Launched by the Ministry of Micro, Small & Medium Enterprises, the Incubation Scheme under the MSME Innovative Scheme promotes and supports untapped creativity and the adoption of latest technologies in MSMEs. It aims to validate innovative ideas at the proof-of-concept level and facilitates engagement with enablers who assist in design, strategy, and execution to expand business.
Activities
• Recognition of eligible institutions as Host Institute (HI) to act as Business Incubator (BI)
• Approval of ideas of incubatees submitted through the Host Institute (HI)
• Assistance for nurturing of ideas by the HI
• Capital support to HI for procurement of plant and machinery
Benefits
• Up to a maximum of ₹15,000,00/- per idea for developing and nurturing ideas provided to the HI
• Up to ₹1,00,000,00/- (max) for procurement and installation of relevant plant and machinery (including hardware and software) in the BI for R&D activities and common facilities for incubatees
Eligibility
• Institutions such as Technical Colleges, Universities, other Professional Colleges/Institutes, R&D Institutes, NGOs involved in incubation, MSME-DIs/Technology Centres, or any Central/State Government Institute/Organization
Application Process
Online
Registration:
• Step 01: Open the official website and click on the REGISTRATION button
• Step 02: Enter all required details and click on the Submit button
• Step 03: Upon successful registration, a confirmation message is displayed and a login window appears
HI/BI Application for Approval:
• Step 01: After logging in, the HI/BI dashboard opens; click on Apply for HI/BI Approval
• Step 02: Fill in all the details in the application window and click on the Final Submit button
Documents Required
• University Affiliation certificate
• All India Council for Technical Education (AICTE) Approval
• National Accreditation Board for Testing and Calibration Laboratories (NABL) or other accreditation
• Last two years’ audited annual accounts with auditor’s report
• Any other documents as required
Frequently Asked Questions (FAQs)
Q: What is the objective of the Incubation Scheme?
A: To promote untapped creativity and support MSMEs in validating ideas at the proof-of-concept level, while providing capital and technical support through Host Institutes.
Q: Who are eligible to participate?
A: Institutions such as Technical Colleges, Universities, Professional Institutes, R&D Institutes, NGOs, and Government Organizations involved in incubation activities.
Q: Is there any qualification required to become an Incubatee?
A: The scheme supports MSMEs with innovative ideas; specific qualifications depend on the project and guidelines issued by the ministry.
Q: How can beneficiaries take advantage of the scheme?
A: Through online registration and submission of the HI/BI Application via the official portal.
Q: What is meant by Host Institute (HI) & Business Incubator (BI)?
A: A Host Institute (HI) is an eligible institution designated to function as a Business Incubator (BI) that supports and nurtures innovative ideas.
Q: Who can become a Host Institute (HI)?
A: Eligible institutions meeting the criteria (such as Technical Colleges, Universities, etc.) can apply to become an HI.
Q: What role do Host Institutes play?
A: They evaluate, nurture, and support innovative ideas and provide capital and technical guidance for setting up incubation facilities.
Q: How does one become an HI?
A: By applying through the online portal and completing the registration and application process for HI/BI approval.
Q: How is the financial assistance provided under the scheme?
A: Assistance is given to the HI for idea development and for procurement/installation of plant and machinery; funds are not provided directly to incubatees.
Q: Can funds be given to an Incubatee directly?
A: No, the financial assistance is provided to the Host Institute (HI), which then supports the incubation activities.
Q: What types of assistance/support can an incubatee receive from a BI?
A: Incubatees can receive support in R&D activities, access to common facilities, and technical guidance through the BI.
Q: Can an incubatee receive technical support outside the BI?
A: They may access additional technical support, but primary assistance is provided through the BI.
Sources and References
• Guidelines
• FAQs
• User Manual
• List Of Host Institute (HI)