Aspire Scheme

ASPIRE Scheme

ASPIRE is an abbreviated form of ‘A Scheme for Promotion of Innovation, Rural Industries and Entrepreneurship’. It was launched on 16^th March 2015. ASPIRE is a Government of India initiative which is promoted by the Ministry of Micro, Small and Medium Enterprises.

Objectives of ASPIRE scheme; eligibility criteria under ASPIRE scheme; components and benefits of the ASPIRE scheme are taken up and explained in the present article.

Objectives of ASPIRE Scheme –

The objectives of ASPIRE Scheme are listed hereunder-

1. To promote and encourage entrepreneurship culture across India;

2. To create more job chances resulting into a reduction in unemployment;

3. To encourage economic development at the district level;

4. To enable innovative business solutions for unfulfilled social needs;

5. To promote innovation so as to strengthen the competitiveness of the MSME sector.

Eligibility criteria under ASPIRE Scheme –

The benefits under the ASPIRE Scheme are available to –

1. Any individual who is above 18 years of age as an incubatee and skilled;

2. Any entrepreneur willing to set up startups;

3. Any research institutes or technical or universities including those working in the field of agro and rural based industry;

4. Any agency or institution under Central Government or any State Government working in the field of business management; technology; rural and entrepreneur development or any body corporate under the PPP (Public Private Partnership) mode;

5. Any of the existing incubation centres which are operating under different department of the Government of India which includes national or regional level institutions of the Central or State Government to set up a centre which is dedicated to incubation as well as enterprise creation in the field of agro based industries;

6. Any new incubation centres to be set up by any eligible private institutions which include industry associations; research and development laboratories; universities; technology parks etc.

It is important to note here that all the existing incubators and/or the incubators who had already availed of the government subsidy under any other scheme for a similar set of activities under the incubation are not eligible under the Scheme.

Components of ASPIRE Scheme –

The components of ASPIRE scheme are briefly tabulated hereunder –

Component	Details
LBI – Livelihood Business Incubation	To set up business incubators to incubate; To impart entrepreneurship and also provide funding for empowering entrepreneurs for setting up business enterprise; To provide skill development training, especially to youth.
TBI – Technology Business Incubation	To promote the growth of an enterprise via the application of innovation, technology and supporting economic development strategies, especially for small business development; To encourage growth in local economies and also provide a mechanism for technology transfer.
SIDBI – Start-up Promotion through Small Industries Development Bank of India	To enable ideas/ innovations, having creativity and scalability, to be converted into the commercially viable enterprises; To provide innovative means of finance like quasi equity; equity; challenge fund; angel fund; venture capital fund; impact fund etc.

Benefits under the ASPIRE Scheme –

The following benefits are available under the ASPIRE Scheme –

1. Value addition to agriculture produce as well as forest produce;

2. Maximum automation of the agricultural practice and other related activities;

3. Recycling agricultural wastage (both pre and post harvest);

4. Business models for –

a. Aggregation as well as value addition applicable for the rural area;

b. Creation of some local employment in the rural areas;

c. Social impact.

5. For setting up of Livelihood Business Incubators (i.e., LBI) –

Particulars	One-Time grant amount
Incubators under the designated agencies	Lower of the following – 100% of the cost of plant & machinery other than land and infrastructure; or An amount up to INR 100 Lakhs.
Incubation centres to be set up under PPP mode	Lower of the following – 50% of the cost of plant & machinery other than land and infrastructure; or An amount up to INR 50 Lakhs.

6. For setting up of Technology Business Incubators (i.e., TBI) –

Particulars	One-Time grant amount
Existing incubators wiling to set up incubators in agro-based industries	Lower of the following – 50% of the cost of plant & machinery other than land and infrastructure; or An amount up to INR 30 Lakhs.
New incubation centres to be set up	Lower of the following – 50% of the cost of plant & machinery other than land and infrastructure; or An amount up to INR 100 Lakhs.