Startups: Companies that are in their initial stages of business and typically developing a business model and seeking financing.
Eligibility is evaluated at the company level based on the current legal entity and its relationship to Azure and Microsoft for Startups, not purely on the product history.
Based on the documented criteria and program behavior:
- How eligibility is assessed for the new entity
Microsoft for Startups eligibility is defined around the startup company:
- Must develop a software-based product or service owned by the company.
- Must be privately held and for-profit.
- Must be headquartered in a country where Azure services are available.
- Must not have received more than $350,000 in lifetime free Azure credits.
- Must not have raised Series C funding or later.
- Must not be an educational institution, government organization, consultancy, agency, or involved in cryptocurrency mining.
These criteria apply to the current legal entity applying to the program, not just to the product itself.
- Impact of prior participation by an earlier entity
The documentation specifies that a company is ineligible if it has already received more than $350,000 in lifetime free Azure credits. It does not state that any prior participation by a different legal entity using a similar or earlier version of the product automatically disqualifies a newly incorporated company.
In practice, the key factors are:
- Whether the new company itself has previously received Microsoft for Startups credits.
- Whether the combined usage across entities would exceed the lifetime free Azure credit threshold.
If the earlier entity used only a small portion of credits and the new entity is a distinct, privately held company that otherwise meets the criteria, the new company can apply and will be evaluated on its own eligibility and credit history.
- Typical documentation to establish eligibility
From the eligibility and application guidance, the following are commonly relevant:
- Proof that the company develops and owns the software-based product or service (IP ownership within the new entity).
- Confirmation that the company is privately held and for-profit.
- Headquarters location in a country where Azure services are available.
- Funding stage (pre-seed through Series B; not Series C or later).
- Confirmation that the company has not received more than $350,000 in lifetime free Azure credits.
Incorporation documents, domain verification, and any materials that clearly tie the product and IP to the new legal entity help demonstrate compliance with these requirements.
- Recommended process to apply transparently and correctly
- Review eligibility: Compare the new company against the Microsoft for Startups eligibility list (software-based product, privately held, funding stage, geography, credit history, and exclusions such as cryptocurrency mining).
- Use a net-new Microsoft account for application: The application guidance specifies that MSAs used for the process must be net new and have no prior Azure subscriptions attached.
- Apply through the Microsoft for Startups website:
- Go to https://startups.microsoft.com
- Select Get started
- Complete and submit the application for the new company.
- Disclose prior participation in the application narrative where appropriate: Clearly explain that:
- An earlier entity previously participated and used limited credits.
- The product has since been transferred or is now owned and operated by the new incorporated company.
- The new company is the current IP owner and Azure customer.
- After submission, use the Microsoft for Startups portal: Once the application is submitted, manage credits, track usage, and maintain accurate company information in the portal.
If the application is declined, the FAQ notes that it is possible to reapply after addressing feedback, and Program Support can clarify reapplication criteria (though they cannot override eligibility decisions).
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