Startup India Registration
Eligible Companies, LLPs, and Partnership firms may apply for Startup India Registration and get recognized as Startups by DPIIT, in order to access a host of benefits such as tax exemptions, easier compliance, IPR fast-tracking, access to funds of funds, etc.
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Startup India Registration
The Startup India program is an initiative launched by the Government of India on 16 January 2016 to support people who want to start their own business. The main objective of the Startup India Program is to build a strong ecosystem for nurturing innovation and building Startups in the country that would drive sustainable economic growth and generate large-scale employment opportunities. Under this program, the Government of India provides benefits to all those people who have an idea in their mind and want to implement the same.
The initiative was taken by The Department for Promotion of Industry and Internal Trade (DPIIT). The success of the Startup India Initiative will eventually make India economically strong and one of the most powerful countries in the world. Under this initiative, Startups are entitled to a number of benefits such as tax incentives including capital gains tax exemption, Governments assistance in funding, prioritisation of Startups in public procurement, entitlement to an 80% rebate in patent registration fees as well as a 50% rebate in trademark filing, faster exit norms etc. The benefits above included a provision for Startups to avail assistance of a self-certification compliance system with respect to labour and environmental laws and exemption from any inspections of their place of business, intends a common platform for stakeholders to interact, facilitation for funding support, and partnership with academia and private sector entities.
A Startup meeting the eligibility criteria and recognised by Department for Promotion of Industry and Internal Trade (DPIIT) which was previously known as the Department of Industrial Policy & Promotion (DIPP) which comes under the Ministry of Commerce & Industry can avail various benefits under Startup India program and other initiatives of Government.
Eligibility for Startup India Registration
- Type of Business Organisation
The entity should be incorporated either as Private Limited under the Companies Act, 2013 or Limited Liability Partnership under Limited Liability Partnership Act, 2008 or Partnership Firm under Partnership Act, 1932
- Age of Business
An entity shall be considered as a startup up to 10 years from the date of its incorporation.
- Turnover of Business
The startup should not have an annual turnover exceeding Rs. 100 crores for any of the financial years since its Incorporation
- Nature of Business Activity
The startup should work towards innovation, development or improvement of products or processes or services, or if it is a scalable business model with a high potential of employment generation or wealth creation.
- Original Entity
An entity formed by splitting up or reconstruction of an existing business shall not be considered a ‘Startup’.
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