Startup India Seed Fund Scheme (SISFS)

Why in News?

• The Ministry of Commerce and Industry has recently approved Rs. 477.25 crore under the Startup India Seed Fund Scheme (SISFS), which is a flagship Scheme under Startup India Initiative.

Highlights

• The Startup India initiative envisages building a robust Start-up ecosystem in the country for nurturing innovation and providing opportunities to budding entrepreneurs.
• Under the Initiative, an Action Plan of 19 Action Points was unveiled by the Prime Minister in January, 2016.
• This Action Plan laid down a roadmap for the creation of a conducive ecosystem for Startups in India.
• The flagship schemes under Startup India initiative namely, Fund of Funds for Startups (FFS), SISFS and Credit Guarantee Scheme for Startups (CGSS) extend support to startups at various stages of their business cycle.
• Seed Funding is an early stage of investment in a start-up or a new business idea. The goal of seed funding is to help the company reach a point where it can secure additional rounds of funding or generate revenue to become self-sustaining.
• An Experts Advisory Committee (EAC) has been constituted by DPIIT, which will be responsible for the overall execution and monitoring of the Startup India Seed Fund Scheme.
• The EAC will evaluate and select incubators for allotment of Seed Funds, monitor progress, and take all necessary measures for efficient utilization of funds towards fulfilment of objectives of Startup India Seed Fund Scheme.