The state government of Gujarat has put significant effort into not only fostering employability but also launching startup incubators and accelerators to help the state’s young people learn business and management skills. For this reason, the State Government has implemented a policy of financial aid targeted specifically at new businesses. This article examines the Scheme for Assistance to Startups in Gujarat and its features, including its benefits, eligibility requirements, and application process.
The Scheme for Assistance for Start-Ups/Innovation was launched on 07/08/20 and is going to be operational for 5 years, that is until 06/08/25 because Startups and innovation are essential to economic expansion. In addition to creating jobs, they focus on smarter, generation-next solutions that foster economic vitality by fostering innovation and competition. Gujarat has attained a prominent position in the national startup ecosystem due to its inherent strength of pervasive entrepreneurial spirit.
Several startups have expanded their operations/products on both a national and international scale as a result of the expansion of the network of nodal institutions made possible by the Gujarat Industrial Policy of 2015. The primary goal of the Gujarat Industrial Policy 2020 is to promote research and development, innovation, and entrepreneurship. Therefore, the new scheme is being implemented to support startups and innovation at various stages of the startup life cycle.
Benefits of Financial Support for Start-Up/Innovation
- Under this program, the innovator will receive a monthly subsistence allowance of Rs. 10,000 for one year.
- Mentored startups will receive up to Rs. 5 lakh in annual funding.
- The cost of raw materials/components and other related equipment for the innovative process will receive up to Rs. 10 lakh in financial assistance, pending approval by the screening committee.
- An institution will provide mentorship services to assist the innovator.
- The innovator may visit the institution to utilise startup-specific facilities.
- As per government approval, a selected innovator will have free access to universities/libraries/government research labs of excellence/small and medium enterprises/public sector undertakings to clarify his innovative concept/ideas.
Criteria for Eligibility
Any individual or group of individuals with an innovative idea or concept are eligible to apply for financial assistance through the programme if they meet the criteria outlined in the eligibility requirements. To qualify as an institution that can provide assistance and mentor innovators, a business must either be a university or an educational institution, an incubator, a public or private research and development institution, or another type of establishment
Assistance Provided for:-
A. Support for Innovation:
- The institution will provide mentorship services to the innovator.
- The institution will permit the innovator to utilize its available facilities for Start-Ups.
- A one-year sustenance allowance of Rs. 10,000 will be provided to the innovator whose project is recommended by the institution and approved by the Committee.
- The institution will receive up to 5 Lakhs in assistance for mentoring services.
- Upon committee approval, up to Rs. 10.00 Lakhs will be provided for the cost of raw materials/components and other related equipment required for the innovative process of the development of a new product.
- The government will provide selected innovators with free access to universities/libraries/government laboratories/centers of excellence/government research and development corporations (GIDC)/centers of excellence (CoE)/public sector undertakings (PSUs) to gain greater insight into their innovative ideas/concepts.
B. Support after the Idea/Concept has been brought to market.
Up to Rs. 10.00 lakhs in marketing/publicity assistance will be provided for the introduction of an innovative product to the market.
C. The project will be eligible for additional benefits under MSME schemes.
How To Apply for the Scheme for Assistance for Start-Up/Innovation?
In addition to promoting employability, the state government of Gujarat has also launched startup incubators and accelerators to help the state’s youth acquire business and management skills. For this reason, the State Government has enacted a policy of financial assistance for new businesses. And we at Egniol are available to assist you with our team of experts to apply for the Scheme for Assistance for Start-Up/Innovation under the state government of Gujarat, all you need to do is get connected with us.