DPIIT • Startup India
Startup India Seed Fund Scheme (SISFS)
Early-stage funding via incubators: up to ₹20L grant for PoC and up to ₹50L investment for market entry/commercialization
₹20L
Grant (PoC)
₹50L
Debt/CB
Milestone
Tranche-based
No Collateral
Unsecured
- Channel
- Incubators (SISFS)
- Startup Age
- ≤ 2 Years
- DPIIT Status
- Mandatory
- Debt Tenure
- ≤ 5 Years
- Moratorium
- Up to 12 Months
- Interest
- ≤ Repo Rate
01Overview
About SISFS
SISFS provides financial assistance to DPIIT‑recognized early‑stage startups through empanelled incubators, enabling proof of concept, prototype development, product trials, market entry, and commercialization. Funding is milestone‑linked and disbursed via incubators.
Startups may receive up to ₹20 lakh as non‑dilutive grants for PoC and up to ₹50 lakh as investment through convertible debentures, debt or debt‑linked instruments for market entry and scaling. Funds are unsecured and without promoter/third‑party guarantees.
The scheme prioritizes technology‑led innovation with scalable commercial potential; eligible sectors are broad and sector‑agnostic with preference to impact areas like health, agri, clean energy, and inclusion.
- 01
PoC Grants
Milestone‑based grants up to ₹20 lakh for PoC, prototype development, and product trials.
- 02
Go‑to‑Market Funding
Up to ₹50 lakh as convertible debt/debt‑linked instruments for market entry and commercialization.
- 03
Incubator‑Led
Selection and disbursement via eligible incubators; evaluation by SFAC/ISMC with standardized milestones.
- 04
Non‑dilutive + Debt
Mix of non‑dilutive grants and light‑touch, unsecured debt capped at repo rate; tenure ≤ 5 years.
02Who can apply
Eligibility Criteria
Startup Eligibility
5 points- DPIIT‑recognized startup incorporated not more than 2 years before application.
- Tech‑led product/service with market fit and scalability potential.
- Not received > ₹10 lakh monetary support from any other Central/State scheme for similar purposes.
- At least 51% shareholding by Indian promoters at application time.
- Not to receive seed support more than once each under grant and investment categories.
Incubator Eligibility
3 points- Legal entity; operational ≥ 2 years with seating ≥ 25 and ≥ 5 physical incubatees.
- Full‑time CEO and team; assisted by Central/State Govt or meet extended criteria.
- No third‑party funds used to disburse SISFS seed funds to incubatees.
Funding Terms
3 points- Grants in tranches against agreed milestones; utilization restrictions apply.
- Debt/CB at ≤ repo rate, tenure ≤ 60 months with up to 12 months moratorium; unsecured, no guarantees.
- Funds cannot be used for creating facilities; must align to sanctioned purposes.
03Paperwork
Required Documents
0 / 9 ready
Tick the documents you already have
Recognition & KYC
Business & Financials
Incubator & Compliance
04Step by step
Application Process
- 01
Apply on SISFS Portal
1–2 DaysSubmit startup application and documents to selected incubators via the SISFS portal for evaluation.
Choose incubators aligned with sector and stage.
- 02
Evaluation by SFAC/ISMC
2–6 WeeksIncubator committees assess innovation, market need, feasibility, team strength, and impact; shortlisting within ~45 days typical.
Timelines vary by incubator cycle.
- 03
Milestone Agreement
3–7 DaysOn selection, finalize milestones and sign grant/debt agreements detailing tranches, utilization, and reporting.
UC/reporting formats shared by incubator.
- 04
Disbursement & Monitoring
OngoingFunds released milestone‑wise; progress reviewed; debt carries ≤ repo rate, up to 12 months moratorium, max 5‑year tenure.
No promoter/collateral guarantees required.
05Why it's worth it
Key Benefits
Non‑dilutive PoC
Grants reduce early dilution while validating technology and market fit.
- PoC
- Prototype
- Trials
Fast GTM Support
Debt/CB up to ₹50 lakh accelerates market entry and scale with capped interest.
- ≤ Repo rate
- ≤ 5‑year tenure
- Up to 12‑month moratorium
Focused Selection
Incubator‑led curation improves success odds; milestone‑based accountability ensures efficient use.
- ISMC/SFAC
- Milestones
- Reporting
Unsecured & Simple
No collateral or promoter guarantees; standardized agreements and UC formats.
- Low friction
- Founder‑friendly
- Transparent
06Questions
Frequently Asked Questions
- Up to ₹20 lakh as grants for PoC/prototype/product trials, and up to ₹50 lakh as investment through convertible debentures or debt‑linked instruments for market entry/commercialization.
- DPIIT‑recognized startups incorporated ≤ 2 years prior to application, tech‑led, with ≥ 51% Indian promoter shareholding, and not having received > ₹10 lakh similar government support.
- Apply via the SISFS portal to incubators; incubator committees (SFAC/ISMC) evaluate and select based on innovation, market potential, feasibility, impact, and team.
- Unsecured, ≤ repo rate interest, tenure ≤ 60 months, with up to 12 months moratorium; no promoter or third‑party guarantees.
- Grants for PoC/prototype/trials; debt for market entry/commercialization; funds cannot be used to create facilities and must follow sanctioned purposes.
How much runway do you have?
Move the sliders to see when your cash runs out — and when to start raising.
Runway Planner
How long does your cash really last?
Your runway
14 months
Comfortable runway
Use the time to hit the milestones that make the next round an easy yes.
Real outcomes
Success Stories
“Milestone‑based PoC grant validated our sensors and secured pilot customers through the incubator network.”
AgriSense LabsIoT Crop MonitoringFunded: ₹18 Lakhs (Grant)“Debt‑linked instrument funded GTM; capped interest and no collateral made scaling feasible pre‑equity.”
MediFlow AIClinical Workflow SaaSFunded: ₹40 Lakhs (Debt/CB)“Structured milestones and incubator mentorship accelerated certifications and commercialization.”
CleanMotionEV SubsystemsFunded: ₹50 Lakhs (Debt/CB)
SISFS
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