I analyzed 19 government funding programs to help entrepreneurs

Here are the most promising ones you can apply to build your business.

Table of Contents

Three interesting news stories

  1. AI is used by Pakistan’s former prime minister to campaign from prison. Read all about it here in the post by The Verge.

  2. Google settles on Anti-Trust case and allows additional payment options along with Play payments. Hopefully all you lovely people in our community are excited about this. Now Android app entrepreneurs can improve margins.

  3. Based on carta data, median Series A Startup funding round sizes are on the rise.

Seed and Series A round sizes Q1 2020 - Q3 2023

Meme of the day

Quote of the day

Stay hungry. Stay foolish.

by Steve Jobs in his commencement speech at Stanford University - 2005

Inspired by the above wise words, we have compiled a list of funding sources from the top two countries from where our users hail. We hope you can take advantage of these wonderful opportunities to build your businesses. Incase you are interested in knowing about programs about a specific country, please write back to us at [email protected] and we will be happy to include them in our future editions.

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US Government Funding Programs

  1. America’s SEED Fund - National Science Foundation

    • Website: NSF Grants

    • Funding Range: Secure up to $2 million without having to give up any equity.

    • Key Criteria: In their own words - “We focus on transforming scientific and engineering discoveries into products and services with commercial and societal impact.”

  2. Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) Programs:

    • Website: SBIR/STTR

    • Funding Range: Phase I awards typically range from $50,000 to $150,000, and Phase II awards can go up to $1 million or more.

    • Key Criteria: Emphasis on innovative research and development with commercialization potential.

  3. Small Business Investment Company (SBIC) Program:

    • Website: SBIC Program

    • Funding Range: Varies; SBICs provide loans, venture capital, and funding amounts depend on the specific investment.

  4. State Small Business Credit Initiative (SSBCI):

    • Website: Refer to your state specific details here for US Residents.

    • Funding Range: Varies by state; offers loan guarantees, venture capital, and other financing tools.

  5. Economic Development Administration (EDA) Grants:

    • Website: EDA Grants

    • Funding Range: Varies by program; supports economic development initiatives. In 2022, there were a total of $45 million in investment towards businesses and the overall budget was around $330 million

    • Key Criteria: Projects that boosts economic activity.

  6. U.S. Department of Agriculture (USDA) Rural Business Investment Program:

    • Website: USDA Rural Development

    • Funding Range: Varies; supports venture capital for rural businesses. In 2023, we have seen so far funding ranging from thousands to $48 million.

    • Key Criteria: Projects with potential to boost rural economic activity.

  7. National Institutes of Health (NIH) SBIR and STTR Programs:

    • Website: NIH SBIR/STTR

    • Funding Range: Phase I awards up to $300,000; Phase II awards up to $2 million.

  8. Minority Business Development Agency (MBDA) Business Center Program:

    • Website: MBDA

    • Funding Range: Varies; provides support to minority-owned businesses, including access to capital.

    • Key Criteria: To foster business development in minority communities.

  9. Small Business Administration

    • Website: SBA

    • Funding Range: Varies by program.

    • Goal: To foster and support small businesses.

Remember, the details provided here are subject to change. For precise and current information, it is recommended to visit the official websites of the respective programs or contact the relevant agencies directly.

Indian Government Funding Programs

  1. Startup India:

    • Website: Startup India

    • Key Features: Various schemes under Startup India, including the Fund of Funds for Startups (FFS), provide financial support and incentives to startups.

  2. Mudra Yojana:

    • Website: Pradhan Mantri Mudra Yojana

    • Key Features: Offers loans up to a certain amount to small and micro-enterprises, including startups.

  3. Stand-Up India:

    • Website: Stand-Up India

    • Key Features: Aims to promote entrepreneurship among women and SC/ST communities by providing loans for starting a greenfield enterprise.

  4. Atal Innovation Mission (AIM):

  5. Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE):

    • Website: CGTMSE

    • Key Features: Offers credit guarantees to financial institutions to encourage them to provide collateral-free loans to micro and small enterprises, including startups.

  6. National SC-ST Hub:

    • Website: National SC-ST Hub

    • Key Features: Aims to support entrepreneurs from Scheduled Castes and Scheduled Tribes by providing assistance in various forms, including access to finance.

  7. Biotechnology Ignition Grant (BIG) Scheme:

    • Website: Biotechnology Ignition Grant Scheme

    • Key Features: Supports biotech startups by providing early-stage funding for proof of concept and prototype development.

  8. Technology Development Board (TDB) - Seed Support System:

    • Website: Technology Development Board

    • Key Features: Provides financial assistance for validating and demonstrating the proof of concept or prototype developed by startups.

  9. NIDHI (National Initiative for Developing and Harnessing Innovations) Scheme:

    • Website: NIDHI

    • Key Features: Aims to support idea to prototype and prototype to product stages through various components like NIDHI-PRAYAS and NIDHI-EIR.

  10. National Venture Capital Fund for Software and IT Industry (NVCFSIT):

    • Website: NVCFSIT

    • Key Features: Supports early-stage startups in the software and IT industry by providing venture capital funding.

Remember, the details provided here are subject to change. For precise and current information, it is recommended to visit the official websites of the respective programs or contact the relevant agencies directly.

Three Interesting ideas from stratup.ai 

  1. Affordable and Sustainable Activewear - Market size $547.7 Billion

  2. Real-time Crop Monitoring for Farmers - Market size $12.9 Billion

  3. AI-Powered Meal Planning - Market size $11.7 Billion

For additional creative suggestions similar to this one, feel free to register for either a complimentary, pro, or a pro+ account on our website, stratup.ai

Disclaimer: The startup ideas shared in this forum are offered for general consideration and discussion. Individuals utilizing these concepts are encouraged to exercise independent judgment and undertake due diligence per legal and regulatory requirements.

That’s all for today, thank you for reading. If you found the newsletter interesting, feel free to forward it to a friend or follow us on X.

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Business illustrations by Storyset: https://storyset.com/business