Startup Accelerator of MeitY for Product Innovation, Development, and Growth (SAMRIDH)

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Context:

2nd Cohort of Startup Accelerators of MeitY for Product Innovation, Development and Growth (SAMRIDH) scheme was launched recently.

Startup Accelerator of MeitY for Product Innovation, Development, and Growth (SAMRIDH)

• It is a flagship programme of the Ministry of Electronics & IT (MeitY) under the National Policy on Software Products of 2019.
• It is a comprehensive initiative to foster innovation and support start-ups through its SAMRIDH program.
• It addresses the need for an accelerator program that drives social impact and scales solutions for India's challenges. 

Aim:

• The program aims to support 300 tech Startups in a 3-year duration with a cohort size of 5-10 Startups. 
• It aims to provide support to existing and upcoming Accelerators to select and accelerate potential IT-based startups to scale.
• It has a budget outlay of 99 crores for 3 years.

Implementing agency: 

• The scheme is being implemented by MeitY Start-up Hub (MSH) and Digital India Corporation (DIC).

Support:

• The Program will provide support to selected accelerators for extending acceleration services to start-ups.
• It will provide one-to-one matching funding support of up to ₹40 lakh. 
• In the first round of cohort, 22 Accelerators spread across 12 states are supporting 175 startups, selected through a multilevel screening process. 

Major Objective: 

• The SAMRIDH scheme aims to support existing and upcoming Accelerators to select and accelerate potential IT-based startups to scale. 
• Among others, the program focuses on accelerating startups by providing customer connections, investors connect and connect to international markets.

Eligibility  

• The Accelerator should be a registered Section 8 company with operations in India. This means it is a Not-for-Profit Company with eligibility to hold equity.
• The Accelerator is required to have 3 years or more than 3 years of startup experience.
• They should also have supported more than 50 start-ups of which at least 10 startups should have received investment from external Investors
• They should also have prior experience running startup program cohorts in activities listed as desirable under the SAMRIDH program.

Salient Features of the Scheme:

Startup Accelerators:  Startup accelerators are programs that help early-stage companies grow by providing mentorship, connections, and limited funding.  They are designed to help startups scale quickly by compressing years of learning into a few months. Startup Incubators: Startup incubators are organisations that offer help to entrepreneurs to develop their business ideas.  These companies are characterised by providing support and advice to initiatives that have the potential to go to market.

Important links

STARTUP ECOSYSTEM 

Start-up-India 

 Source

https://pib.gov.in/PressReleasePage.aspx?PRID=2052139

https://msh.meity.gov.in/samridh/acceleratorlist

PRACTICE QUESTION Q) Consider the following statements about the “Startup Accelerator of MeitY for Product Innovation, Development, and Growth (SAMRIDH) Scheme”: It is a flagship programme of the Ministry of Science and Technology to foster innovation and support start-ups through its SAMRIDH program. Only the new accelerators will be supported under the scheme. The accelerator should be a registered Section 8 company for its eligibility. How many of the above statements is/are correct? A.Only one B. Only two C. All Three D. None Answer: A Explanation: Statement 1 is incorrect: SAMRIDH is a flagship programme of the Ministry of Electronics & IT (MeitY) under the National Policy on Software Products of 2019. It is a comprehensive initiative to foster innovation and support start-ups through its SAMRIDH program. It addresses the need for an accelerator program that drives social impact and scales solutions for India's challenges.  Statement 2 is incorrect: The program aims to support 300 tech Startups in a 3-year duration with a cohort size of 5-10 Startups.  It aims to provide support to existing and upcoming Accelerators to select and accelerate potential IT-based startups to scale. It has a budget outlay of 99 crores for 3 years. Implementing agency:  The scheme is being implemented by MeitY Start-up Hub (MSH), and Digital India Corporation (DIC). Statement 3 is correct: The accelerator should be a registered Section 8 company with operations in India. This means it is a Not-for-Profit Company with eligibility to hold equity.