Government Scheme

DRDO Technology Development Fund

Defence R&D grant up to ₹50 Crore for MSMEs & Startups to develop indigenous defence and aerospace technologies

Defence R&D Grant

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Max Project Funding

Up to ₹50 Crore

90% of total project cost

Execution Period

Up to 2 Years

Extendable with milestone review

Target Entities

MSMEs & Startups

Indian incorporated companies

Administered By

DRDO (MoD)

Make in India in Defence

About DRDO Technology Development Fund (TDF)

The Technology Development Fund (TDF) is a flagship scheme executed by the Defence Research and Development Organisation (DRDO), Ministry of Defence, Government of India, under the 'Make in India' and 'Atmanirbhar Bharat' initiatives.

Engineered to build indigenous defence manufacturing capabilities, the TDF scheme provides non-dilutive grant-in-aid of up to 90% of total project cost (subject to a maximum ceiling of ₹50 Crores per project) to Indian MSMEs, startups, and academic partnerships developing critical dual-use and defence technologies.

The scheme covers cutting-edge defence requirements identified by the Indian Armed Forces (Army, Navy, Air Force) and DRDO labs, including missile subsystems, avionics, hypersonic materials, unmanned combat systems, underwater acoustics, and tactical electronic warfare.

DRDO provides end-to-end technical mentoring, assigns dedicated Project Monitoring Committees, allows free access to DRDO test ranges and specialized laboratories, and facilitates fast-track procurement for successfully validated technologies.

Key Features & National Incentives

Non-Dilutive R&D Grant

Government grant covering up to 90% of project costs up to ₹50 Crores released across progressive milestones.

DRDO Laboratory & Testing Access

100% subsidized access to DRDO testing facilities, environmental chambers, wind tunnels, and firing ranges.

Armed Forces Field Trials

Direct testing and qualification with active units of the Indian Army, Indian Navy, and Indian Air Force.

Intellectual Property Retention

Indian industry retains intellectual property rights and commercial exploitation rights for domestic and export markets.

Direct Armed Forces Procurement

Successful projects qualify for direct procurement orders under Defence Acquisition Procedure (DAP) provisions.

Academia-Industry Collaboration

Encourages Indian companies to partner with premier academic institutions (IITs, IISc) with dedicated sub-grants.

Who Can Apply? (Eligibility Criteria)

Eligibility Rule 1

Public or Private Limited Companies, MSMEs, or Startups incorporated under the Indian Companies Act.

Eligibility Rule 2

At least 51% of equity shareholding must be held by Indian citizens (Indian management control).

Eligibility Rule 3

Must have demonstrable technical capability, design infrastructure, and engineering workforce.

Eligibility Rule 4

Must be willing to contribute the mandatory minimum 10% promoter co-funding share.

Eligibility Rule 5

The company must not have been blacklisted by the Ministry of Defence or any other government agency.

Eligibility Rule 6

Consortiums of MSMEs/Startups with recognized academic research institutions are eligible.

Key Benefits & Value Proposition

Benefit 1

Up to ₹50 Crores in non-dilutive capital to design, fabricate, and test advanced military-grade systems.

Benefit 2

Direct guidance from senior DRDO scientists and military technical directors.

Benefit 3

Certification and military qualification drastically lowering barriers to entry in global defence supply chains.

Benefit 4

Zero equity dilution, preserving full ownership and strategic control for Indian promoters.

Benefit 5

High-priority consideration for long-term Indian Armed Forces procurement contracts.

Benefit 6

Subsidized test-bed and flight test support at national military testing ranges.

Required Documents Checklist

Certificate of Incorporation, MoA / AoA, and Indian Shareholding Pattern Certificate (CA Certified).

DPIIT Recognition (for startups) / Udyam Registration Certificate (for MSMEs).

Audited Financial Statements for the last 3 financial years (or CA Net Worth Certificate).

Detailed Technical Proposal with design architecture, work breakdown structure, and milestone schedule.

Itemized Project Budget Breakdown with quotation for BOM and test equipment.

Promoter / Directors KYC & Security Clearance Undertakings.

Company Bank Account Details & Cancelled Cheque.

Growth Ledger

Growth with Technocrat

Five stages, one record of every startup we've moved forward

01
Registration
02
Certification
03
Funding
04
Marketing
05
Compliances

Served

0+

Startups nationwide

Save up to 100%

on eligible startup taxes

Satisfaction score

0%

rated by founders we've worked with

Client outcomes

0%

of Technocrat clients reach the interview stage with investors

Certified

0+

Startups registered

Startup India

Certificate

7days, on average

Total disbursed

₹0+ Cr

disbursed to

0+

businesses, and counting

0+

Businesses granted a 3-year tax holiday

Funding
Guide 2025

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Frequently Asked Questions

Find answers to the most common questions about our services. Contact us if you need more personalized support.

Start by understanding your business idea, target customers, market demand, competition, investment requirements, and business model. Technocrat Oasis can help you create a practical roadmap for starting your business.

The right structure depends on your business type, ownership, investment, liability, compliance needs, and future plans. Common options include proprietorship, partnership, LLP, and private limited company.

You should evaluate market demand, customers, competitors, pricing, startup costs, legal requirements, funding needs, and your expected business model before investing significantly.

A business idea should be tested against customer demand, market size, competition, pricing, costs, and potential profitability. A structured business feasibility assessment can help identify opportunities and risks.

A business consultant helps identify business problems and opportunities and provides practical recommendations related to strategy, growth, operations, marketing, sales, funding, technology, and other business areas.

You may benefit from consultancy when starting a business, entering a new market, facing growth problems, looking for funding, improving sales, reducing operational inefficiencies, or planning digital transformation.

Our consulting areas include business planning, startup support, MSME growth, funding guidance, registrations, sales and marketing, technology adoption, AI automation, business development, and strategic growth.

Growth can come from better customer acquisition, stronger sales processes, improved marketing, new products, partnerships, operational efficiency, technology, and automation. The right approach depends on the business.

Requirements vary by business type and industry. Depending on the business, registrations may include business registration, Udyam/MSME, GST, FSSAI, trademark, licences, and other applicable registrations.

Udyam/MSME registration can provide access to certain benefits, schemes, and opportunities available to eligible enterprises. Businesses should check the current rules and eligibility applicable to them.

Company registration establishes a particular legal business structure, while Udyam registration provides MSME recognition to eligible enterprises. They serve different purposes and are not substitutes for each other.

Documents depend on the type of registration. They may include identity and address documents, business details, photographs, contact information, ownership information, and other documents required by the relevant authority.

Eligible startups can apply for DPIIT recognition through the applicable Startup India process. Eligibility, documents, and benefits should be checked according to the latest official requirements.

India has various schemes related to credit, entrepreneurship, MSMEs, startups, technology, employment, and business development. The appropriate scheme depends on your business type, location, sector, and eligibility.

Funding options may include business loans, working capital facilities, government-backed schemes, bootstrapping, angel investment, venture capital, strategic investment, or other financing methods. The suitable option depends on your business stage and requirements.

A clear business plan, proper financial records, suitable documentation, healthy credit history, realistic funding requirements, and the ability to demonstrate repayment capacity can strengthen a loan application.

No. Loan approval depends on the lender's assessment, eligibility criteria, credit profile, financial position, documentation, business performance, and other factors. No consultant can legitimately guarantee approval.

MUDRA is a government-supported framework for financing eligible micro enterprises through participating lending institutions. Eligibility, loan categories, limits, and terms depend on the applicable rules and lender.

CGTMSE facilitates credit guarantee support for eligible loans through participating member lending institutions. It is intended to improve access to credit for eligible micro and small enterprises.

Prepare your business model, company information, financial statements where applicable, funding requirement, use of funds, market information, business projections, customer or revenue data, and other documents relevant to the funding route.

Start by defining your ideal customer, building a targeted prospect list, creating a strong value proposition, and using suitable channels such as referrals, LinkedIn, email, networking, partnerships, content, and direct outreach.

Possible reasons include poor lead quality, slow follow-up, unclear pricing, weak sales communication, lack of trust, poor qualification, or an ineffective sales process. Reviewing the complete sales funnel can identify the problem.

A combination of targeted outreach, referrals, search, content marketing, LinkedIn, partnerships, networking, industry databases, and automation can create a stronger B2B lead-generation system.

Define each stage of your sales funnel, qualify prospects properly, establish follow-up processes, track leads in a CRM, measure conversion rates, and continuously improve the stages where prospects are dropping off.

Yes, when it is connected to a clear business objective. SEO, content, social media, paid advertising, email, local search, and other channels can help businesses reach relevant customers.

Businesses can explore SEO, referrals, partnerships, B2B outreach, content marketing, networking, existing-customer upselling, organic social media, and other low-cost acquisition methods.

AI can support areas such as customer service, content creation, research, lead qualification, sales follow-ups, reporting, data analysis, internal knowledge management, and repetitive administrative tasks.

Repetitive and rule-based activities are often good candidates for automation. Examples include lead capture, notifications, CRM updates, follow-ups, reporting, data collection, document processing, and customer communication.

AI automation can handle repetitive tasks, connect different business tools, process information, trigger actions, and assist employees with routine work. This can save time and allow teams to focus on higher-value activities.

Yes. MSMEs can use automation to improve productivity without necessarily building large technology teams. The best automation opportunities depend on the company's existing processes and tools.

An AI agent is a software system that can use AI to understand information, make decisions within defined rules, and perform tasks using connected tools. Businesses can use agents for areas such as support, research, sales assistance, and workflow management.

Not always. Many businesses can begin with the tools they already use and connect them through suitable automation platforms, APIs, CRM systems, and AI services.

Technology can improve customer management, marketing, billing, inventory, communication, reporting, lead generation, operations, and internal workflows. Digital transformation should focus on practical business outcomes rather than technology alone.

Yes. Existing businesses can use consultancy to identify growth opportunities, operational problems, sales bottlenecks, technology gaps, new revenue opportunities, and areas where processes can be improved.

That is common. A business assessment can help identify the main challenges by looking at areas such as customers, sales, marketing, operations, finances, technology, and strategy.

It generally begins with understanding your business, goals, challenges, current processes, and available resources. Based on this assessment, suitable recommendations and an action plan can be developed.

Yes. Business challenges differ by industry, size, location, stage, customers, and resources. Recommendations should therefore be based on the specific situation rather than using the same solution for every business.

Our initial business consultancy is completely free. You can discuss your business idea, challenges, growth plans, funding requirements, or technology needs with us without any consultation fee. If any separate paid service is required, we will clearly explain it to you beforehand.

Useful information includes your business overview, current challenges, goals, products or services, target customers, existing sales and marketing activities, financial information where relevant, and any specific questions you want to discuss.

Share your business requirement, challenge, or goal with us. We can understand your situation and help identify the appropriate consulting, technology, funding, marketing, or business-growth support for your needs.
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