Delhi Cabinet Approves ₹50 Crore Fund to Boost Start-ups
The Delhi government has approved the creation of the Go-Delhi Foundation, a not-for-profit company aimed at promoting start-ups, innovation and entrepreneurship in the capital. The decision, taken by the Cabinet chaired by Chief Minister Rekha Gupta, provides an initial budgetary outlay of ₹50 crore for the foundation. The foundation will be established as a not-for-profit company under Section 8 of the Companies Act, 2013, and will function under the Delhi government’s Department of Industries.
Section 8 companies are set up for charitable or not-for-profit purposes, and any surplus generated is reinvested into the organisation’s objectives. They are prohibited from distributing profits to their members, ensuring that all resources are directed towards the organisation’s goals. This structure is intended to ensure that the foundation’s services remain accessible and focused on public good.
The foundation will offer integrated support to young people, researchers and entrepreneurs, helping them turn ideas into practical products and successful enterprises, according to a statement from the Chief Minister’s Office (CMO). It will assist start-ups and micro, small and medium enterprises (MSMEs) in accessing product engineering, prototyping, laboratory and testing facilities. It will also provide mentorship and support at various stages of entrepreneurship, from product development and testing to certification preparation and market access.
Delhi is home to nearly 21,000 start-ups recognised by the Department for Promotion of Industry and Internal Trade (DPIIT). Chief Minister Rekha Gupta said the initiative is an important step towards bringing together Delhi’s existing entrepreneurial capabilities, educational institutions and research facilities. “Through the Go-Delhi Foundation, these resources will be brought together on a common platform, with a focus on developing new enterprises, attracting investment and creating employment opportunities,” she said.
A key feature of the initiative is the involvement of government departments. They will be able to present real-world challenges to Delhi’s innovators through the foundation. Products and technologies developed in response could be tested through pilot projects, and successful solutions may be considered for adoption by the departments. The CMO statement said this would give government departments access to new technologies and practical solutions while allowing start-ups to demonstrate the usefulness of their products. It would also strengthen collaboration among the government, industry, educational institutions and innovators.
Access to prototyping and testing facilities is often a challenge for early-stage start-ups, and the foundation aims to bridge this gap by providing shared infrastructure and expert guidance. This is particularly important for first-time entrepreneurs who may lack the resources to set up their own labs or testing facilities. The mentorship component is expected to help entrepreneurs navigate the complexities of product development, certification and market entry.
The Cabinet’s approval marks the formal launch of the Go-Delhi Foundation, which will now be set up as a company under the Companies Act. The government has sanctioned the initial funds to help turn ideas into products and bring them to market. The move is expected to provide a boost to the city’s start-up ecosystem by offering infrastructural and mentoring support that many early-stage entrepreneurs find difficult to access.
