Startup Originals Team
Drone technology startup Dreamfly Innovations has secured ₹3 crore in debt funding from the Small Industries Development Bank of India (SIDBI) to support business expansion, strengthen drone battery manufacturing, and fund day-to-day operations. The funding marks an important milestone for the company as it scales its presence in India’s fast-growing drone ecosystem.
Funding to Support Expansion Plans
The ₹3 crore debt facility has been extended by Small Industries Development Bank of India (SIDBI), a key government-backed financial institution focused on supporting micro, small, and medium enterprises. The funding will provide Dreamfly Innovations with working capital and growth support without equity dilution.
According to the company, the capital will be used to stabilise cash flows, meet operational requirements, and support expansion initiatives as demand for drone solutions continues to rise across multiple sectors.
Focus on Drone Battery Manufacturing
A significant portion of the funding will be directed toward drone battery manufacturing, a critical component in drone performance, safety, and endurance. By investing in battery development and assembly, Dreamfly Innovations aims to improve reliability, reduce dependence on imports, and gain better control over its supply chain.
Industry experts note that battery technology remains one of the biggest cost and performance drivers in the drone industry. In-house capabilities can help startups optimise flight time, improve safety standards, and offer customised solutions for different use cases.
Strengthening Daily Operations
In addition to manufacturing investments, the funding will support Dreamfly Innovations’ daily operational needs, including procurement, staffing, compliance, and logistics. As the company scales its deployments and customer engagements, maintaining smooth operations has become increasingly important.
The debt funding structure allows the startup to fund these requirements while retaining ownership and long-term strategic control, a model increasingly preferred by growth-stage hardware and deep-tech startups.
About Dreamfly Innovations
Dreamfly Innovations operates in India’s emerging drone technology space, developing unmanned aerial solutions for applications such as surveying, inspection, mapping, and industrial use cases. The company has been focusing on building indigenous capabilities in line with India’s push for self-reliance in advanced technologies.
With government support for drones increasing through policy reforms, incentives, and demand from defence and commercial sectors, startups like Dreamfly are finding new opportunities to scale.
SIDBI’s Role in Supporting Deep-Tech Startups
SIDBI’s backing reflects its broader role in supporting innovation-led MSMEs and technology startups. In recent years, the institution has expanded its focus to include sectors such as drones, clean energy, manufacturing technology, and electronics.
By providing debt capital, SIDBI helps startups access growth funding without immediate pressure to raise equity, particularly important for hardware-focused companies with longer development cycles.
Growing Momentum in India’s Drone Sector
India’s drone industry has witnessed rapid growth following regulatory reforms, increased government procurement, and rising adoption across agriculture, infrastructure, defence, and logistics. Domestic startups are increasingly focusing on building end-to-end capabilities, from hardware and batteries to software and analytics.
Dreamfly Innovations’ latest funding comes amid this broader momentum, as companies work to scale manufacturing, improve technology depth, and meet rising market demand.
Looking Ahead
With the ₹3 crore SIDBI funding in place, Dreamfly Innovations plans to strengthen its operational foundation while expanding its technology capabilities. The company expects investments in battery manufacturing and operations to support more reliable deployments and long-term growth.
As India continues to promote indigenous drone manufacturing and usage, access to structured financing from institutions like SIDBI is expected to play a key role in shaping the next phase of the sector’s expansion.
