Hi Avinashkr29,
If what you stated is true - that 80% of the total class receives a Scholarship - then it probably should NOT matter when you apply (assuming that you get accepted, chances seem pretty good that you're going to receive a Scholarship). As with any Scholarship situation, the specific details matter a great deal - so you should make sure that you understand how this School handles scholarships. For example if the School only gives out Scholarships to Round 1 applicants (and accepts most of the Round 1 applicants), then applying for Round 1 would make sense. I don't think that that is the situation here though. If your overall Score Goal is a 700+, then you should be planning your studies around THAT Goal (and as an aside, you seem far more interested in applying to a DIFFERENT School from the one that you were initially referring to, so choosing to take the GMAT twice - once soon and once later on - seems like an unnecessary expense).
Before I can offer you any additional advice for your studies, it would help if you could provide a bit more information on how you've been studying and your goals:
Studies:
1) How long have you studied? How many hours do you typically study each week?
2) What study materials have you used so far?
3) On what dates did you take EACH of your CATs/mocks and how did you score on EACH (including the Quant and Verbal Scaled Scores for EACH)?
Goals:
4) What Schools are you planning to apply to?
5) What are the exact application deadlines that you are facing?
GMAT assassins aren't born, they're made,
Rich