Scheme for assistance for Start Ups/ Innovation: Sustenance Allowance

Overview of the Sustenance Allowance Scheme

The “Sustenance Allowance” scheme, part of the Gujarat Industrial Policy, aims to boost economic development by creating job opportunities, enhancing competition, and facilitating innovative solutions. Launched by the Industries and Mines Department of Gujarat, this initiative is designed to support startups by alleviating their financial challenges during the early stages of establishment.

Scheme Details

This initiative, effective from August 7, 2020, through August 6, 2025, is structured to provide financial assistance to startups that have incurred stamp duty costs for land purchases necessary for new projects. By easing the financial strain during the initial phase, the scheme encourages the growth of innovative enterprises.

Financial Support

• General Financial Assistance: ₹20,000 per month for a duration of one year, contingent upon meeting eligibility criteria.
• Support for Women Entrepreneurs: ₹25,000 per month for startups with a female co-founder.

Eligibility Criteria

To qualify for the scheme, the following criteria must be met:

• Individuals or groups with an innovative concept, endorsed by a recognized Nodal Institution.
• Startups operating in various sectors including science, technology, engineering, agriculture, and healthcare, among others.
• Startups benefiting from the Student Startup and Innovation Policy (SSIP) are also eligible.

Ineligibility Conditions

• Entities formed through the division or restructuring of existing businesses are not eligible.
• Startups receiving benefits from other Gujarat government startup schemes cannot apply.

Application Procedure

To apply for the Sustenance Allowance, follow these steps:

Online Registration Process:

1. Access the official online portal and click on the “Register” button located at the top right corner.
2. Input your email address and click on the “Next” button. Verify your information and submit to complete registration.
3. After logging in, fill out the Common Application Form and select “Sign Up”.

Application Steps:

1. Go to the online portal and click on “Login”. Enter your registered email ID and password, then click “Sign In”.
2. In the “Dashboard” section, complete all required fields.
3. Click on the “Apply Now” icon present on your dashboard.
4. Select the scheme from the list and provide the necessary application details.

Contact Information

For more information, reach out to the Startup Gujarat Cell at:

Definition of Startups

For the purposes of this scheme, a startup is defined as any individual or group with an innovative idea or concept that has achieved legal registration as a Limited Liability Partnership (LLP), Partnership, or Private Limited Company. An entity will no longer be considered a startup ten years post-registration or if its annual turnover surpasses ₹100 crore.

Understanding Key Terms

• Innovative Project: A project that introduces new technologies or modifies existing ones, leading to novel products or services.
• Mentor: An expert providing guidance to startups through Nodal Institutes, possessing knowledge of the startup ecosystem.
• Sustenance Allowance: Monthly financial aid for sanctioned startups to help with expenses when they lack sufficient funding for their innovative projects.

Official Source

For further details and updates, please visit the official page at myScheme.gov.in.