UP Startup Policy — Seed Fund & Incentives

What is UP Startup Policy?

Uttar Pradesh Startup Policy (also called Udyam Unnati) is the state government's comprehensive startup ecosystem initiative that provides financial incentives, seed funding, tax reimbursements, and infrastructure support to startups registered and operating in UP.

The policy targets technology, agritech, healthtech, edtech, and manufacturing startups, with special incentives for women and SC/ST entrepreneurs.

Key Benefits for Startups

Who is Eligible?

To qualify under UP Startup Policy:

• Entity is a DPIIT-recognized startup (registered at dpiit.gov.in) OR has applied for recognition
• The startup is incorporated and operational in UP (GST registration in UP required)
• Business is in operation for less than 10 years from date of incorporation
• Annual turnover does not exceed ₹100 crore

Enhanced benefits for:

• Women-led startups: Additional 25% on seed fund
• SC/ST founder startups: Additional 25% on seed fund
• Agritech / rural-focused startups: Priority in incubation access

Seed Fund — Amounts and Criteria

Selection is through an application + pitch to UP Startup Review Committee.

How to Apply

Step 1 — DPIIT Recognition

If not yet recognized, apply at dpiit.gov.in/startups to get DPIIT Startup recognition certificate.

Step 2 — Register on UP Startup Portal

Go to startup.up.gov.in:

• Create company account
• Upload: incorporation certificate, DPIIT certificate, GST registration (UP), PAN, pitch deck

Step 3 — Apply for Specific Benefits

After registration:

• Apply for seed fund (submit business plan)
• Apply for GST reimbursement (after GST filings)
• Apply for patent support (after filing patent)

Step 4 — Review and Disbursement

The UP Startup Policy Committee reviews applications. Seed fund is disbursed in tranches upon milestone completion.

Government Incubators in UP

UP has government-supported incubators at:

• AKTU (APJ Abdul Kalam Technical University), Lucknow — tech startups
• IIT Kanpur — deep tech, AI, manufacturing
• BHU Startup Incubation Centre, Varanasi — social enterprise
• UP Electronics Corporation incubator, Lucknow — electronics/software

Free or subsidized desk space for UP-registered startups.

Frequently Asked Questions

1. I am a student at AKTU and have an idea. Can I apply for the UP seed fund?

Yes, if you have incorporated a company (even a Private Limited or LLP) and applied for DPIIT recognition. Student startups are welcome. You can also access AKTU's own incubator facilities.

2. My startup is in Delhi but I plan to expand to UP. Can I get UP benefits?

You need a GST registration and operational presence in UP. If you register a branch or relocate your entity to UP, you become eligible for UP Startup Policy benefits.

3. Is the ₹5-25 lakh seed fund a loan or grant?

At idea and early stage, it is an equity-free grant (you don't repay). At growth stage, part may be a convertible note. Check the UP startup portal for current year's terms.

4. What sectors are NOT eligible?

Liquor, tobacco, gambling, real estate (pure), and traditional retail businesses (without technology innovation) are typically excluded. Manufacturing with technology/innovation qualifies.

5. How long does the GST reimbursement take?

GST reimbursement is processed quarterly. File your GST returns → apply on the portal → reimbursement credited to bank in 60–90 days.

Official Links