Delhi Startup Policy 2025: ₹200 Cr VC Fund & MSME Boosts

The Delhi government has introduced a promising new draft called the Delhi Startup Policy 2025. This policy aims to make Delhi the most preferred destination for startups in India and globally by 2035. With a strong focus on funding, innovation, and inclusion, the new plan is a big step forward for the Delhi startup ecosystem.

Delhi Government Scheme for MSMEs 2025

The Delhi Govt New Scheme for MSMEs in 2025 is a comprehensive plan aimed at driving growth, employment, and business ease for small enterprises. With a strong focus on policy support, infrastructure upgrades, funding access, and skill development, this initiative empowers MSMEs to scale efficiently in the capital city.

• $50 Billion FDI Target: Attracting foreign capital for long-term business expansion.
• Ease of Doing Business Reform: Delhi aims to be in India’s top 3 states for business setup simplicity.
• Delhi Trader Welfare Board: Addresses issues for retailers and small traders.
• Freehold Conversion: Leasehold commercial properties can now be converted, enhancing asset confidence.
• Market Upgradation Mission: Modernizing local markets with better infrastructure, parking, and walkability.
• Welfare Boards for Auto, Taxi, Gig Workers: Insurance, scholarships, and subsidies to support informal workers.
• Skill Development in Emerging Tech: New-age training in AI, green energy, 3D printing, and upgradation of ITIs into Centres of Excellence.

Highlights of the Delhi Startup Policy 2025

₹200 Crore Venture Capital Fund

A major feature of the policy is the creation of a ₹200 crore startup fund. This Delhi government startup fund will:

• Invest in early-stage, high-potential startups.
• Use both equity and structured-debt instruments.
• Attract private investors through co-investment partnerships.

This venture capital fund in Delhi is designed to reduce the funding gap and support scalable business models.

Financial Support for Startups

The Delhi government scheme also includes several financial benefits:

• ₹2 lakh monthly allowance for operational costs (for up to 1 year).
• 100% reimbursement on:
• Lease rentals of co-working spaces (up to ₹10 lakh/year for 3 years).
• Patent filing (₹1 lakh for Indian, ₹3 lakh for international).
• Exhibition costs (₹5 lakh for domestic, ₹10 lakh for international events).

These incentives reduce the burden on early-stage founders, helping them focus on innovation.

Infrastructure & Digital Access

The draft policy aims to improve accessibility and infrastructure:

• Startup incubation centers in Delhi will get capital and operational subsidies.
• A dedicated Delhi startup portal will act as a single-window system for:
• Startup registration
• Application tracking for incentives
• Mentor connections
• Grievance redressal

Special Focus Areas

The policy gives priority to:

• Women-led startups
• Startups from marginalized communities
• Sectors like AI, robotics, fintech, healthcare, gaming, drones, and more

The goal? At least 5,000 startups by 2035 across high-growth sectors.

MSME & Central Scheme Synergy

While this policy is tailored to startups, MSMEs in Delhi can also benefit through:

• Existing Delhi government startup schemes
• Synergies with Central Government MSME support programs (financial and non-financial)

Public Feedback Open Until September 3, 2025

The policy is still in draft form. The Delhi government is inviting feedback from entrepreneurs, experts, and the public until September 3, 2025

This is your chance to shape Delhi's future as a startup hub.

Expanded Support for MSMEs Under Central Schemes

In addition to Delhi’s initiatives, several central government schemes offer valuable opportunities for MSMEs:

• Credit Guarantee Scheme (CGTMSE): The collateral-free loan limit is being increased from ₹10 lakh to ₹20 lakh, offering MSMEs more financial flexibility.
  
• Cluster Development (MSE-CDP): This scheme supports infrastructure and facility development for micro and small enterprise clusters.
  
• Credit Guarantee Fund: Financial assistance is available under the CGTMSE to help MSMEs access institutional credit without the need for collateral.
  
• Online Udyam Registration: Entrepreneurs can easily register their ventures on the government portal to access various subsidies and schemes.
  
  These initiatives collectively aim to create a growth-friendly environment for Delhi-based MSMEs to start, expand, and contribute to the economy.

Need Help Navigating This Policy?

Why Choose StartupFlora?

If you're a startup founder wondering how to:

• Apply for the Delhi Startup Policy 2025 benefits
• Access the ₹200 crore startup fund
• Get funding for your idea

Then StartupFlora is your ideal partner. We're a leading startup and MSME consultancy in India, helping entrepreneurs with:

• Funding strategy
• Business model validation
• Government scheme applications
• Incubation and scaling support

Let’s Build Your Startup Dream

Whether you’re just starting out or scaling up, StartupFlora has your back.

Join StartupFlora and take your startup to the next level by leveraging Delhi's upcoming startup-friendly policies.

Now’s the time to grow and we’re here to help!

FAQ

1. What is the Delhi Government's new scheme for MSMEs in 2025?

The Delhi Govt New Scheme for MSMEs 2025 offers financial aid, easier loan access up to ₹20 lakh, skill development, and market upgrades to help small businesses grow.

2. What are the top government schemes for MSMEs in Delhi?

Top schemes include the Credit Guarantee Scheme (CGTMSE), Delhi Market Upgradation Mission, MSE-CDP, and Delhi Trader Welfare Board support programs.

3. What does the Delhi Government Scheme 2025 include?

The Delhi Government Scheme 2025 includes a ₹200 Cr VC fund, startup reimbursements, MSME support, co-investment plans, and inclusive sectoral focus.

4. Is there a Delhi Govt scheme for startups in 2025?

Yes. The Delhi Startup Policy 2025 offers monthly grants, patent reimbursements, a ₹200 Cr venture capital fund, and access to a dedicated startup portal.

5. Who can benefit from the Delhi Govt's 2025 schemes?

Startups, MSMEs, women-led businesses, and marginalized entrepreneurs can benefit from financial support, incubation, and simplified processes in the 2025 scheme.