Government startup schemes in India are wide open right now, and this is the list to bookmark. Every scheme below is currently active as of August 2026, no expired windows, no stale numbers. Bharat’s founders deserve every rupee on offer, so here’s exactly where to apply today.
Government support for Indian founders has shifted noticeably in the last few weeks: fresh DPIIT partnerships, an expanded export platform for DPIIT-recognised startups, and continued deployment from the ₹10,000 crore SIDBI Fund of Funds all landed in the first half of August 2026 alone. Mixed in with the reliable state and global programs, that gives founders a genuinely strong toolkit of government startup schemes right now, as long as you know which windows are open and which have quietly closed. This list covers both, in order of scale.
1. Startup India Fund of Funds 2.0 (SIDBI), ₹10,000 Crore
The big one. Notified this year, this ₹10,000 crore corpus is deployed by SIDBI as the implementing agency into SEBI-registered Alternative Investment Funds (AIFs), which then invest directly into DPIIT-recognised startups. It’s already active, SIDBI confirmed a fresh AIF commitment to Cedar Hill Capital in early August 2026 to back AI-first enterprise fintech, proof the fund is deploying capital in real time, not just sitting on paper. You don’t apply to SIDBI directly; you get funded through one of 130+ empanelled AIFs. Details: sidbivcf.in.
2. DPIIT’s New Multi-Partner Support Framework, Non-Cash, High Value
On August 8, 2026, DPIIT signed five strategic MoUs, with Cashfree Payments, Vultr India, Cars24, Darwin Dynamics, and the Council for Startup India, bundling payment infrastructure, cloud resources, deep-tech mentorship, mobility expertise, and investment facilitation into one coordinated support layer for DPIIT-recognised startups. This is brand new and worth activating immediately if you’re already DPIIT-recognised. Details: startupindia.gov.in.
3. DGFT “Source from India” Startup Badge, Free Global Buyer Access
Effective August 6, 2026, the Directorate General of Foreign Trade expanded eligibility on its “Source from India” platform to DPIIT-recognised startups. Qualifying startups can now build a microsite and carry a dedicated Start-Up Badge, giving manufacturing, D2C, and export-ready startups direct visibility to international buyers, completely free. Details: dgft.gov.in.
4. TANSEED 8.0 (Tamil Nadu), Up to ₹15 Lakh
StartupTN’s flagship equity-linked grant offers ₹10 lakh for general-sector startups and up to ₹15 lakh for Green Tech, Rural Impact, and Women-led startups, plus a year-long structured accelerator. StartupTN takes a 3% support stake in return, a reasonable trade for capital plus mentorship. Details: startuptn.in.
5. Telangana T-Fund & T-Spark, ₹25 Lakh to ₹1 Crore
Telangana’s T-Fund offers grants from ₹25 lakh up to ₹1 crore, while the state’s T-Spark initiative is actively funding 155 early and seed-stage startups for prototyping, R&D, and go-to-market support. Backing all of this: a ₹1,000 crore fund co-run with Google, operating out of T-Hub Hyderabad, the world’s largest startup incubation campus. Women founders should also check WE Hub, India’s first women-only state incubator. Details: startup.telangana.gov.in.
6. UKG India, Venture Center CSR Collaboration Program, Deadline August 25, 2026
A fast-closing window worth acting on now: up to ₹10 lakh in equity-free grant funding for science-based healthcare solutions and affordable assistive technology for frontline workers. If you’re building in health-tech or accessibility, this closes in days, not months.
7. Google for Startups Cloud Program, Up to $350,000 in Credits
AI-first startups can access up to $350,000 in Google Cloud credits over two years, alongside mentorship through Google’s accelerator network. Pairs well with any state grant since it’s a non-dilutive, in-kind benefit. Details: cloud.google.com/startup.
8. AWS Activate, Up to $100,000 in Credits
DPIIT-certified startups under 10 years old and pre-Series B can apply for up to $100,000 in AWS cloud credits through the Activate Portfolio program. Details: aws.amazon.com/activate.
9. Microsoft for Startups Founders Hub, Up to $150,000 in Azure Credits
No funding stage requirement to get started, Microsoft’s Founders Hub gives early founders up to $150,000 in Azure credits plus development tools, making it one of the most accessible global programs on this list. Details: microsoft.com/startups.
10. CGTMSE, Collateral-Free Loans Up to ₹5 Crore
For founders who need working capital without pledging personal assets, the Credit Guarantee Fund Trust for Micro and Small Enterprises backs collateral-free loans up to ₹5 crore through partner banks and NBFCs, a central-government safety net that pairs with any of the equity-linked grants above. Details: cgtmse.in.
Important Status Update: SISFS Is Currently Paused
The Startup India Seed Fund Scheme (SISFS), normally offering up to ₹20 lakh as a grant plus ₹50 lakh as debt, closed its application window on May 31, 2026, with incubator selections finalised by June 30. It is not accepting new founder applications right now. Don’t waste time applying; instead, track startupindia.gov.in for the next cycle and use the ten active government startup schemes above in the meantime.
How to Stack These Government Startup Schemes
You can legally combine these government startup schemes, such as a state grant (TANSEED or T-Fund) with a central debt instrument (CGTMSE) and global cloud credits (Google, AWS, Microsoft) at the same time, they sit in different funding buckets and rarely conflict. The one rule to check: some state grants carry exclusivity clauses against holding another state-level seed grant simultaneously. Central schemes and cloud credits almost never conflict with state money, so claim those first while a state application is under review.
Frequently Asked Questions
Q: What is the biggest government startup grant available in India right now (August 2026)?
A: Among currently open schemes, Telangana’s T-Fund offers up to ₹1 crore and TANSEED 8.0 in Tamil Nadu offers up to ₹15 lakh. The larger SISFS (₹20 lakh grant + ₹50 lakh debt) is temporarily paused and not accepting applications.
Q: Is the Startup India Seed Fund Scheme (SISFS) open for applications today?
A: No. SISFS closed its application window on May 31, 2026. New founders should watch startupindia.gov.in for the next cycle rather than apply now.
Q: Can an Indian startup combine a state grant with a global program like AWS Activate or Google Cloud credits?
A: Yes. State grants and global cloud credit programs are structurally different, one is cash/equity-linked, the other is in-kind, so they’re almost always stackable. Always check the specific state scheme for exclusivity clauses first.
Q: How do I qualify for these government startup schemes?
A: Nearly all require DPIIT Startup India recognition, which is free to apply for at startupindia.gov.in and typically takes 2, 3 weeks to process. Keep your certificate of incorporation, a brief pitch deck, and proof of innovation or scalability ready before you start the recognition form, it speeds up approval.
Q: Do I need a lawyer or consultant to apply for these government schemes?
A: No. Every scheme listed here has a free, direct government or partner application process. Paid consultants can help with paperwork, but they are not required for eligibility or approval.
This is published on beststartup.in, India’s startup news platform dedicated to making every Indian entrepreneur proud and informed.
