It is very evident that the Startups in India are becoming very popular. The government running under the leadership of PM Narendra Modi has begun with various goals to promote and develop Startup India. It intends to build a strong connecting networks that is helpful for the growth of startups. It basically aims to enrich and enlighten the startups through technology and innovation.
This startups mainly helps for the growth of Indian economy. Under this startup India many entrepreneurs who is establishing new startups has witnessed and experienced many benefits under this. This blogs provide us a complete guide regarding the benefits of Startup India Registration.
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What is the eligibility for Startup India Registration?
Under the startup scheme plan, certian eligibility criteria for startup Registration should be fulfilled.
- In order to get eligible for startup India, one must be incorporated or registered in India till 10 years from its date of incorporation.
- It should be a Private Limited Company (or) that company must have Limited Liability Partnership (LLP) or it should be registered as partnership firm.
- It should have an annual turnover which is not exceeding INR 100 crore since the date of incorporation.
- In order to get registered that startup should work towards innovation and improvement of products or services. If it is a scalable business which has more employees and generates more wealth is eligible to get registered.
When it is not called as Startup?
- Completion of ten years of the business from the date of its incorporation or registration,
- Which has achieved his annual turnover, which exceeds INR 100 crore.
What are the benefits of Startup India Registration?
The benefits of Startup India Registration under startup scheme in India is listed below;
- Simple process
- Registering the startup India is a quite easy process. The government of India (GOI) launched an app and also a website for registration. This made quite easy to set up a startup by filling up the form and upload the required documents for Startup Registration in online.
- Low cost service
- The GOI who is behind this Startup India Scheme gives services at very low cost. It also provides lists of facilitators of patents and trademarks which helps in setting up a startup.
- Their motive is to provide good quality Intellectual Property Right (IPR) Services which includes fast examination of patents at very lower fees.
- It is well clear that the startup will bear only the statutory fees, the other fee like facilitator fees is carried out by government. 80% of cost is reduced for filing patents by the government.
- Easy access to Funds
- The government has set a huge fund to help and encourage the entrepreneurs to set up a Startup Company. It also gives guarantee to the banks or other financial institutions for providing venture capital.
- Tax holiday for 3 years
- It is one of the great benefit for the startups. It is completely exempted from the income tax for 3 years if they have the certificate from Inter Ministerial Board.
- Apply for tenders
- Startups have the opportunity to apply for government tenders. The companies that are applying for government tenders are exempted from the prior experience or prior turnover.
- No time consuming compliances
- As it is well clear that government gives services at very low cost for startups likewise compliances under the Startup India is very easy and it doesn’t consume much for compliance. It can be easily done through the Startup India app.
- Tax saving for investors
- The Startup India scheme helps the startups to attract more investors and also the one who is investing their capital gains in the venture fund which was setup by the GOI will be getting exemption from capital gains.
- Choose your investor
- One of the great advantage to the startup is that, they have the opportunity and liberty to select or choose their investor.
- Easy exit
- As it is quite easy for startup to get registered likewise if a startup wants to windup the company, it can apply for it and within 90 days from the date of application it can close the startup.
- Meet other entrepreneurs
- The government has provided a great opportunity to the startups to engage with various stakeholders and entrepreneurs so that it will give them the various networks nationally as well as internationally.
Conclusion
In conclusion, the thriving ecosystem fostered by the Startup India initiative under the leadership of PM Narendra Modi has significantly propelled the growth of startups in the country. The benefits of Startup India Registration, including a simplified process, low-cost services, and access to funds, not only encourage innovation but also contribute to the economic advancement of India.
By providing tax incentives, facilitating easy exit options, and promoting networking opportunities, the Startup India initiative stands as a catalyst for entrepreneurial success, paving the way for a dynamic and flourishing startup landscape.
FAQs
1. What is Startup India?
Startup India is a GOI programme started in January 2016 to encourage and support entrepreneurship in the country.
Its goal is to encourage startups and provide them with numerous perks and incentives in order to develop innovation, generate jobs, and drive long term economic growth.
2. What are the key benefits of the Startup India initiative?
The Startup India programme in a variety of ways including streamlined compliance, tax advantages, financing assistance, opportunities for innovation and research, intellectual property protection etc.
3. How does Startup India promote job creation?
Startup India encourages employment development by supporting the formation of new businesses. As these firms expand, they recruit staff, increasing job possibilities across the economy. The initiative’s emphasis on innovation and technology also leads to the creation of specialised professions, which expands employment options.
4. Can you explain the impact of Startup India on innovation in India?
Startup India has considerably increased Indian innovation by giving a forum for creative and ingenious minds to thrive. The project provides financial assistance, coaching, and access to a large network of professionals, creating an atmosphere conducive to creativity. Many startups concentrate on cutting edge technologies, resulting in breakthroughs in industries like as healthcare, agriculture, and information technology, and thereby contributing to India’s overall technical success.
5. How does Startup India contribute to economic growth?
Startup India promotes innovation, and creates job opportunities, contribute to economic growth. Successful startups create economic activity, attract investments, and add to the GDP of the country. Startups can lead to the establishment of new sectors and market segments, pushing economic growth even further.
6. What support does Startup India provide to women entrepreneurs?
Startup India offers unique assistance and incentives to female entrepreneurs, recognising the critical role they play in the country’s economic development.
• Women Centric Programmes: Tailored programmes and activities intended expressly to address the issues that women entrepreneurs confront.
• Financial help: Access to different programmes and plans that offer financial help to women led businesses.
• Skill Development: Training and skill development programmes to help women become more entrepreneurial.
• Networking Opportunities: Platforms that link female entrepreneurs with mentors, investors, and other business leaders.
7. How has Startup India improved the entrepreneurial ecosystem in India?
Startup India has considerably enhanced India’s entrepreneurial ecosystem by providing a welcoming atmosphere for entrepreneurs to grow.
It has promoted cooperation between startups, businesses, and the government by streamlining regulatory procedures, providing access to finance and mentorship, encouraging innovation, and facilitating collaboration between startups, industries, and the government.
