India is rapidly becoming a hub for entrepreneurs and start-ups. The government of India has taken several initiatives to encourage start-ups and provide them with the necessary support and resources to succeed. One such initiative is the Start-up India Scheme, which was launched in January 2016. It is a flagship initiative of the Government of India that aims to provide financial and technical assistance to start-ups in the country. The scheme is designed to foster innovation, create jobs, and support economic growth in the country.
Today, the Indian government is very supportive of startups! It is the primary reason that an increasing number of Indians are entering the business world. Government’s Startup India Initiative offers a variety of incentives to encourage aspiring entrepreneurs. It will also promote the more prevalent entrepreneurial culture in India.In this blog, we will discuss how to register a business in the Start-up India Scheme.
Registering your business under the Start-up India Scheme can provide you with several benefits that can help your business grow and succeed. By following the steps outlined in this blog, you can easily register your business under the scheme and avail its benefits. If you have a business idea that is innovative and scalable, registering your business under the Start-up India Scheme can be a great way to get the support and resources you need to take your idea to the next level.
The first step to registering your business under the Start-up India Scheme is to check your eligibility. The scheme is open to all Indian citizens who are above 18 years of age and have a business idea that is innovative and scalable. To be eligible for the scheme, your business idea should be based on technology or intellectual property.
You must first incorporate your business by following all the normal procedures for registration of any business like submitting the registration application and obtaining the Certificate of Incorporation/Partnership registration. Company incorporation offers many benefits. It shields your business from personal liability and protects from other risks and losses, providing greater stability, generating more customer attraction and providing a legal status to the company.
You should be clear about the type of your startup before choosing an appropriate constitution. It is also necessary to be aware of the technicalities, benefits, pros & cons of each type prior to registering to incorporate your entity under a specific business type.
You should thoroughly check the following important documents related to new company registration before submitting:
➭ DIN of all those directors of a proposed company.
➭ DSC – Digital Signature Certificate
➭ Original copy the of formal letter issued by ROC regarding availability of Company
➭ Form-1 for incorporation of a company.
➭ Form-18 for situation or address of the proposed company.
➭ Form-32 for particulars of proposed directors, managers and secretary.
After submitting the major forms aforementioned, once the application has been approved by MCA, you will receive a confirmation email regarding the application for incorporation.
Once you have registered your business, you can register it under the Start-up India Scheme. To register your business, you need to follow these steps:
After submitting your application, you will receive a Certificate of Recognition from the Department of Industrial Policy and Promotion (DIPP). The Certificate of Recognition is proof that your business is registered under the Start-up India Scheme.
As per the StartUp India initiative, your company must meet the following criteria to be considered eligible for DPIIT startup recognition.
→ Company Age (Period of existence and operations) should not be exceeding 10 years from the Date of Incorporation
→ Company must be incorporated as a Private Limited Company, a Registered Partnership Firm or a Limited Liability Partnership. Although, OPCs are also eligible to avail benefits under the Startup India initiative.
→ The annual Turnover should not exceed Rs. 100 crore for any of the financial years since its Incorporation
→ Entity should not have been formed by splitting up or reconstructing an already existing business
Once you have obtained a Certificate of Recognition, you can avail the benefits of the Start-up India Scheme. The benefits include:
In addition to the benefits mentioned above, registering your business under the Start-up India Scheme can also help you build credibility and attract investors. Investors are more likely to invest in a business that has been recognized by the government and is eligible for tax benefits and other incentives.
Moreover, the Start-up India Scheme also provides networking opportunities through various events and programs organized by the government. These events and programs bring together entrepreneurs, investors, and industry experts, providing a platform to learn, collaborate, and grow.
The Start-up India Scheme is a great initiative by the government to support and encourage entrepreneurship in the country. By registering your business under the scheme, you can avail various benefits and resources to help you grow and succeed. If you have a business idea that you believe has the potential to make an impact, take the first step and register your business under the Start-up India Scheme today.
However, it is important to note that registering your business under the Start-up India Scheme is just the first step. Building a successful business requires hard work, dedication, and perseverance. It is important to have a solid business plan, a clear vision, and a strong team to execute your idea into reality.