Innovation needs brilliant minds, brilliant ideas, and a good place to incubate the ideas of brilliant minds. Historically India has been the world leader in innovation and knowledge. To rebuild the innovation ecosystem of India, Government of India has initiated the Startup India program.
Startup India is an initiative of the Government of India.
The campaign was first announced by Indian Prime Minister, Narendra Modi during his 15 August 2015. The action plan of this initiative, is based on the following three pillars:
Simplification and Handholding.
Funding Support and Incentives.
Industry-Academia Partnership and Incubation.
A startup defined as an entity that is headquartered in India, which was opened less than seven years ago, and has an annual turnover less than ₹25 crore (US$3.9 million). Under this initiative, the government has already launched the I-MADE program, to help Indian entrepreneurs build 1 million mobile app start-ups, and the MUDRA Banks scheme (Pradhan Mantri Mudra Yojana), an initiative which aims to provide micro-finance, low-interest rate loans to entrepreneurs from low socioeconomic backgrounds. Initial capital of ₹200 billion (US$3.1 billion) has been allocated for this scheme.
The government offers incentives to startups and venture funds that undertake new ideas across key sectors including banking, insurance, education, health, retail and transportation.
Financial allocation under the Atal Innovation Mission will be used to fund the programme on a nationwide scale and projects will be granted on the challenge mode.
The government is already providing support of up to Rs 10 crore to already established and upcoming new incubation centers depending on the set criteria laid under the Atal Innovation Mission, for which an allocation of `500 crore was made in 2015-16.
The original allocation under AIM for 2017-18 stood at Rs 112 crore, which has been revised to Rs 150 crore while Rs 200 crore has been allocated for 2018-19.