Program Details
Bio-incubation allows harnessing of the entrepreneurial potential of startups by providing access to infrastructure, mentoring, as well as networking platforms that startups can utilize during their early stages. It helps young entities survive by offering specialized support services during the critical startup phase.
While Bio-incubators effectively support the Space, Services and Knowledge requirements of startups, there remains a significant gap in the financial support required during the initial stages of a technology-driven venture. BIRAC's initiative – Sustainable Entrepreneurship and Enterprise Development Fund (SEED Fund) – primarily addresses this need through selected incubators.
Objective
The basic idea of the SEED Fund is to provide capital assistance to startups with new and meritorious ideas, innovations, and technologies. This enables startups to progress to a stage where they can attract investments from angel investors or venture capitalists, or become eligible for loans from commercial banks and financial institutions.
The proposed seed support acts as a bridge between the promoter's investment and venture/angel investment. Rather than functioning as an investment scheme, it is a support mechanism designed to help startups and incubators achieve long-term sustainability.
Guidelines for BIRAC Incubator SEED Fund (Sustainable Entrepreneurship and Enterprise Development)
1. Introduction and Scope of the Fund
Bio-incubation allows harnessing of the entrepreneurial potential of startups by providing access to infrastructure, mentoring, as well as networking platforms that startups can utilize during their fledgling days. It helps young entities survive by providing specialized support services during the critical startup phase.
BIRAC has established 60 incubation facilities across the country at strategic locations to strengthen India's biotechnology startup ecosystem.
While Bio-incubators effectively support the Space, Services and Knowledge requirements of startups, there remains a significant financial gap during the initial stages of technology development. BIRAC's SEED Fund addresses this requirement by providing capital assistance through selected incubators.
The SEED Fund enables startups to progress towards commercialization and future investments by bridging the gap between the promoter's investment and venture or angel funding.
Objectives
Technology Incubation and Development of Entrepreneurs (TIDE 2.0) is a scheme for strengthening technology startups in selected areas of national importance by leveraging emerging technologies. Its primary objective is to promote technology entrepreneurship through financial and technical support to ICTE startups working with emerging technologies such as IoT, AI, Blockchain, Robotics, and more across eight pre-identified sectors of societal relevance.
Supported By: Ministry of Electronics and Information Technology (MeitY)
Eligibility
Entrepreneur in Residence (EiR)
The applicant:
- Should be a resident of India.
- Should be an undergraduate degree holder or a final-year student.
- Should not have any other source of funding.
- Should be fully committed to exploring and developing the business idea.
- Should not be the promoter, shareholder, or beneficiary of any other company.
Grant Support
The applicant:
- Should be a resident of India.
- Should be an undergraduate degree holder or a final-year student.
- May apply as a Private Limited Company.
- Should possess a definite Proof of Concept (PoC) that can be developed into a Minimum Viable Product (MVP).
Focused Sectors
- Healthcare
- Education
- Agriculture
- Infrastructure & Transportation
- Environment & Clean Technology
- Clean Energy Solutions
- Financial Inclusion, including Digital Payments
- Other Emerging ICTE Areas*
* Flexibility is provided to support technology startups addressing societal challenges in ICTE domains.
Financial Support
Up to ₹4 Lakhs per startup for one year may be provided to applicants with innovative ideas to validate and develop them.
Up to ₹7 Lakhs per startup for one year may be provided to applicants having a validated Proof of Concept (PoC) to further develop it into a Minimum Viable Product (MVP).
TIDE 2.0 Offers
- Co-working space and laboratory infrastructure
- Workshop facilities and utilities
- Funding opportunities and investor connections
- Technical and business mentoring
- Business support, networking, and ecosystem access
Biotechnology Industry Research Assistance Council (BIRAC) is a not-for-profit Section 8, Schedule B Public Sector Enterprise established by the Department of Biotechnology (DBT), Government of India. It serves as an interface agency to strengthen and empower emerging biotechnology enterprises by supporting strategic research and innovation that addresses nationally relevant product development needs.
BIRAC operates several funding and mentoring programmes for biotechnology startups. One of its flagship initiatives is the Biotechnology Ignition Grant (BIG), the country's largest early-stage biotech funding programme. BIG provides funding of up to ₹50 Lakhs to promising innovators to transform their ideas into proof-of-concept projects.
Objectives
The Biotechnology Ignition Grant (BIG) Scheme aims to:
- Foster innovative ideas with commercialization potential.
- Support validation and scaling of proof-of-concept.
- Encourage researchers to take technologies closer to market through startups.
- Promote entrepreneurship and enterprise creation in biotechnology.
Selected innovators receive funding of up to ₹50 Lakhs (approximately USD 70,000) for research projects with commercialization potential. The project duration can extend up to 18 months.
Call for Proposals
Applications are invited twice every year:
- 1 January
- 1 July
Each application window generally remains open for approximately 45 days.
BIG Partners
The BIG Scheme is implemented through 8 BIG Partner incubators across India. FITT is one of these partners and provides mentoring, project monitoring, networking opportunities, and business development support to selected innovators.
Resources
BIG Scheme Guidelines
https://birac.nic.in/webcontent/BIG_Guidelines_Version_8_Jul_2020.pdf
Registration Guidelines & Application Form
https://birac.nic.in/big.php
Bio-incubation enables startups to realize their entrepreneurial potential by providing access to infrastructure, mentorship, and networking opportunities during the critical early stages of their journey. These specialized support services help young ventures survive and grow during the startup phase.
While bio-incubators effectively address the infrastructure, services, and knowledge needs of startups, a significant gap remains in early-stage financial support. To bridge this gap, BIRAC introduced the Sustainable Entrepreneurship and Enterprise Development (SEED) Fund, providing capital assistance through incubators.
Objective
To help biotechnology startups cross the first "Valley of Death" by providing early-stage capital support and enabling them to become investment-ready.
The SEED Fund provides financial assistance to startups with innovative ideas, technologies, and products. It acts as a bridge between founders' investments and future funding from angel investors, venture capitalists, or financial institutions. Rather than being an investment scheme, it is designed as a support mechanism to improve startup sustainability.
Under this initiative, BIRAC provides Grant-in-Aid to selected BIRAC-funded incubators that meet specified operational criteria. FITT is one of these selected incubators responsible for implementing the SEED Fund.
Guidelines for BIRAC Incubator SEED Fund
1. Introduction & Scope
Bio-incubation provides startups with access to infrastructure, mentoring, and networking platforms that are essential during their formative stages. These services significantly improve the chances of survival and long-term success.
BIRAC has established over 60 bio-incubation facilities across strategic locations in India to nurture biotechnology innovation.
While incubators successfully address the requirements of space, services, and knowledge, many technology-driven startups continue to face shortages of early-stage funding. The SEED Fund was created to bridge this financing gap.
The scheme supports startups until they become capable of attracting venture capital, angel investment, or institutional financing.
2. Funding Framework
Selected BIRAC-funded incubators receive Grant-in-Aid assistance to implement the SEED Fund. Initially, up to five incubators are selected, with more being added over time.
- Each incubator may receive between ₹100 Lakhs and ₹200 Lakhs for SEED Fund implementation.
- Incubators may design their own startup selection process through accelerator programmes or direct investment.
- The framework defines the essential principles governing fund utilization and implementation.
3. Eligibility of Bio-Incubators
BIRAC constitutes a BIRAC Incubator SEED Fund Committee (BISF Committee) to evaluate proposals from incubators seeking to implement the SEED Fund.
Eligible incubators should satisfy the following requirements:
- Supported under BIRAC's Bio-NEST programme.
- Operational for at least three years.
- Minimum of five resident biotech, med-tech, or life science startups.
- Strong in-house mentoring and incubation capabilities.
- Established IP and Technology Transfer facilitation services.
- Experience managing startup grants or early-stage funding schemes.
- Experience in startup investments or entrepreneurship development.
4. Implementation Framework
The incubator is responsible for implementing the SEED Fund according to BIRAC's prescribed framework.
- Grant-in-Aid ranging from ₹100–200 Lakhs is maintained in a separate savings account for implementation over 36 months.
- Funding is provided only to eligible Indian startups registered under the Companies Act, 2013 with at least 51% Indian shareholding.
- Each startup may receive equity or equity-linked funding of up to ₹30 Lakhs.
- Funding agreements between the incubator and startup are legally binding.
- Potential conflicts of interest must be disclosed before approval.
- No startup may receive BIRAC SEED funding more than once.
- A dedicated committee evaluates investment strategy and startup progress.
- A BIRAC nominee serves on the governance committee.
- An exit strategy must be incorporated into every investment agreement.
- Incubators continuously monitor milestones and provide mentoring support.
- Half-yearly implementation reports, Utilization Certificates (UC), Statements of Accounts (SOA), and startup progress reports must be submitted to BIRAC.
- No management fee is payable to the incubator.
- Upon exit, the incubator retains 50% of investment returns while remitting the remaining 50% to BIRAC within 60 days.
5. Review of Implementation
The BIRAC Incubator SEED Fund Committee (BISF Committee) reviews half-yearly reports submitted by incubators and recommends improvements to both financial and non-financial implementation strategies in consultation with participating incubators.
