The DST NIDHI Seed Support Program Phase 3 has opened applications for early-stage technology startups, offering seed funding of up to ₹50 Lakhs to help innovators accelerate their ideas from prototype to scalable market solutions.
The program is being implemented through the ACIC-VGU Foundation, which has invited applications from startups working in emerging technology domains.
The DST NIDHI Seed Support Program Phase 3 is a flagship initiative of the Department of Science & Technology (DST), Government of India, aimed at strengthening India’s startup ecosystem by supporting promising early-stage technology ventures.
Through this initiative, selected startups can receive financial assistance to develop prototypes, build minimum viable products (MVPs), conduct market trials, and commercialize their innovations.
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Applications for the DST NIDHI Seed Support Program Phase 3 opened on March 7, 2026, and the last date to apply is April 30, 2026. Startups selected under the program can receive seed funding of up to ₹50 Lakhs.
Supporting Technology-Driven Startups
The DST NIDHI Seed Support Program Phase 3 is designed to help innovative startups bridge the gap between research and commercialization.
The initiative focuses on technology-driven solutions with strong market potential and aims to assist startups in transitioning from prototype development to full-scale commercialization.
Startups working in areas such as Artificial Intelligence, Robotics, BioTech, AgriTech, IoT, SpaceTech, CleanTech, HealthTech, MedTech, SaaS platforms, Industry 4.0 technologies, drones, mobility, and sustainability solutions are encouraged to apply.
Under the DST NIDHI Seed Support Program Phase 3, the funding support will help startups undertake activities such as prototype development, product validation, market testing, customer acquisition, and go-to-market strategy development.
Key Benefits for Startups
Selected startups under the DST NIDHI Seed Support Program Phase 3 will gain access to several benefits beyond funding, including mentorship, ecosystem support, and investor connections.
Key benefits include:
- Seed funding up to ₹50 Lakhs for early-stage technology startups
- Support for prototype development, PoC, MVP creation, and market trials
- Funding disbursement in milestone-based tranches linked to startup progress
- Mentorship from domain experts, business advisors, and industry leaders
- Access to startup ecosystem events, investor networks, and go-to-market support through ACIC-VGU Foundation
- Moratorium of up to 12 months on repayments in case of loan-based funding structures
The DST NIDHI Seed Support Program Phase 3 may structure its funding through equity or equity-linked instruments such as CCPS.
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Eligibility Criteria
Startups applying for the DST NIDHI Seed Support Program Phase 3 must meet certain eligibility conditions.
Applicants must be legally registered in India and preferably recognized by the Department for Promotion of Industry and Internal Trade (DPIIT) or willing to apply for recognition. Startups must have at least three months of association with ACIC-VGU Foundation through either physical or virtual incubation.
The startup should have a technology-driven innovation with a working prototype or MVP, along with a clear Unique Selling Proposition (USP) validated by customers.
Additionally, at least 51% equity must be held by Indian promoters, and the startup should not be a subsidiary of a multinational or foreign company.
Preference will be given to startups that have not previously received seed funding from other Central or State Government schemes.
Use of Seed Funding
The DST NIDHI Seed Support Program Phase 3 allows startups to utilize the funding for a range of activities aimed at building and scaling their product.
The seed fund can be used for:
- Prototype and MVP development
- Product testing and trials
- Market launch and customer validation
- Go-to-market planning and commercialization
- Branding and outreach activities
- Intellectual property and legal support
- Mentorship and consultancy
However, certain uses are restricted. Startups cannot use the funds for repayment of loans, creation of personal assets, speculative investments, promoter benefits, or purchasing equity in other companies.
Additionally, only up to 10% of the total funding may be used for team salaries.
Evaluation and Selection Process
Applications submitted under the DST NIDHI Seed Support Program Phase 3 will be evaluated based on several factors, including:
- Strength and novelty of the technology or innovation
- Capability of the founding team and execution strategy
- Market potential and customer validation
- Scalability and revenue roadmap
- Planned utilization of the seed fund
Shortlisted startups will be invited for interviews conducted on a rolling basis within two to three weeks of application submission.
Funding will be disbursed after approval through milestone-linked agreements between the startup and the incubator.
DST NIDHI Seed Support Program Phase 3: Application Process
Startups interested in the DST NIDHI Seed Support Program Phase 3 can apply through the official application form.
Applicants are required to submit key documents such as pitch deck, company details, DPIIT registration certificate (if available), and proof of incubation with ACIC-VGU Foundation.
Once applications are reviewed, the ACIC-VGU team will contact shortlisted startups for the next stages of the selection process.
For enquiries, startups can reach out via email at incubation.acic@vgu.ac.in
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