In sync with the Startup India Action plan, the government of India has approved a corpus of Rs 10,000 crore for the establishment of Fund of funds for startups i.e. FFS to Small Industries Development Bank of India (SIDBI). The fund has been approved in order to boost the ideology of Startup India Plan and bring about a proliferation in the existing status of employment generation in the country.
The Fund will bring about a boom in the Indian economy as young entrepreneurs will be motivated to take initiatives where there exists an assured government backing. As per sources, it is expected to raise full-time employment opportunity for around 18 Lakh people.
The ride for startup will be free of any breakers and bumps, as the biggest Gordian knot i.e of finance gets untangled here. The Government ensures a strong backing to new ventures and encourages upcoming business ideas to furnish with assured financial help. Considering the benefits of the newly established fund, the young entrepreneurs can leave behind any chagrins and safeguard their journey towards achieving the goals of the business without worrying about the funding.
The fund acts as a stable and an assured source of funding for the startup enterprises and shall help in various recreational activities in the field of business. The strategic decision to raise the assured sum for the young business doers will bring about a wave of entrepreneurial ideas. This assistance from the cabinet under the Modi-Regime will ensure economic development and also assist the on-going Make in India Project.
Implementation and benefits of the scheme :
The Department of Industrial Policy and Promotion (DIPP) will monitor and review the performance of various ventures registered under the scheme whereas the Small Industries Development Bank of India (SIDBI) will manage the day to day operations of the ‘fund of funds for startups’ i.e. the FFS. The benefits will be noticed across the entire ‘startup ecosystem’ and will also positively affect the economic standing of the country, alongside generating jobs in varied areas of interest.
Thus, the 10,000 crore fund definitely supposes itself to be a big boon for both it establishes and the benefit seekers