Glossary
DPIIT-Recognised Startup
A startup officially recognised by the Department for Promotion of Industry & Internal Trade (DPIIT) as per notified eligibility criteria.
Fund of Funds (FoF)
A fund that invests in other venture funds (AIFs) rather than directly in startups. Startups receive funding when their venture fund makes an investment.
AIF (Alternative Investment Fund)
SEBI-registered private investment fund that pools capital from investors and deploys into startups/companies.
Credit Guarantee
A government-backed promise to repay a lender if the borrower (startup) defaults. Enables startups to access loans without pledging collateral.
Grant
Non-repayable financial assistance provided by the government. The startup does not repay the money and does not give equity.
Equity Investment
Capital provided in exchange for ownership stake (shares) in the startup. The investor becomes a part-owner.
Convertible Debt
A loan that can convert into equity at a later stage. Used when valuation is uncertain at the time of investment.
Proof of Concept (PoC)
Early demonstration that an idea or technology works, typically in a lab or controlled setting. Pre-prototype stage.
TRL (Technology Readiness Level)
A 1–9 scale measuring how mature a technology is. TRL-1 = basic research; TRL-9 = fully commercial system.
TBI (Technology Business Incubator)
An institution providing physical space, mentoring, seed funding and networks to early-stage technology startups.
Incubator / Accelerator
Organisations that support startups at early stages (incubator) or fast-track growth of already-validated startups (accelerator).
EMD (Earnest Money Deposit)
A security deposit required in government tenders. DPIIT-recognised startups are exempt from EMD on GeM.
SEBI
Securities and Exchange Board of India.
CGPDTM
Office of the Controller General of Patents, Designs & Trade Marks.
Startup-Specific
In this Playbook: schemes where startups are the primary or sole named eligible beneficiary in the scheme’s eligibility criteria.
Startup-Relevant
In this Playbook: schemes with broader eligibility (MSMEs, companies, institutions) that startups commonly access and benefit from.