Design Scheme under MSME Innovative Scheme

Highlights

• Supports MSMEs to avail services from Design experts & Consultants 
• Financial assistance for concept development, detailed design & prototype creation.
• Encourages adoption of innovative designs to be competitive in the market.
• Phased grant disbursement aligned with project milestones.
• Helps businesses protect intellectual property arising from design interventions.

What is the Design Scheme?

• It is a part of MSME Innovative Scheme focusing on product design & awareness 
• It enables MSMEs to engage with qualified industrial designers or consultants 
• It covers costs of design consultancy, prototyping & IPR management
• It emphasises on importance of design awareness among  MSMEs

Objectives

• Create common platform for MSME manufacturers and Design fraternity
• Solve real time design problems & provide cost effective solutions
• Develop newly designed products & new design strategies through consultancy
• Generate awareness about value & power of design for MSMEs

Benefits of the MSME Innovative Scheme

• Financial Support
  Up to 75% grant for Micro and 60% for Small & Medium enterprises, max ₹40 lakh.
• Expert Guidance
  Access to leading design professionals with relevant experience.
• Innovation Boost
  Facilitates the development of new products and the improvement of existing ones.
• Prototype Development
  Supports the cost of creating working prototypes for market readiness.
• IPR Facilitation
  Helps protect design-related intellectual property, boosting commercial value.

Financial Assistance Under the Scheme

For MSME Design Project :

• GOI will provide financial support up to 75% of the cost for Micro Enterprises  (maximum limit of Rs 40 lakh per project). Balance amount to be paid by respective MSME
• GOI will provide financial support up to 60% of the cost for Small & Medium  Enterprises  (maximum limit of Rs 40 lakh per project). Balance amount to be paid by respective MSME

For Student Design Project :

• Available for all student of any institution accredited by AICTE/UGC (Educational Bodies)
• Either the MSME can approach student or Student can approach MSME for design project 
• GOI will provide financial support up to 75% of the cost for Micro Enterprises  (maximum limit of Rs 2.5 lakh per project). Balance amount to be paid by respective MSME
• The financial assistance includes student designer’s stipend, documentation & expenses related to product design & development.

Eligibility for MSME Innovative Scheme

You are eligible if:

• Registered MSME unit with valid Udyam registration.
• Must engage qualified industrial designers or design firms relevant to the project.

You are not eligible if:

• Received concurrent funding from other government schemes for the same project.

Documents Required for MSME Innovative Scheme

• Udyam/ MSME registration certificate.
• Project proposal detailing scope, design goals, budget, and timeline.
• Quotation/contract with the design consultant.
• Intellectual property management plan.

Application Process for MSME Innovative Scheme

You can apply:

• Online by visiting the MSME Innovative website portal.

Examples of Where the MSME Innovative Scheme Can Be Used

• A handloom MSME in Assam partners with students to redesign traditional silk sarees with modern motifs, boosting sales in urban markets.
• A bamboo handicraft MSME in Tripura uses the design scheme to create innovative furniture designs, helping them tap into premium home décor stores.
• A footwear MSME in Agra collaborates with a design institute to develop ergonomic, stylish shoes for working professionals, improving both comfort and demand.