While e-commerce and essential services faced a surge in demand, there were plenty of businesses around the world which were negatively impacted by the Coronavirus global pandemic. Small and medium sized businesses took the worst hit, naturally. Having been under total lockdown since 22 March, India is no different. Both Government and private entities have come forward to offer support to these businesses. Here’s a short compilation of noteworthy grants and schemes offered to businesses in India.
Action Covid-19 Team (ACT)
The Action Covid-19 Team is a Rs. 100 Cr grant set up by start-up community of India to support ideas that could combat Covid-19 with immediate and lasting impact. ACT is seeking scalable, capital-efficient solutions from NGOs and innovative start-ups. Each application is eligible for a grant from 1 Lakh upto 10 Cr.
SBI’s Covid-19 Credit Scheme
In support of small and medium businesses, The State Bank of India (SBI) has introduced Covid-19 related Credit Scheme in form of Common Covid-19 Emergency Credit Line (CCECL) which will be in force till 30 June. Valid for its existing borrowers, CCECL will be eligible to apply for loans of upto 10 percent of the existing fund based working capital limits with maximum cap of Rs. 200 Cr.
The US-India Science & Technology Endowment Fund (USISTEF)
The USISTEF is offering grants upto Rs. 50 Lakh (for early stage creative ideas) to Rs. 1 Cr (to support a workable prototype) to teams actively engaged in counter-Covid-19 research and development.
Schemes by Small Industries Development Bank of India (SIDBI)
With an objective to provide liquidity support to Micro, Small and Medium Enterprises (MSMEs) impacted due to Covid-19, SIDBI has introduced special schemes in light of the pandemic. SIDBI Assistance to Facilitate Emergency (SAFE) is designed to grant loan of upto Rs. 50 Lakh to MSEs producing any good or services with a direct link to Covid-19 such as PPEs, ventilators, labs etc.
SIDBI’s SAFE Plus scheme is open to all MSME’s to meet additional working capital requirements against government orders.
SIDBI’s Make in India Soft Load Fund for Micro Small and Medium Enterprises (SMILE) aims to provide soft loans, such as quasi-equity and term loan to MSMEs with competitive interest rates.
Bumble’s Grant for Small Businesses
Social networking app Bumble, which was launched in India in 2018, has come out in support of small businesses. On 26 March, Bumble announced that it was offering upto Rs.1 Lakh in monetary support for small businesses affected by Covid-19.
In addition to the above compendium on grants and schemes available for businesses in India right now, there are other resources available as well such as The Invest India Business Immunity Platform and StartUp India.