Scaleup Seed Fund (2026): Up to ₹25L, Rolling Applications

About this loan

The Scaleup Seed Fund is an initiative from the Government of Kerala, executed by the Kerala Startup Mission (KSUM). The Kerala Startup Mission (KSUM), as the government's nodal agency for entrepreneurship, plays a pivotal role in nurturing a dynamic startup ecosystem across Kerala. Its comprehensive mandate involves providing financial aid, mentorship, and infrastructure to enable startups to innovate and scale.

This scheme extends financial assistance, primarily structured as collateral-free debt or through instruments such as Convertible Compulsorily Debentures (CCDs) and Compulsorily Convertible Preference Shares (CCPS). Each eligible startup can receive support amounting to a maximum of Rs. 25 lakhs. The funds are strategically disbursed in installments, ensuring alignment with project milestones and sustained progress. This financial injection aims to facilitate various growth activities, including product enhancement, strategic business expansion, targeted marketing initiatives, and the acquisition of essential licenses and certifications. By serving as a vital link, the Scaleup Seed Fund effectively bridges the gap between nascent early-stage investments and more substantial venture capital funding, thereby empowering startups to scale their operations, solidify their market presence, and attract subsequent rounds of investment, contributing to the state's economic development.

Benefits & Funding

Amount: Up to ₹25 Lakhs
Fund type: Debt
Equity: Equity-free
Repayment: Repayable

What You Get

Collateral-free debt (up to Rs. 25 lakhs) via debentures/preference shares, disbursed in installments tied to milestones. Funds support product enhancement, business expansion, marketing, and licenses. KSUM also provides mentorship and infrastructure, bridging early-stage investments with venture capital.

Disbursement: Tranched

How to apply

Four steps from draft to disbursement — one action each.

1
Draft your application
Answer the form inside the grant tracker — AI drafts each response using your past answers, so you're not starting from a blank page.
2
See the questions before you start
Download every question this programme's application form asks, so you can prepare your answers offline before opening the portal.
3
Line up your documents
Keep every document from the checklist ready in one folder. Missing docs are the #1 reason applications get bounced.
4
Submit on the official portal
Use the official application link and verify all details before final submission.
5
Follow up
Reach out 5–7 days after submitting to confirm receipt and ask about the review timeline.

Frequently Asked Questions

What is the Scale-up Seed Support Scheme?

The Scale-up Seed Support Scheme is an initiative of the Government of Kerala, implemented through Kerala Startup Mission (KSUM), designed to help revenue-stage startups expand and commercialize innovative, technology-based products by providing financial assistance, primarily through collateral-free debt or SAFE instruments.

Who is eligible to apply for the scheme?

Eligible startups must be registered as a Private Limited company in Kerala, have DPIIT and KSUM Unique ID, and work on innovative products. They should have at least Rs. 25 lakhs revenue in the last four quarters or Rs. 25 lakhs investment from an angel/VC, and at least Rs. 5 lakhs revenue in the previous quarter.

What is the maximum funding available under this scheme?

The maximum funding available is Rs. 25 lakhs per startup.

How are startups selected for the scheme?

Applications are first shortlisted by KSUM based on eligibility and financials. Shortlisted startups then pitch before the Scale-up Seed Fund Expert Committee, which evaluates criteria like market need, feasibility, and team strength before recommending funding.