Startup Agri-Business Incubation Programme (Seed)

SAIP (Prototype to Minimum Viable Product): SABAWAVLAMBI

Seed Stage Funding as grant-in-aid to Startups

Under the seed stage funding available to incubatees, financial assistance of a maximum of Rs. 25.00 Lakhs will be granted to potential startups that have a minimum viable product (MVP) / business or a service with market fit, viable commercialization and scope of scaling who has innovative solutions/ processes / products/ services/ business models in agriculture and allied sector.

After successful completion of the one-month orientation programme, the Selection, and Investment Committee (SIC) will recommend the selected startups for Seed Stage Funding grant in-aid up to Rs. 25.00 Lakhs to Nodal Division, Department of Agriculture Cooperation and Farmers Welfare (DAC&FW).

Objectives

1. To ensure timely seed funds to selected incubatees.
2. To enable translation of minimum viable product (MVP) to marketable stage of the product business.
3. To provide a platform for faster experimentation and modification in their approaches or minimum viable product (MVP) based on innovative solutions/ processes / products/ services/ business models etc, for scaling up.

Eligibility Criteria

1. All incubatees will be eligible for this funding on the basis of consistent performance evaluated by SIC.
2. The applicant should be a registered legal entity in India.
3. The applicant has to be an Indian start-up as per DIPP (Department of Industrial Policy and Promotion) notification. This support is not meant for Indian Subsidiaries of MNCs/foreign companies.
4. Start-ups must have a minimum viable product/ business or a service with market fit, viable commercialization and scope of scaling
5. Start-ups should be using innovation/regional outreach in its core products or service or business model.
6. A startup supported once will not be eligible for applying for the subsequent round of seed support.

Broad activities to be supported under Seed Stage Funding

Expenses for the following broad activities would be supported under this program as approved by SIC:

1. Product Refinement/Testing and Trials/ Test Marketing/ Marketing launch
2. Expenses on Data generation/data acquisition
3. Fees for IP issues/one-time technology licensing fees
4. Manpower for day today operations
5. Any other area/activity as deemed necessary and recommended by the SIC

Selection Process of Incubatee for Seed Stage Funding

1. All applicants for this programme will apply as per the prescribed format.
2. The RKVY Incubation Committee (RIC) will select the potential incubates based on selection criteria.
3. During the selection process, RIC will take into consideration any other grant-in-aid funding received by the incubatee for the same activity/product from other GoI Ministries and State Governments. A self-declaration from the incubatee about such funding will be mandatory.
4. After one month of online/residency/ incubation programme, RIC will evaluate the progress of the incubatee and based on their performance, may recommend the incubatee to the Selection and Investment Committee (SIC) for final recommendation of grant-in-aid.
5. The decision of Selection and Investment Committee (SIC) in this regard will be final. The SIC will not be bound to give any reason in case an application for seed fund is rejected.

Pattern of Funding Support and Release of Funds

1. SABAGRIs, BAU would execute a legal agreement with the incubatee who is selected for the seed support and this agreement should be signed before the release of the first instalment of seed fund to the incubatee. The terms of agreement with the incubatees start up should be framed by SABAGRIs, BAU linking with the progress milestones, monitoring norms etc. Subsequent disbursement schedules should be linked to the achievement of milestones by the incubatee.
2. Each selected startup will be provided a maximum limit of Rs. 25.00 Lakhs as grant-in-aid under the scheme. (start-ups already receiving grants / financial support from any other source will not be eligible under RKVY- RAFTAAR)
3. For ensuring incubatee/ private participation in the programme, 15 percent on proportionate basis of the project cost will be borne by the incubatee. The remaining 85 percent of the project cost on proportionate basis upto a maximum of Rs. 25.00 lakhs will be borne under RKVY-RAFTAAR scheme which will be released in two installments as mentioned below:
4. The first instalment of 50% of the sanctioned project cost for seed support will be released based on the recommendation of SIC and after the signing of the agreement between the incubator and the incubatee.
5. The second instalment of 50% will be released to the incubatee after completion of the milestones as mandated by SIC, submission of the CA certified UC, expenditure statement, milestone achievement report and other documents and subsequent approval from the incubator.

Submit completed application forms in prescribed format at:

Apply Online:  https://www.sabagris.com/startup-registration.aspx