KSIDC- Seed Funding
The KSIDC Seed Funding Scheme is an early-stage startup financing scheme implemented by the Kerala State Industrial Development Corporation (KSIDC) under the Government of Kerala. The scheme is designed to provide seed fund assistance as a soft loan to innovative start-up ventures and potential start-ups. It helps startups meet their initial project costs at a concessional interest rate and with a defined repayment period. The scheme is currently active and applicable across Kerala.
Key Features
- Seed Funding Provided as a Soft Loan: The assistance under this scheme is treated entirely as a soft loan to the startup. It is not a grant and not equity investment, and the amount must be repaid as per the repayment schedule.
- Loan Limited to Percentage of Initial Project Cost: KSIDC provides loan assistance covering up to 90% of the initial project cost, reducing the upfront financial burden on the promoter during the startup stage.
- Maximum Lending Cap per Startup: Irrespective of the project cost, the maximum loan amount is capped at ₹25 lakh per startup under this scheme.
- Fixed Repayment Period: The soft loan sanctioned under the scheme must be fully repaid within 3 years, as per the repayment terms fixed by KSIDC.
- Concessional Interest Linked to Bank Rate: The scheme carries an interest rate of 6.50%, defined as the prevailing bank rate on the date of sanction.
- Evaluation through KSIDC Appraisal Process: Applications are evaluated by the KSIDC startup team and placed before a competent committee, and startups may be required to present their proposal during appraisal.
Financial Assistance
Eligibility Criteria
Who can apply:
- Innovative start-up ventures and potential start-ups
- Startups seeking seed funding for initial project implementation
- Applicants willing to undergo KSIDC evaluation and committee review
Who cannot apply:
- Trading-only or non-innovative business models
- Applications failing KSIDC technical or financial appraisal
- Proposals not complying with scheme conditions
Documents Required
- Startup incorporation and registration documents
- Founder identity and address proof
- Pitch deck or detailed project proposal
- Technology or product description
- Financial projections and funding requirement
- Any sector-specific approvals, if applicable
Application process for the scheme
Option 1: Apply with Bullit (Recommended)
Start instantly with our guided application support, where our team verifies eligibility, prepares documentation, and coordinates with the Industries Department on your behalf. Using our business loans and compliance calendar, you can track progress while focusing on project execution, we manage the application end-to-end.
Recommended for: Early-stage founders seeking structured guidance and faster compliance.
Option 2: Apply Directly through KSIDC
- Contact the KSIDC Startup Cell via helpline or email your business plan to startup@ksidcmail.org
- KSIDC contacts the applicant and provides guidance for offline or online submission
- Submit the application through the KSIDC portal, if advised
- KSIDC interacts with the applicant/company for clarifications
- Preliminary evaluation is conducted by the Startup Team
- Applicant is invited to present before the Evaluation Committee
- Final approval is issued based on committee recommendation
Power combo with the scheme
