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 Scheme (NIDHI-SSS) aims at providing financial assistance to startups for proof of concept, prototype development, product trials, market-entry, commercialization, etc.
NIDHI Seed Support Program Highlights:
1) Loan, Equity, or Equity-linked instruments as the mode of financing/investing in start-ups.
2) The lowest interest rate of only 2-3 % in the case of debt financing for start-ups.
3) Avg. Seed Fund Amount for Startups is Rs. 25 Lakhs which goes upto 100 Lakhs per startup
Time Period: 2-Years
Area: All Science Disciplines
Pan India program supports considering “Virtual” incubation.
The focus of NIDHI seed support is providing financial assistance to potential startups with promising ideas, innovations, and technologies. This would enable some of these incubated startups with innovative ideas/technologies to graduate to a level where they will be able to raise investments from angel/Venture capitalists or they will reach a position to seek loans from commercial banks /financial institutions. Thus the proposed seed support disbursed by an incubator to an incubator is positioned to act as a bridge between the development and commercialization of innovative technologies/products/services in a relatively hassle-free manner.
Broad Areas to be covered under the financial assistance include :
The Seed fund emphasizes:
Eligibility Conditions for start-ups to apply for seed support
Here is a list of make/break criteria for applicants:
Applications for the seed fund will be reviewed based on criteria such as (but not limited to):
Typical terms for seed funding: