Top 10 Government Schemes for Startups in India 2026: New List

Starting a business in 2026 is like entering in a fast-moving, AI-driven world filled with lots of innovation and ideas, but it also comes with major issues like funding gaps, compliance challenges and tough market competition.

To make this journey smoother for business owners and entrepreneurs, the Govt. of India has introduced several government schemes for startups in India designed to empower innovators, tech founders, and next-gen businesspersons.

From AI research grants and tech incubations support to tax benefits and global market network access these top 10 government incentives for startups India are here to fuel up your future-ready ventures.

This updated list of government initiatives for startups in 2026 will accelerate your growth, attract investors, and build innovation-led businesses that will digitally transform the economy of India.

Benefits of Indian Government Schemes for Startups

Here are some of the key benefits of Indian government schemes for startups that will help you understand its potential:

• Easy Access to Funding Support – The financing process for startups gets simplified through three funding sources which include financial assistance and venture capital support and government-backed funds from the Startup India program.

• Tax Exemptions & Financial Relief – Startup India grants qualifying startups a three-year period during which they can receive income tax exemptions and capital gains tax benefits which subsequently enhance their cash flow and profitability.

• Collateral-Free Business Loans – The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) provides startups with credit guarantee coverage that enables them to obtain loans without needing to provide collateral as security.

• Seed Funding for Early-Stage Ventures – The Startup India Seed Fund Scheme provides financial assistance to support proof of concept work and prototype creation and product testing and market introduction activities for startups.

• Reduced Compliance & Regulatory Burden – The reduced compliance requirements and regulatory load results from organizations implementing straightforward procedures and self-certification methods and maintaining fewer inspection requirements which enables startups to concentrate their efforts on developing their business and creating new products.

• Access to Government Tenders & Markets – Startups can sell their products and services to government departments through Government e-Marketplace (GeM) registration which enables them to access government tenders and market opportunities without needing previous experience.

• Vast Networking Support – The Atal Innovation Mission provides incubation centers and innovation hubs which offer mentoring services and essential facilities and financial assistance and help entrepreneurs connect with investors.

• Special Support for Women Entrepreneurs – The Stand-Up India Scheme together with dedicated financial support programs and bank loan initiatives provides financial assistance to women entrepreneurs and SC/ST entrepreneurs which promotes entrepreneurship development in all community groups.

These startup government benefits in India not only help you financially but also lay a foundation to your ideas and innovation.

Top 10 Government Schemes for Startups in India (2026)

Here are some of the well-known government entrepreneur scheme in India that will help you get funds for your dream venture.

Startup India Incentive

Startup India is a government backed initiative under the Ministry of Commerce and Industry that supports new businesses across the country. They provide startups with official status, tax advantages, simplified compliance procedures, funding assistance, and expedited patent processing to support their development.

The platform also provides digital resources which include AI-powered networking tools, knowledge sharing functions, mentorship programs, and investor connections through its BHASKAR and MAARG initiatives. 

The Startup India program has recorded 215528 startups which received DPIIT recognition which demonstrate India’s emergence as a leading worldwide center for innovation and AI- based business development.

Fund of Funds for Startups (FFS)

Launched in 2016 under the government of India, The Fund of Funds for Start-ups bring in to support fresh ideas, innovations, and high-potential startups in India.

It is managed by the SIDBI (small industries development bank of India), which has committed ₹11,808 crore to various SEBI-backed alternatives investments funds (AIF’s) as of DEC 2025.

The Startup India Fund of Funds 2.0 launched by our honorable Prime Minister Narendra Modi with ₹10,000 crore more funding to support early-stage startups, AI Innovations, and deep tech in 2026.  

Startup India Seed Fund Scheme (SISFS)

The (SISFS) Startup India Seed Fund Scheme is for early-stage startup owners to help them build prototypes, test ideas, and enter the market.

The scheme is managed by the department for promotion of industry and internal trade (DPIIT) under the Government of India.

The main goal of this scheme is to push startups from the idea stage to the investment-ready stage so they can show their products in the market.

SAMRIDH Scheme

The Startup Accelerator of MeitY for Product Innovation, Development and Growth (SAMRIDH), is run by the ministry of electronics and information technology (MeitY) to help early-bird tech startups to scale up by providing funds support and experienced accelerators.

The main goal of this scheme is to boost innovation in the field of AI-driven technology, scale startup products, and link founders with customers, investors, and international markets.

The key point of this scheme is that it offers matching funding of up to 40lakhs per startups to help grow faster in the market.

Atal Innovation Mission (AIM)

The Atal Innovation Mission (AIM)  is a government of India flagship program to encourage innovation and entrepreneurship across the country.

The scheme is managed under the NITI Aayog, with a mindset of creating a platform for young innovators, startup owners, and communities to develop new ideas and solutions that can solve real world problems.

AIM has its Atal Tinkering Lab where students can experiment with Artificial Intelligence (AI), robotics, and other cutting-edge technologies to brainstorm their minds.

Pradhan Mantri Mudra Yojana (PMMY) / MUDRA Loans

The stepping stone for small business owners in India, The Pradhan Mantri MUDRA Yojana (PMMY) backed by MUDRA is a government backed scheme helping startup owners to turn ideas into thriving businesses.

Since its launch, over 48 millions loans have been approved under PMMY. In 2026 they have increased the loan limit under the TarunPlus category, allowing startups to avail up to 20lakhs.

The main goal of this scheme is to help business owners to grow their business in India or the international market, create jobs, and generate income revenue so that everyone can benefit from it.

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

The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) initiative helps small businesses and startups to get loans without needing collateral and third-party guarantees, making it easier for new entrepreneurs to access finance.

The scheme is jointly managed by MSME and SIDBI under the government of India. A unique characteristic of this initiative is that it provides a guarantee to cover loans, establish bank and finance institutions to lend money to micro or small enterprises. 

Stand-Up India Scheme

The Stand-up India Scheme run by the ministry of finance to help women and startup owners from scheduled caste (SC) and scheduled tribe (ST) communities start new businesses by making bank loans easier to get.

The bank provide loans between ₹10 lakh and ₹1 crore to eligible candidate to set up their first business. Its main goal is to promote entrepreneurs and support people who do not have the access of formal credit.

Credit Guarantee Scheme for Startups (CGSS)

The Credit Guarantee Scheme for Startups is managed under the Department for Promotion of Industry and Internal Trade.

The initiative bringed up to help eligible startups get loans from banks, NBFC’s, and SEBI-registered funds by providing a credit guarantee.

This scheme ensures that the startups can get access to different types of loans so they can focus more on ideas and innovations to help India grow in the field of AI, machine learning, and robotics.

Government e-Marketplace (GeM) Access Incentives

The Government e Marketplace (GeM) is an online platform managed under the ministry of commerce and industry, Govt. of India.

The main motto of this scheme is to make government procurement faster, simpler, and more efficient. It allows sellers to participate in Forward Auctions to get the best competitive price for these products.

As of the latest information GeM sellers can now explore an expanded marketplace through the open network for digital ecommerce (ONDC).

Startup Registration in Guwahati Assam

The online process of Startup India Registration in North East, is straightforward and very simple where anyone can do without having any issues, but if you are still hesitating then we at Regible Corporate Advisor LLP can help you in the process by preparing necessary documents, end-to-end guidance, and intellectual property support so you do not have to worry about any other things.

Conclusion

This complete list of top 10 startup schemes in India will give you an insight on how these government schemes work and how they can benefit your business and startup in this modern digital India generation. In addition to this registration under Startup India initiative offers startups various benefits where you can get funding easily as per the new startup policies in India for 2026 that include tax exemptions, fast-tracked IP support, and simplified compliance.

FAQs: Startup India Schemes

What are the government schemes for startups in India for 2026?

There are various schemes available under the government of India, some of them are Startup India seed fund scheme, credit guarantee scheme, Atal innovation mission, fund of funds and many more.

Which is the best government scheme to get funding for small scale businesses?

For small-scale businesses or startups, PMMY (Pradhan Mantri Mudra Yojana) is the best scheme to get a loan because of the collateral free working and loan amount up to 10 lakhs. 

How can I register my startup in Guwahati Assam?

You can register your startup by getting DPIIT recognition and setting up your business. Here Regible can help you get your paperworks done so you do not have to worry about other things.

Who is eligible for the startup India scheme?

Eligibility includes being a DPIIT-recognized entity with innovative products and services, under specified age and turnover limit.

How can someone repay their loan taken under any government scheme?

Loan repayment under any government schemes is done by making regular EMI’s and scheduled installments to the loan lending banks or institutions.

What documents are needed to apply for any type of government loans?

The basic documents include identity or address proof (Aadhar card / PAN card), business plan, bank statements, or KYC details. 

Is collateral mandatory for startups to get government loans?

Collateral is not always mandatory, especially under some specific scheme like CGTMSE and CGSS that offers collateral-free lending.

How much is the minimum amount anyone gets under the government loan scheme?

Under some of the schemes like Mudra Shishu, the minimum loan amount starts as low as 50,000.