One of the biggest myth amids wannabe innovators is the lack of seed funding in India. I was a true follower of this myth untill I got funding from TIFAC for my idea. The (funding)program is running for several years now from mid 1990s. It is successfully reviewed by the (National)planning commision, and the program is now extended/expanded. Now the funding quantum(per innovation) is expanded and the total allocation(whole program) is also enlarged. So there is more funding available. Unlike private seed financing this goes though a government evolved process. It is all done by an expert committee, there is a bit of process and steps involved due to it, yet it is faster.
The particular program I am talking about is for barefoot individual innovators/inventors. It is called Technology Entrepreuner Promotion Program - called TePP for short. It is administred by Department of Scientific and Industrial Research(DSIR) jointly with Technology Information Forecasting and Assessment Council(TIFAC) of Department of Science and Technology(DST). In the expanded regime, funding up to Rs 10 lakhs is available to seed innovations. For that the idea must be new, innovative and useful. The scope of the funding is limited to proving the concept- possibly through a working prototype.
If you have an idea, and you want to develop a prototype to prove its viablity, here is your chance. Just apply for the funding. And rock on. It might take up to 6-8 months to go thoough the clarification, proposal refinement process. So be ready for that.
The funding program is going through a rapid growth. Proposals are sought from NGO and other frontal organizations involved in the innovation ecosystem to give a helping hand. Watch out for such announcements and make your proposals.
More than the funding, it takes you thoough a process. And in the end it offers a lot of credibility to your innovation.
Example of a funded Idea: Devesh's Car Jack on the Go Soon Mahindra & Mahindras vehicles will come with these factory fitted!
Atta boy RajAT GupTA has a post on TePP
DSIR's page on TePP Program.