Ms. REKHA.

B
MBA, [Link], MA in Economics, DAE, (Ph.D)

SUBJECT: BUSINESS MODELS FOR STARTUPS

CHAPTER-1: INTRODUCTION TO STARTUP
Introduction to start-ups:
The term start-up refers to a company in the first stages of operations. Startups are founded
by one or more entrepreneurs who want to develop a product or service for which they
believe there is demand. These companies generally start with high costs and limited
revenue, which is why they look for capital from a variety of sources such as venture
capitalists.
Meaning of start-ups:
Start-ups are businesses that want to disrupt industries and change the world—and do it all at
scale. Start-up founders dream of giving society something it needs but hasn’t created yet—
generating eye-popping valuations that lead to an initial public offering (IPO) and an
astronomical return on investment.
A startup company, or simply a startup, is an entrepreneurial venture in its early stages of
operations typically aimed at resolving a real life issue with an innovative product or service.
These ventures are typically small in nature, new, and funded by either to founding
entrepreneur or a group of investors who believe in the founder or company concept.
Characteristics of Start-ups:
Innovation
a business this type need to have a differentiator competition in order to gain competitive
advantage in the market. It is innovation may be present in their products or in the business
model associated with company.
A innovation plays an essential role in the success of a startup, so all entrepreneurs should
seriously consider this aspect.
Age
An startup is new company which is still in early stages brand management, sales and
hiring employees. Too often the allocation of this concept to Business who have been on the
market for less than 3 years, however, this is not true. That is, one company You can have 7
years and is still a startup.
Stop being a startup it depends not only on your age but on a specific set of features.
Growth
An startup is company whose goal is grow and expand rapidly, taking up to sometimes
drastic proportions. This is one of the points that distinguished startup a Small business.
Risk
Once a startup It has shed innovative strongly present, there are always several associated
uncertainties about ensuring the success of the business. For this reason, these Business are
considered risk investments with a high failure rate.
Flexibility
An startup is very dynamic and ready to adapt to the adversities that may arise. Due to the
need for validation of your business idea, these Business need to be ready to tailor their
product to meet customer requirements.
This feature It is also present in the business model as there is a need to find a sustainable
business model.
Solving a problem
 Ms. REKHA. B
MBA, [Link], MA in Economics, DAE, (Ph.D)

Associated with your shed innovative, this Type of company focuses on solving any
existing problem in the market. So they focus on making a difference not only in the
marketplace but also in people's lives through your product or service.
scalability
An startup is company in constant search of a business model that is scalable and
repeatable, that is, it can grow without the need to increase human or financial resources.
Work team
These Business they are usually made up of very few people. Although not the only
determining factor for the designation of startupIt is quite common to define it in your
working team there less than 100 people.

Types of Start-ups:
Lifestyle Startups
founded by entrepreneurs They are working for themselves what else they like. Examples of
these are freelancers or web designers who have passion for their work.
Small Business Startups
Small business where the owner follows less ambitious goals, to provide only a comfortable
life for his family. Examples of these are hairdressing salons, grocery stores, bakeries, among
others.
Scalable Startups
founded by entrepreneurs who believe from the beginning that can change the world with
their business idea and therefore worry about finding a model scalable and repeatable
business in order to draw the attention of investors to boost your business. Examples of these
are Google, Uber and Facebook.
Buyable Startups
These Business they are born with the goal of being sold to large companies after achieving
positive results that catch their attention. This one type startup It is very common in web
solutions development companies and mobile. An example of this was the purchase of
Instagram by Facebook.
Large Company Startups
These Business They have the main objective of innovation and have a limited duration of
life. At Business fall into this category develop products or services that revolutionaries
become quickly recognized by the market. However, due to market changes, the user
preferences, competitive pressures, these Business They tend to create new innovative
products for new users of different markets.
Social Startups
Finally, there Business whose entrepreneurs They want to make a difference in society and
make a better world. Thus, the main objective is not to gain profit, but rather to contribute
positively to the community. One example is the charity or charitable institutions.

Objectives of Start-ups:

 To inculcate a culture of innovation driven entrepreneurship in the state.

 To promote new technology/ knowledge/ innovation based startups.
 To provide a platform for speedy commercialisation of technology developed by new
entrepreneurs.
 Ms. REKHA. B
MBA, [Link], MA in Economics, DAE, (Ph.D)

 To build a vibrant start-up ecosystem, by establishing a network between academia, financial

institutions, industries, and other institutes.

Functions of Start-ups:

More job vacancies

The serious problem that India is facing is [Link] which are generated are
mostly from startups and not big enterprises. since the startups are free from economic
downturns and free from encumbrance they can manage more staffs

Creative ideas create more works

A start-up that creates a solution easily will have more demand so every startup will try to be
creative and with Everyone thinks differently so that the solutions found out by different
startups for the same problem are also different and the smartest and creative ways are
encouraged more and create more outsourcing to India

Talent explosion of professionals and entrepreneurs for better ROI

India is filled with talented professionals but they don’t have the option to expose it. Startups
are in search of talented professionals which give them a platform to showcase their talent
and they are always encouraged by multinational companies which make them spend more
money in India

The new technology that cut off production cost

Technological advances will significantly improve operations and lower the cost of doing
business. Startups will search for new technology or create new technology in India which
simplifies the workload. When new technologies are accepted and demand increases then
many multinational companies will show interest in investment in India

Not only that, many Advancements in the computer industry, coupled with advancements in
telecommunications, have increased job opportunities and strengthen economic growth in
recent years.

More competition which gives more confidence for work

Good healthy competition is always required for the improvement of the quality and updating
of a product or service. When competition increases the companies studies the behavior of
customers and launch new products which the users demand which increases the demand for
the product and increases the sales which directly benefits the Indian economy
Ms. REKHA. B
MBA, [Link], MA in Economics, DAE, (Ph.D)

More outsourcing of service

Many multinational companies are now outsourcing their work to small companies because
they can concentrate on their core work. When these start-up companies prove their talents,
then many other companies also show interest in our country to outsource their work so that
India will become specialized in that field.

For example, India is now becoming a VFX hub to the world. Many big companies are
outsourcing their works to India which deeply impact the Indian economy

More flow of foreign money

When more outsourcing comes to India more foreign money is circulated and distributed in
India which is good for the growth of the Indian economy

More demand in the market

When you prove the quality and value for money of your product or service then the demand
increases which increases the revenue of startups which positively reflect the Indian
economy

Can decrease importing

When our startups can handle the need for a product or service then we can decrease the
importing of that product/service which decreases the flow of money to another country and
that money flows inside the Indian market which is good for the Indian economy

Can increase exporting

When we have more startups then we can produce more products then we can start to export
to another country which increases the flow of foreign money to Indian markets

New investments

Many multinational companies are closely watching the progress of Indian start us and they
are ready to invest money that creates wealth for a start-up which helps to increase
production which is good for the Indian economy

Eligibility Criteria for Start-ups:

1. The start-up must be registered as a Private Company, LLP or Partnership Firm:
Ms. REKHA. B
MBA, [Link], MA in Economics, DAE, (Ph.D)

To be eligible under this scheme, a start-up must be incorporated as a Private Limited

Company under Indian Companies Act, 2013, a Limited Liability Partnership (LLP) under
Indian Limited Liability Partnership Act, 2008 or a partnership firm under the Indian
Partnership Act, 1932.

2. The start-up must not be a product of restructuring:

The start-up should not be formed out of splitting or reconstructing of a subsisting business.
A business formed out of splitting an organisation into two or more businesses, won’t be
eligible under this scheme.

3. The Startup must not be older than 5 years:

All business startup in India that have been incorporated in the past five years from the
effective date of the policy will be eligible under this scheme. Simply, all businesses
incorporated or registered after February 15, 2011, are eligible to participate in this
government start-up scheme.

4. Annual turnover of the start-up must not be more Rs. 25 crores:

To be eligible under this scheme, the start-up's annual turnover should not exceed Rs. 25
crores in any of the past 5 years since its incorporation.

5. The business must be involved in a new product or service:

Only start-ups developing a new product or service or process are eligible under this scheme.
This criterion has three conditions:

a) The start-up must be working towards innovation, development, deployment or

commercialisation of a new product, process or service driven by technology or intellectual
property.

b) The start-up must aim to develop and commercialize a new product or service or a
significantly improved existing product or service that will create or add value to customers
or workflow.

c) The start-up must not be merely engaged in developing products or services which do not
have the potential for commercialization, undifferentiated product or service with no or
limited incremental value for customers or workflow.

6. The start-up must have obtained approval from DIPP that the business is innovative:

Every start-up has to obtain approval from the Inter-Ministerial Board set up by the
Department of Industrial Policy and Promotion (DIPP)

1. Unacademy

An e-learning start-up, Unacademy was founded in 2015 in the Indian city of Bengaluru. The
start-up focus on courses for multiple tests like UPSC, SSC, CAT, IIT JEE among many
Ms. REKHA. B
MBA, [Link], MA in Economics, DAE, (Ph.D)

more. It has billed itself as the "Netflix of education" and has seen its valuation rise to $3.44
billion with eyes on new courses like upskilling and creator.

Founded by Gaurav Munjal, Roman Saini, and Hemesh Singh, the company has a network of
50,000 registered teachers.

2. Udaan

An internet portal founded in Bengaluru in 2016, Udaan enables B2B trading for small and
medium businesses in India. A network-centric platform, Udaan has a roster of three million
retailers, 30,000 sellers in over 900 cities!

According to the LinkedIn research, it has cornered 80 per cent of India's B2B e-commerce
market. Founded by Amod Malviya, Vaibhav Gupta, Sujeet Kumar, Udaan is currently
valued at over $3 billion.

3. CRED

Known for its quirky advertisements featuring famous cricketers, CRED claims to be a
members-only credit card bill payment platform which rewards its members for paying bills
on time. Founded in 2018 by Kunal Shah, CRED is known for the flexibility it offers to its
employees including unlimited offs.

Currently, CRED is valued at $2.2 billion.

4. upGrad

An e-learning platform headquartered in Mumbai, upGrad offers a platform for upskilling.

upGrad calls itself a higher education company and claims to have built online programmes
in collaboration with top universities and industry partners.

Founded by Ronnie Screwvala, Mayank Kumar, Phalgun Kompalli, Ravijot Chugh in 2015,
upGrad hit a valuation of $1.2 billion in August, 2021.

5. Razorpay

The payment gateway Razorpay facilitates easy online transactions. Throughout 2020, the
platform processed payments worth $40 billion with a month-on-month revenue growth of
40-45 per cent.

Founded in Bengaluru in 2014, Razorpay is increasingly becoming the platform of choice for
online transactions.

6. Meesho

Headquartered in Bengaluru, Meesho is a social e-commerce company founded by IIT Delhi

graduates Vidit Aatrey and Sanjeev Barnwal in 2015.
Ms. REKHA. B
MBA, [Link], MA in Economics, DAE, (Ph.D)

Essentially, Meesho allows small businesses and individuals to start their online stores via
social networking platforms like WhatsApp, Facebook and Instagram.

After raising $300 million from SoftBank Vision Fund in April 2021, Meesho hit $2.1 billion
in valuation.

7. Skyroot Aerospace

Founded in 2018 in the South Indian city of Hyderabad, Skyroot Aerospace is constructing
technologies that offer reliable access to space. Skyroot Aerospace was founded by engineers
of ISRO's rocket designing arm - Pawan Kumar Chandana and Naga Bharath Daka.

Currently, the start-up is testing a cryogenic engine that will run on cleaner burning liquid
natural gas. In May 2021, Skyroot Aerospace raised $11 million in Series-A funding round.

Harshil Mathur and Shashank Kumar founded Razorpay, which has hit $3 billion in valuation
and is now eyeing a $4 billion valuation.

8. boAt

India's homegrown electronics brand boAt took the audio market by storm by offering
affordable products to Indians combined with quirky advertising. boAt earphones and
speakers have captured a third of India's audio market, while merging as the fifth largest
wearables brand in the world.

Founded in New Delhi in 2016, boAt is currently valued at $1.4 billion. It was founded by
Sameer Mehta and Aman Gupta.

9. Urban Company

Everyone's favourite go-to for all home and grooming solutions, Urban Company has made
quite the waves over the last two years.

In the middle of the pandemic, Urban Company offeerd safe and affordable services to major
Indian cities for anything and everything - repairs, grooming, cleaning etc.

Urban Company was founded in Gurugram in 2014 by Varun Khaitan, Raghav Chandra, and
Abhiraj Singh Bhal. Currently, Urban Company is valued at $2.1 billion.

10. AgniKul Cosmos

A defence and space start-up, AgniKul Cosmos builds launch vehicles to lift small satellites
into low earth orbit.

Founded in Chennai in 2017, AgniKul Cosmos has raised $14.58 million in total funding
over 4 rounds. Their latest funding was raised on May 19, 2021 through a Series A
round. The founders of AgniKul Cosmos are Srinath Ravichandran, Moin SPM, Satyanaryan
Chakravarthy, and Janardhana Raju.
 Ms. REKHA. B
MBA, [Link], MA in Economics, DAE, (Ph.D)

Pradhan Mantri Mudra Yojana:

Pradhan Mantri MUDRA Yojana (PMMY) is a scheme launched by the Hon’ble Prime
Minister on April 8, 2015 for providing loans up to 10 lakh to the non-corporate, non-farm
small/micro enterprises. These loans are classified as MUDRA loans under PMMY. These
loans are given by Commercial Banks, RRBs, Small Finance Banks, MFIs and NBFCs. The
borrower can approach any of the lending institutions mentioned above or can apply online
through this portal [Link] . Under the aegis of PMMY, MUDRA has created
three products namely 'Shishu', 'Kishore' and 'Tarun' to signify the stage of growth /
development and funding needs of the beneficiary micro unit / entrepreneur and also provide
a reference point for the next phase of graduation / growth.

MUDRA Vision
To be an integrated financial and support services provider par excellence, benchmarked with
global best practices and standards, for the bottom of the pyramid universe for their
comprehensive economic and social development.

MUDRA Mission
To create an inclusive, sustainable and value based entrepreneurial culture, in collaboration
with our partner institutions in achieving economic success and financial security.

MUDRA Purpose
Our basic purpose is to attain development in an inclusive and sustainable manner by
supporting and promoting partner institutions and creating an ecosystem of growth for micro
enterprises sector.

Roles and Responsibilities of MUDRA:

MUDRA has been formed with primary objective of developing the micro enterprise sector
in the country by extending various support including financial support in the form of
refinance, so as to achieve the goal of funding the unfunded. The GOI Press release of 2
March 2015 has laid down the roles and responsibilities of MUDRA.
Subsequently GOI has also decided that MUDRA will provide refinance support, monitor the
PMMY data by managing the web portal, facilitate offering guarantees for loans granted
under PMMY and take up other activities assigned to it from time to time. Accordingly
MUDRA has been carrying out these functions over the last one year.

VENTURE CAPITAL SCHEME:

Venture Capital Assistance is financial support in the form of an interest free loan provided
by SFAC to qualifying projects to meet shortfall in the capital requirement for
implementation of the project.

Benefits
 Help in assisting agripreneurs to make investments in setting up agribusiness projects
through financial participation
 Ms. REKHA. B
MBA, [Link], MA in Economics, DAE, (Ph.D)

 Provides financial support for preparation of bankable Detailed Project Reports (DPRs)
through Project Development Facility.

Eligibility:
 Farmers
 Producer Groups
 Partnership/Proprietary Firms
 Self Help Groups
 Companies
 Agripreneurs
 units in agriexport zones
 Agriculture graduates Individually or in groups for setting up agribusiness projects.

Application Procedure
One can only apply online, offline application forms will not be accepted. Also, below are the
checklist before applying for the scheme.
Sno. Checklist

Promoter’s request letter addressed to the Managing Director SFAC, New Delhi on
1 original letterhead of firm/company

2 Sanction letter of Sanctioning authority addressed to recommending branch

Bank’s approved Appraisal/Process note bearing signature of sanctioning authority

3 with terms of sanction of term loan

4 Up-to-date statement of account of Term loan and Cash Credit (if sanctioned)

Equity Certificate:
a)C.A. certificate in case of Partnership or Proprietorship firms.
b)Form-2(PAS-3), FORM-5(SH-7) and other documents in lieu of FORM-23 filed
5 with ROC for

6 Farmer’s list/backward linkage duly supported by agreement

7 Affidavit of promoters that they have not availed VCA in the past

8 Unsecured loans raised by the promoters (If any). CA Certificate to be enclosed

9 Copy of last Bank's inspection report

Bank’s confirmation that they will not release primary & collateral security without
10 SFAC consent

11 Justification for margin on working capital taken in the project cost

Ms. REKHA. B
MBA, [Link], MA in Economics, DAE, (Ph.D)

SIP Protection in Electronics & IT (SIP-EIT) Scheme:

Department of Electronics and Information Technology has launched a scheme, Support for
International Patent Protection in E&IT to provide financial support to MSMEs and
Technology Startup units for international patent filing to encourage innovation and
recognize the value and capabilities of global IP along with capturing growth opportunities in
ICTE sector. In addition, to sensitize and create IP awareness and to disseminate the scheme
among stakeholders, a scheme to support IPR awareness is also proposed as the second
component of the scheme.
SIP EIT II comprises of two schemes:
1. Support for International Patent Protection in E&IT
In order to encourage filing of International Patents, a Scheme Support International Patent
Protection in Electronics & IT (SIP-EIT) has been put in place. The Scheme Supports
International Patent Protection in Electronics & IT by SMEs (Small and Medium Enterprises)
and Technology Start-Up Companies.
2. Scheme to Support IPR Awareness Seminars/Workshops in E&IT Sector
Under the scheme, DeitY aims to provide financial support to Education Institutes, DeitY
societies, etc. for organizing seminars & workshops on IPR awareness among various
stakeholders.

STAND UP INDIA SCHEME:

The Stand up India scheme aims at promoting entrepreneurship among women and
scheduled castes and tribes. The scheme is anchored by Department of Financial Services
(DFS), Ministry of Finance, Government of India.

Eligibility:

 SC/ST and/or woman entrepreneurs, above 18 years of age.

 Loans under the scheme is available for only green field project. Green field signifies,
in this context, the first time venture of the beneficiary in the manufacturing or
services or trading sector.
 In case of non-individual enterprises, 51% of the shareholding and controlling stake
should be held by either SC/ST and/or Women Entrepreneur.
 Borrower should not be in default to any bank/financial institution.

Loan details

 Nature of Loan - Composite loan (inclusive of term loan and working capital)
between 10 lakh and upto 100 lakh.
 Purpose of Loan - For setting up a new enterprise in manufacturing, trading or
services sector by SC/ST/Women entrepreneur.
 Size of Loan - Composite loan of 75% of the project cost inclusive of term loan and
working capital. The stipulation of the loan being expected to cover 75% of the
project cost would not apply if the borrower’s contribution along with convergence
support from any other schemes exceeds 25% of the project cost.
 Interest Rate - The rate of interest would be lowest applicable rate of the bank for
that category (rating category) not to exceed (base rate (MCLR) + 3%+ tenor
premium).
 Ms. REKHA. B
MBA, [Link], MA in Economics, DAE, (Ph.D)

 Security - Besides primary security, the loan may be secured by collateral security or
guarantee of Credit Guarantee Fund Scheme for Stand-Up India Loans (CGFSIL) as
decided by the banks.
 Repayment - The loan is repayable in 7 years with a maximum moratorium period of
18 months.
 Working Capital - For drawal of Working capital upto 10 lakh, the same may be
sanctioned by way of overdraft. Rupay debit card to be issued for convenience of the
borrower. Working capital limit above 10 lakh to be sanctioned by way of Cash
Credit limit.
 Margin Money - The Scheme envisages upto 15% margin money which can be
provided in convergence with eligible Central / State schemes. While such schemes
can be drawn upon for availing admissible subsidies or for meeting margin money
requirements, in all cases, the borrower shall be required to bring in minimum of 10%
of the project cost as own contribution.

SINGLE POINT REGISTRATION SCHEME:

Single Point Registration scheme (SPRS) for participation in Government Purchases. The
units enlisted under Single Point Registration Scheme of NSIC are eligible to get the benefits
under Public Procurement Policy for Micro & Small Enterprises (MSEs) Order 2012 as
notified by the Government of India, Ministry of Micro Small & Medium Enterprises, New
Delhi vide Gazette Notification dated 23.03.2012 and amendment vide order no. S.O.
5670(E) dated 9th November 2018.

Eligibility:

 All Micro & Small Enterprises having EM Part-II (Optional)/ Udyog Aadhaar Memorandum
(UAM) /Udyam Registration are eligible for registration with NSIC under its Single Point
Registration Scheme (SPRS).

1c) Micro & Small Enterprises who have already commenced their commercial production
but not completed one year of existence. The Provisional Registration Certificate can be
issued to such Micro & Small Enterprises under Single Point Registration scheme with
monitory limit of Rs. 5.00 Lacs.
REGISTRATION PROCESS

1. Please visit Udyam Registration website for obtaining Udyam Registration Number.
2. MSEs have to register themselves in MSME Data Bank using UAM No. and PAN, to
get themselves registered for Single Point Registration.
3. Each step has to be filled & every step has saved and continues option. This way form
can be refilled and reviewed at any moment using PAN and UAM combination.
4. It is requested to go through Check-List and Download section to get to know about
required forms, annexure and documents.
5. It is always advisable to kindly place all required forms, annexure and documents on
your desktop in a folder for fast uploading.
6. Fees will be charged on the basis of Unit Enterprise category (Micro or Small).
7. Third party inspection is also involved for store item inspection. Units are requested
to kindly choose inspection agency according to their domain expertise and
jurisdiction.
 Ms. REKHA. B
MBA, [Link], MA in Economics, DAE, (Ph.D)

8.
9. Final Certificate will be available online and respective NSIC office will send
physical certificate copy by post.
10. For any communications, the registration number of certificate may be quoted.
11. Contact our NSIC field offices for any query by visiting
[Link]

EXTRA MURAL RESEARCH FUNDING:

Extramural Research (EMR) funding scheme of SERB to academic institution, research

laboratories and other R&D organizations to carry out basic research in all frontier areas of
Science and Engineering is in limelight for more than four decades since from the inception
of SERC. This scheme encourages emerging and eminent scientist in field of science and
engineering for individual centric competitive mode of research funding. Since the scheme
provides core research support to the active researchers, the existing name Extramural
Research (EMR) has been renamed as Core Research Grant (CRG).

Objective:
The scheme provides core research support to active researchers to undertake research and
development in frontier areas of Science and Engineering.

Eligibility:

 Applicants [Principal Investigator (PI) and Co-PrincipalInvestigator(s) (Co-PI(s))]should be

Indian citizens. Foreign nationals (including OCI and NRI) are also eligible to apply provided
they fulfil the eligibility criteria notified by SERB (SERB Funding Guidelines for foreign
nationals dated 27th Oct 2016).
 The applicant(s) must hold a regular academic/research position in a recognized academic
institution or national laboratory or in any other recognized R & D institution in India.
 Faculties recruited through UGC-Faculty Recharge Program are eligible to apply. INSPIRE
Faculty, Ramanujan and Ramalingaswamy Fellows are also eligible to apply provided they
have at least three and half years of tenure remaining at the time of submission of application.
 Investigators who will be superannuating during the duration of the project or already
superannuated are also eligible to apply. In such cases, a Faculty/Scientist from the host
institute who has at least 5 years of service remaining should be associated as a Co-PI. The
host institution should allow the investigator to continue after superannuation and provide
required support towards implementation of the project.
 Aspirants of NPDF, ECRA and CRG (EMR) can submit their proposal only once in a
calendar year in any one of these schemes.
 The PI and Co-Investigator(s) should hold Ph.D. degree in Science, Mathematics,
Engineering or M.D / M.S. / M.D.S. / [Link] degree at the time of applying for grant.
 The term “Regular” in the context of CRG refers to the applicants who are appointed against
the sanctioned post or in a tenure post, but are likely to be renewed after the end of the tenure.
 Ms. REKHA. B
MBA, [Link], MA in Economics, DAE, (Ph.D)

Nature and Duration Of Support:

1. The CRG schemeprovides research support to an individual researcher or a group of
researchers working in a recognized academic institution or national laboratory or in other
recognized R & D institution in India.

2. [Private Academic institutions with valid UGC / AICTE / PCI approval, Private R&D
Institutions with valid DSIR-SIRO recognition andVoluntary and Non-Governmental
Organizations registered under NITI-AAYOG Darpan portal are eligible to host a project.]

3. The funding is provided normally for a period of three years.

4. The research grant is provided for equipment, manpower, consumables, travel and
contingency. “Overheads”is also be provided to the implementing institution as per prevailing
norms of SERB.

HIGH RISK HIGH REWARD RESEARCH:

One of the most notable developments in the S&T sector in the XI Plan has been the setting
up of the Science and Engineering Research Board (SERB) through an Act of Parliament,
viz. the Science and Engineering Research Board Act, 2008. Promoting basic research in
Science and Engineering and to provide financial assistance to persons engaged in such
research, academic institutions, research and development laboratories, industrial concerns
and other agencies for such research and for matters connected therewith or incidental thereto
are the primary and distinctive mandate of the Board.

Objective:
The Scheme for Funding High Risk - High Reward Research aims at supporting proposals
that are conceptually new and risky, and if successful, expected to have a paradigm shifting
influence on the S&T. This may be in terms of formulating new hypothesis, or scientific
breakthroughs which aid in emergence of new technologies.

Eligibility:

 Applicant should be an Indian citizen residing in India.

 The applicant(s) must hold a regular academic/research position in a recognized
institution.
 The proposals can be submitted by an individual or by a team of investigators.
Proposals submitted by a team of investigators must identify a Principal Investigator,
who will spearhead the research objectives and administer the grant.

Nature of Proposals to be Supported:

The scheme is aimed at supporting proposals that are new, challenge existing hypothesis, and
provide 'out of box' thinking on important problems. It should contain significant risk
Ms. REKHA. B
MBA, [Link], MA in Economics, DAE, (Ph.D)

elements but promise of high reward if the difficulties could be circumvented. It is expected
that the success of such proposals will have far reaching implications in S&T. Outcome could
be new and significant theoretical or experimental advances, formulation of new hypothesis,
or breakthrough science which will lead to new technologies. Proposals that address scientific
issues which will result in 'incremental' knowledge will not be supported. Ideally, the
proposal must contain bold research ideas which will have wide ranging impact and potential
for new scientific and technological innovations.

Nature & Duration of Support:

 The funding is provided normally for a period of three years. In exceptional cases, the
duration can be up to 5 years as assessed by the expert committee.
 No budget limit is prescribed for this type of projects. The research grant covers
equipment, consumables, contingency and travel apart from overhead grants.