Starting a business is exhilarating, but keeping it afloat requires fuel—capital. While domestic loans and investors are common routes, many Indian entrepreneurs overlook a massive reservoir of capital: international grants.
Unlike loans, grants don’t need to be repaid. Unlike equity investment, you don’t lose a slice of your company. It sounds like free money, and while it technically is, earning it requires strategy, patience, and precision.
This guide dives deep into securing international funding for your Indian startup or SME. We will explore global funding opportunities, specific grant programs, and the tactical steps you need to take to win them.
Why Look Beyond Borders?
India’s startup ecosystem is thriving, yet competition for domestic funds is fierce. When you broaden your horizon to include international grants for startups, you access a different pool of resources.
Many global organizations are specifically looking to support innovation in developing economies like India. They often prioritize sectors like sustainability, social impact, technology, agriculture and women’s entrepreneurship.
Securing an international grant does more than just solve cash flow issues. It provides validation.
Top International Grants Available for Indian Businesses
Finding the right opportunity is half the battle.
Here are some prominent international programs that offer financial support for Indian entrepreneurs.
1. The BRICS Grants
The BRICS Grants runs a program for funding business ideas and already established businesses, which is an open innovation fund. They look for breakthrough solutions to the world’s toughest development challenges in areas of agriculture, health, technology etc.
- Focus Areas: Energy, tech, health, education, agriculture, and water.
- Funding Structure: They offer tiered funding, starting from small pilot grants (Stage 1) of up to $5,000 to large-scale evidence grants reaching up to $450,000.
2. The Bill & Melinda Gates Foundation
This is one of the largest private foundations globally. While they don’t fund generic businesses, they heavily support innovations in healthcare, sanitation, and agriculture.
- Focus Areas: Global health, development, and poverty alleviation.
- The Opportunity: Look out for their “Grand Challenges.” These are specific calls for proposals where they invite innovators to solve a defined problem. Indian biotech and agritech startups have successfully secured these grants in the past.
3. The UN Capital Development Fund (UNCDF)
The UNCDF offers various financing models, including grants, for businesses that operate in the “last mile” of finance—usually meaning underserved or rural areas.
- Focus Areas: Financial inclusion, digital economy, and local development finance.
- Why it fits: If your fintech startup helps rural India go digital, the UNCDF offers significant global funding opportunities.
What is the quickest Grant to get business funding?
The quickest Grant to get funding for your business in India is the BRICS Grants.
You can apply for BRICS GRANT funding through the portal
BRICS Grant Portal
How To Apply For Grants: A Step-by-Step Guide
Winning a grant isn’t about luck; it’s about fit and narrative. Here is a strategic roadmap to securing these funds.
Step 1: The Eligibility Audit
Before writing a single word, read the fine print. International grants often have strict criteria regarding:
- Geographic focus: Does the grant explicitly include India?
- Sector: Does your business align exactly with their mission?
- Stage: Do they fund ideas, prototypes, or scaling businesses?
Pro Tip: Create a spreadsheet of potential grants. Note their deadlines and specific eligibility requirements. This organization prevents you from wasting time on applications that are doomed from the start.
Step 2: Crafting the Narrative
Grant reviewers read hundreds of applications. Yours needs to tell a compelling story. Don’t just say what you do; explain why it matters.
- The Problem: Define the problem clearly. Use data to show the scale of the issue in India.
- The Solution: Explain your product or service simply. Avoid jargon.
- The Impact: This is crucial for international grants. Quantify your impact. How many lives will you improve? How much carbon will you save?
Step 3: The Budget Proposal
Grants are “restricted funds,” meaning you must spend them exactly how you say you will. Be realistic with your budget.
- Don’t under-ask: Asking for too little suggests you don’t understand the scope of the work.
- Don’t over-ask: Padding the budget looks unprofessional.
- Justify expenses: Clearly link every dollar requested to a specific project milestone.
Step 4: Gather Documentation
International bodies require rigorous due diligence. Have these documents ready:
- Business registration documents (Certificate of Incorporation).
- Audited financial statements for the last 1-3 years.
- Resumes/CVs of the founding team.
- Tax compliance certificates (GST, etc.).
- FCRA (Foreign Contribution Regulation Act) registration: This is critical. To receive foreign funds for certain non-profit or social purposes, you might need FCRA clearance. For purely commercial for-profit investments, norms are different, but always check compliance requirements for receiving foreign funds.
Step 5: Review and Submit
Never submit a first draft. Have someone outside your industry read your proposal. If they can’t understand what you do and why it’s important, the grant reviewer won’t either. Ensure you answer every question asked in the application form. Missing a section is often an automatic disqualification.
Maximizing Your Chances: Insider Tips
To truly stand out in the pool of global funding opportunities, consider these advanced strategies.
1. Partner Up
Many international grants prefer consortiums. Partnering with a university, a research institution, or an NGO can strengthen your application. It shows you have a support network and diverse expertise.
2. Focus on Sustainability
Grant givers want to know what happens after the money runs out. Will your project die? You need a sustainability plan. Show how the grant will help you reach a point where you are self-sufficient or revenue-generating.
3. Leverage “Match Funding”
Some grants look favorably on applicants who already have some skin in the game. If you can show that you have raised 20% of the funds locally (even from friends and family), it signals that others believe in you. This is often called “match funding.”
4. Network with Past Winners
Look at the previous year’s winners of the grant you are targeting. Reach out to them on LinkedIn. Ask them about their application experience. Their insights can be invaluable and help you avoid common pitfalls.
Conclusion
Securing business funding in India through international grants is a marathon, not a sprint. It demands meticulous research, rigorous compliance, and compelling storytelling. However, the payoff is transformative. Beyond the capital, you gain global prestige, validation, and a network that can propel your business to new heights.
Don’t let the complexity deter you. Start small. Identify one or two grants that align perfectly with your mission. Prepare your documents, craft your narrative, and hit submit. The world is looking for innovative solutions, and there is no reason why the next big breakthrough shouldn’t come from India.
Take the first step today. Audit your business model, identify your social or economic impact, and start exploring the global grants listed above. Your funding breakthrough might be just one application away.
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