National Skill Development Corporation
The NSDC (National Skill Development Corporation) provides skill development funding either as loans or equity, and supports financial incentives to select private sector initiatives to improve financial viability through tax breaks etc. NSDC’s financing initiatives provide funding through:
* Loans
* Equity
* Grants
Evaluating Proposals: The NSDC will adopt a phased and detailed due-diligence process to select proposals for funding to provide funds for vocational training.
* Detailed evaluation will be done across six sets of criteria:
o> Employer view of demand for the specific skills
o> Alignment with the NSDC's mission
o> Robustness of overall plan and operating model
o> Ability to leverage partnerships
o> Ability to leverage financial requirements
o> Ability to leverage management capability
* The NSDC will consider supporting a pilot and then scale up for proposals from organizations with no prior experience in this area
* On the financials, the NSDC will be more flexible upfront in terms of percentage of total project funded by it, channels of funding i.e. grant or loan/equity and cost per student, and ensure agreements are structured to ensure these parameters become stringent over time.
* Further, the NSDC will fund various stages of the project clearly linked to attainment of mutually agreed outcomes/milestones.
How to funding from NSDC for skill development initiatives?
NSDC calls for proposals in select areas (sectors/ utilities) from time to time. To receive funding, an organisation needs to submit a proposal in response to the call for a proposal. Proposals are invited from private players, industry bodies, entrepreneurs and NGOs in a prescribed template.
Once the organisation receives a proposal, it will be evaluated thoroughly. It will be accepted for funding based on the organisation’s evaluation and subject to clearance by the NSDC Board. After the funding is granted, the NSDC will continuously monitor the use of funds, the progress .
What is the proposal evaluation process?
On receiving a proposal, the NSDC will adopt a phased and detailed due-diligence process. Detailed evaluation will be done across pre-defined sets of criteria. To know more about the process, click here.
Among other things, proposals are evaluated based on the following guidelines:
Among other things, proposals are evaluated based on the following guidelines:
* Sustainability of the business model in the medium to long term
* Partnerships with prospective employers, state governments and financial institutions
What are the criteria for consideration of proposals?
* Partnerships with prospective employers, state governments and financial institutions
What are the criteria for consideration of proposals?
The NSDC seeks proposals that target scarce skill sets or student populations with huge unmet needs and focuses on large-scale, high-quality training institutes.
What entities are eligible for funding? The following is an indicative list of entities that are eligible for funding:
- Industry
- Training & Skill Development organisations
- Non Governmental Organisations (NGOs)
- Business Associations
- Social Entrepreneurs
Technology and Innovation
NSDC is keen on promoting development of innovative models in the skill development space. Hence, proposals that include a pioneering business plan and can have a “multiplier” effect in skill development and/or engage unique technology to transfer skill development to trainees are actively sought. E.g. simulation technology pedagogy.of the project and impact on skill development.
