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MSME Competitiveness & Innovation

MSME Champions Scheme – ZED, Lean & Innovation Support for MSMEs

Ministry of Micro, Small and Medium Enterprises

MSME Champions is an umbrella framework of the Ministry of MSME focused on improving quality, productivity, sustainability and innovation through MSME Sustainable (ZED), MSME Competitive (Lean) and MSME Innovative components covering Incubation, Design and Intellectual Property Rights.

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MSME Champions Scheme – ZED, Lean & Innovation Support for MSMEs Infographic
Eligibility Assessment

Who Can Apply?

Verified criteria and borrower eligibility guidelines set by the Government of India.

Udyam-Registered MSMEs

Eligible Micro, Small and Medium Enterprises with valid Udyam Registration can access applicable components of the MSME Champions framework, subject to component-specific eligibility conditions.

ZED Applicants

Udyam-registered MSMEs can participate in MSME Sustainable ZED Certification and access applicable certification, handholding, testing and technology-upgradation support.

Lean Manufacturing MSMEs

The current MSME Competitive Lean implementation primarily supports Udyam-registered manufacturing MSMEs seeking productivity, quality and process improvements.

Design Projects

Eligible manufacturing MSMEs with valid Udyam Registration can seek professional design intervention for new product development, improvement and value addition.

IPR Applicants

Udyam-registered MSMEs can seek eligible reimbursement for domestic and foreign patents, trademarks, geographical indications and design registrations.

Innovators & Incubatees

Entrepreneurs, students and other innovators can develop qualifying innovative ideas through approved Host Institutes and Business Incubators under the Incubation component.

Program Highlights

Key Features

Core benefits, guarantees, and subsidy structures under this flagship program.

MSME Sustainable (ZED)

Supports Bronze, Silver and Gold ZED Certification. Certification subsidy is 80% for Micro, 60% for Small and 50% for Medium Enterprises, while eligible women-owned MSMEs can receive 100% subsidy.

MSME Competitive (Lean)

Provides Lean implementation support using tools such as 5S, Kaizen, Visual Control, Poka-Yoke and process optimization. Intermediate and Advanced levels receive 90% subsidy on eligible consultant implementation costs.

Incubation Support up to ₹15 Lakh

Financial assistance of up to ₹15 Lakh per approved idea is provided to the Host Institute for developing and nurturing innovative ideas under the Incubation component.

Design Assistance up to ₹40 Lakh

Government support for approved Design Projects is 75% of project cost for Micro Enterprises and 60% for Small and Medium Enterprises, subject to a maximum assistance of ₹40 Lakh.

IPR Reimbursement

Eligible reimbursement ceilings include up to ₹5 Lakh for a foreign patent, ₹1 Lakh for a domestic patent, ₹2 Lakh for GI registration, ₹15,000 for design registration and ₹10,000 for trademark registration.

ZED Technology & Handholding Support

Eligible ZED-certified MSMEs can receive up to ₹2 Lakh for approved handholding and consultancy and up to ₹3 Lakh for eligible Zero Effect technology upgradation.

Advantages & Subsidies

Scheme Benefits

Eligible women-owned MSMEs can receive up to 100% subsidy on applicable ZED Certification costs.
Micro Enterprises receive 80%, Small Enterprises 60% and Medium Enterprises 50% subsidy on applicable ZED Certification costs.
MSME Competitive Lean provides 90% subsidy on eligible consultant implementation costs at Intermediate and Advanced levels.
Approved innovative ideas can receive incubation assistance of up to ₹15 Lakh per idea through an eligible Host Institute.
Eligible Design Projects can receive Government assistance up to ₹40 Lakh for professional design intervention and prototype or product development.
Eligible MSMEs can claim specified reimbursement for patents, trademarks, geographical indications and design registrations.
The programmes help MSMEs improve productivity, quality, resource efficiency, innovation capability and domestic and global competitiveness.
Step-by-Step Guide

Application Process

Step 01

Select the Relevant Component

Choose MSME Sustainable ZED, MSME Competitive Lean or an MSME Innovative vertical such as Incubation, Design or IPR based on the enterprise requirement.

Step 02

Verify Udyam & Eligibility

Confirm valid Udyam Registration and review the specific eligibility, activity and financial assistance conditions of the selected component.

Step 03

Apply on Component Portal

Submit the application through the respective official ZED, Lean or MSME Innovative portal with the required enterprise, project and supporting information.

Step 04

Assessment / Evaluation

The application, project or enterprise is assessed under the process applicable to the selected component, which may include document verification, expert evaluation, consultancy or onsite assessment.

Step 05

Receive Applicable Support

After successful approval and fulfilment of component-specific conditions, the MSME can access applicable certification subsidy, consultancy support, grant assistance or reimbursement.

Checklist

Documents Required

Keep the following paperwork ready for instant verification and fast processing.

Valid Udyam Registration Certificate / Udyam Registration Number
PAN and applicable enterprise KYC documents
Business Constitution / Registration Documents, where applicable
Project Proposal / Concept Note for Design or Incubation support
Technical and Product Details, where applicable
Financial Statements or business information as required by the selected component
Patent / Trademark / GI / Design filing and registration documents for IPR reimbursement
Design Consultant / Project Cost Details for Design Projects
Process, Production and Quality Records for Lean or ZED applications
Additional documents prescribed by the respective component portal
Got Questions?

Frequently Asked Questions

MSME Champions is a Ministry of MSME umbrella initiative designed to improve competitiveness, sustainability and innovation. Its principal components are MSME Sustainable (ZED), MSME Competitive (Lean) and MSME Innovative, covering Incubation, Design and IPR.
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Explore ZED, Lean & MSME Innovative Support for Your Business

Get assistance with eligibility assessment, documentation, project proposals and applications under applicable MSME Champions components.

MSME Champions Scheme: ZED, Lean & Innovation | Growthora