Karnataka Introduces Rs 50 Lakh Seed Funding Scheme For Early-Stage Startups

(MENAFN- KNN India) Bengaluru, Oct
30 (KNN) Karnataka's Information Technology Minister Priyank Kharge has unveiled two flagship programs-ELEVATE 2024 and the Karnataka Acceleration Network (KAN), aimed at fostering innovation and supporting startup growth through funding, mentorship, and market access across the state.

At the launch, Kharge emphasised Karnataka's goal of consolidating its reputation as a global hub for innovation.“Bengaluru is home to 45 unicorns, valued at USD 161 billion. Our vision is to break into the top three global startup ecosystems, and ELEVATE and KAN will play key roles in this effort,” the Minister stated.

ELEVATE 2024 is a grant-based seed funding initiative offering up to Rs 50 lakh per startup. Beyond financial support, the program provides incubation, mentorship, and access to venture capital networks.

Since its inception in 2016, ELEVATE has already funded 983 startups with a total grant commitment of Rs 224.06 crore.

The scheme also serves as a gateway to benefits under the Karnataka Startup Policy 2022-27. Startups can leverage incentive reimbursements on costs like patents, marketing, GST, and certifications.

Additionally, entrepreneurs can access subsidized incubation through sector-specific centres of excellence and technology business incubators (TBIs) backed by the Government of Karnataka.

The KAN initiative focuses on extending the startup ecosystem to regions beyond Bengaluru, fostering economic growth throughout the state. It provides mentorship, market access, and funding to growth-stage startups, aiming to empower 302 startups in the next three years.

“KAN is about ensuring that every region in Karnataka has the tools and support to contribute to our state's economic growth,” Kharge said.

The Minister also introduced the event app for the Bengaluru Tech Summit (BTS) 2024, scheduled from November 19 to 21. The app, available on Android and iOS, offers delegates, exhibitors, and speakers an interactive experience during the summit.

With these programs, Karnataka strengthens its commitment to being the frontrunner in India's innovation landscape, offering targeted support to startups at various growth stages.“We are proud to be the first state to implement such a comprehensive initiative,” Kharge concluded.

ELEVATE 2024 and KAN collectively signal Karnataka's ambition to scale startups beyond Bengaluru and create a robust, statewide innovation ecosystem.

(KNN Bureau)

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