Factually, Business plans do not generate business funds or financing. Many kinds of financing options that required in business or start-ups.
Investors need a business plan for their clear idea and information about your start-up.
Every year thousands of start-up comes into the market. Only about half of new businesses survive for four to five years, and only a third remain in operation after 10 years. Because of finance paucity and lack of financial planning.
Related Article: Things to remember while launching a business
From the past decade, Government also involves in funding of new start-ups in way of introducing various schemes. In India lot of schemes, they provide for helping in fund collection of new entrepreneurs for their start-ups.
well-versed schemes in funding of new entrepreneurs
|SL NO||SCHEME NAME||HEADED BY||INDUSTRY APPLICABLE||ELIGIBILITY||FISCAL SUPPORT|
|1||Startup Assistance Scheme||Small Industries Development Bank of India (SIDBI)||Sector-Agnostic||Company existence for more than 5 years, not received adequate and regular bank credit facilities||maximum of 200 Lakhs and equity kicker, 14% rate of interest is applicable on the loan amount|
|2||SIDBI Make In India Soft Loan Fund For Micro Small And Medium Enterprises (SMILE)||Small Industries Development Bank of India (SIDBI)||Sector-agnostic||New enterprises in the manufacturing and services sector||10% of the project to a max of 20 lakhs, and SC&ST tribes it is 30 Lakhs|
|3||Pradhan Mantri Mudra Yojana (PMMY)||Micro Units Development and Refinance Agency Ltd. (MUDRA)||Sector-agnostic||small manufacturing units, service sector units, shopkeepers, fruits/vegetable vendors, truck operators, food-service units etc..||MUDRA provides refinance support to banks / MFIs for lending to micro units. Shishu: covering loans up to 50,000/-
Kishor: covering loans above 50,000/- and up to 5 Lakhs
Tarun: covering loans above 5 Lakhs and up to 10 Lakhs
|4||Scale-Up Support To Establishing Incubation Centres||NITI Aayog||Sector-agnostic||the startup should be a legal entity registered in India as a public, private or public-private partnership||Grant-in-aid support of INR 10 Cr will be provided in two annual installments of INR 5 Cr each.|
|5||Promoting Innovations in Individuals, Startups, and MSMEs(PRISM)||Council of Scientific & Industrial Research||Sector – Agonistic||Anyone can apply with demonstrated proof of content||PRISM Phase -I Category-I: up to 5 Lakhs; PRISM Phase -I Category-II: 5 Lakhs to 35 Lakhs; PRISM Phase -II: 35 Lakhs to 100Lakhs|
|6||Extra Mural Research Funding||Science and Engineering Research Board (SERB)||All sectors or sector agonistic||Indian citizen residing in India||No budget limit is prescribed. The average cost of the EMR project is 35 Lakhs for a duration of three years.|
|7||Industry Innovation Programme On Medical Electronics (IIPME)||Biotechnology Industry Research Assistance Council (BIRAC)||Healthcare & life sciences||Indian startups||Grants provide according to the startup stage i.e., 50 Lakhs for 18 months old,
100 Lakhs for 24 months old.
Not only the above mention schemes lot of public sector firms gives various funding schemes for new entrepreneurs. The only thing we have to do is research on various funding schemes and select anyone on that which is best suitable for our time-bound.