups in the early stage. Angel investors and venture capital firms step in only after a proof of concept is ready. Banks give loans only to asset-backed applicants. So seed funding plays a big role in helping startups with new ideas run proof of concept trials.
Prime Minister Narendra Modi announced this scheme on 16 January 2021 in his address at Prarambh: Startup India International Summit. After approval of EFC and the Finance Minister, the scheme was notified on 21 January 2021. Union Commerce and Industry Minister Piyush Goyal launched Startup India Seed Fund Scheme on 19 April 2021.
| Detail | Information |
|---|---|
| Scheme Name | Startup India Seed Fund Scheme (SISFS) |
| Main Department | DPIIT, Ministry of Commerce and Industry |
| Total Outlay | ₹945 crore |
| Support to Startups | Up to ₹20 lakh grant and up to ₹50 lakh investment |
| Target | Around 3,600 entrepreneurs through about 300 incubators |
| Application Mode | Online at seedfund.startupindia.gov.in |
| Startup Application Window | Closed on 31 May 2026 for the current cycle |
Financial Support Under Startup India Seed Fund Scheme
Seed money reaches startups through approved incubators. As per official guidelines, an eligible startup can get two types of support:
- Up to ₹20 lakh as a grant for validation of proof of concept, prototype development or product trials. This grant is paid in milestone-based installments.
- Up to ₹50 lakh as investment for market entry, commercialization or scaling up, through convertible debentures, debt or debt-linked instruments. Interest rate stays at not more than the prevailing repo rate and loan tenure is capped at 60 months.
An approved incubator can get a grant of up to ₹5 crore in milestone-based installments for disbursing to startups, plus a management fee of 5% of the seed fund grant. The grant cannot be used for facility creation or other expenses. For collateral-free loans for startups, check the Credit Guarantee Scheme for Startups.
Eligibility Criteria for Startups under Startup India Seed Fund Scheme
To get seed fund support, a startup must meet all the conditions listed below:
- A startup recognized by DPIIT, incorporated not more than 2 years ago at the time of application.
- Startup must have a business idea to develop a product or service with market fit, viable commercialization and scope of scaling.
- Startup should be using technology in its core product or service, or in its business model, distribution model or methodology to solve the targeted problem.
- Preference is given to startups creating new solutions in sectors like social impact, waste management, water management, financial inclusion, education, agriculture, food processing, biotechnology, healthcare, energy, mobility, defence, space, railways, oil and gas and textiles.
- Startup should not have received more than ₹10 lakh monetary support under any other central or state government scheme. This does not include prize money from competitions and grand challenges, subsidized working space, founder monthly allowance, access to labs or access to prototyping facility.
- Indian promoters should hold at least 51% shareholding in the startup at the time of application to the incubator, as per Companies Act, 2013 and SEBI (ICDR) Regulations, 2018.
- Startup can receive seed support once each in the form of grant and debt or convertible debentures, as per scheme guidelines.
Eligibility Criteria for Incubators under Startup India Seed Fund Scheme
Incubators that want to disburse seed fund to startups must fulfill the following conditions:
- Incubator must be a legal entity: a society registered under Societies Registration Act 1860, a trust registered under Indian Trusts Act 1882, a private limited company registered under Companies Act 1956 or 2013, or a statutory body created through an Act of the legislature.
- Incubator should be operational for at least two years on the date of application.
- Incubator must have facilities to seat at least 25 individuals.
- Incubator must have at least 5 startups undergoing incubation physically on the date of application.
- Incubator must have a full-time Chief Executive Officer with experience in business development and entrepreneurship, supported by a capable team for mentoring startups in testing and validating ideas, and in finance, legal and human resources functions.
- Incubator should not be disbursing seed fund to incubatees using funding from any third-party private entity.
- Incubator must have been assisted by central or state government(s).
- If the incubator has not been assisted by central or state government(s): it must be operational for at least three years, have at least 10 separate startups undergoing incubation physically on the date of application, and present audited annual reports for the last 2 years.
- Any additional criteria decided by Experts Advisory Committee (EAC).
How Startup India Seed Fund Will Operate
Seed fund is disbursed in a clear chain from DPIIT to approved incubators and then to selected startups:
- DPIIT is the main department that runs the scheme.
- Experts Advisory Committee (EAC) includes government representatives and industry experts who select incubators and monitor progress.
- Govt assisted and non-govt assisted incubators, operational for at least 2 to 3 years, disburse the seed fund to startups.
- DPIIT-recognized startups incorporated less than 2 years ago receive the support.
Official Links for Startup India Seed Fund Scheme
Latest Guidelines - Startup India Seed Fund Scheme Guidelines PDF
Gazette Notification - Seed Fund Gazette Notification PDF
Frequently Asked Questions - SISFS FAQ page
Contact - SISFS contact page. For direct queries, email dipp-startups@nic.in.
FAQ's
Is Startup India Seed Fund Scheme still accepting startup applications?
As per the official notice on the SISFS portal, the last date for submission of startup applications was 31 May 2026. Fresh call details, if any, will be announced on the official portal.
How much money can a startup get under SISFS?
An eligible startup can get up to ₹20 lakh as grant for proof of concept and prototype development, and up to ₹50 lakh as investment for market entry and commercialization.
Who can apply under the Startup India Seed Fund Scheme?
Startups must be DPIIT-recognized and incorporated not more than 2 years ago. The seed fund is given through approved incubators, which also apply separately under the scheme.
Where can applicants track application status?
Applicants can track the progress of their application on the Startup India portal and the SISFS portal at seedfund.startupindia.gov.in.