Every entrepreneur feels like, working with a small kid while working on their dream project i.e. their startup idea. Every entrepreneur wants to get all the facilities in order to grow their startup from a grounded level to a full-fledged company. During this period of growing a startup to a company, every govt. is providing all the needed facilities to a startup required by them.
Indian govt. has also started the initiative to support the startups and provide them all the services and the benefits which are required by them. The govt. has given the name i.e. 'Startup India Initiative'. Now, let us see the complete story behind this initiative under the topic- 19 Startup Benefits by Govt. of India for Every Aspiring Entrepreneur.
Startup India Benefits Program
Although, Startup India was launched by the Government of India on 16th January 2016. However, the aim of the program was to provide Startup India Benefits and celebrate the entrepreneurship spirit of youths in India. Moreover, the rate of office setups in India is at a different level, simply because the new generation is restless and also they’re socially active and tech-savvy.
Likewise, Entrepreneurship in India is exciting and challenging as it provides an amazing experience. This current generation doesn’t want to struggle in finding jobs and also they can't sit on their butts. Even though, college students should be a little less enamored with startups than they currently are. Indian environment has become more favorable and increasingly adaptable for college students to the advantage of. Additionally, the startup culture has become the newest prestige class in the socio-economic echelon.
Startup India Benefits
Uniquely, the following should be the action plan for a startup office and should comply with these to take Startup India Benefits in India.
It’s an action point because of its reduction in regulatory liabilities. This will allow the startups to get self-certify through the Startup mobile app easily, under a single roof without any problem.
2. Startup India Hub
It helps the entrepreneur to exchange knowledge and access financial aid to kickstart their entrepreneurial journey. This is one of the important benefits which every startup should get, as the economic factor is the one that helps a startup to revolve and move easily without any problem.
3. Registration through an app
This includes an online portal, in the shape of a mobile application, which was launched to help startup foundations easily register. Earlier, the registration process takes a long time. This process used to be one of the hectic processes and very time-consuming also but now, the registration app has made the whole task very easy and that too without consuming too much of your precious time.
4. Patent protection
This system will help to promote awareness and adoption of the Intellectual Property Right (IPR) by the startup offices to aspiring entrepreneurs. This right helps in giving protection or security to the entrepreneur as the dream project is now registered in the name of a single entity.
5. Rs.10,000 Crore Startup Fund
The Life Insurance Corporation of India plays a major role in developing this corpus to give them great startup India benefits. This helps in giving a cover to the startup and to the entrepreneur by giving the benefit of an amount i.e. about Rs.10,000 crore fund, depending upon the category and the future growth of a startup.
6. National Credit Guarantee Trust Company
It’s a national credit guarantee trust company with a budget of Rs 500 crore per year for the next four years to support the flow of funds to startups which is one of the major programs by startup India to benefit entrepreneurs.
7. No capital gain’s tax
The same policy is being implemented on primary-level investment in startups. This gives an edge to a startup over getting the maximum amount of fundings from their investors, without paying a single penny in the form of tax due to value addition to the startup.
8. No income tax for three years
The entrepreneur shouldn’t pay income tax for three years, which will make the startups grow in the future. This benefit helps a startup by giving the relaxation in the taxes. This helps a startup in minimizing the capital flow towards the govt. till a significant growth of a startup.
9. Tax exemption for the investment of higher value
Investment of higher value than the market price should be exempted from paying tax. This is helping a startup to get a funding of bigger amount and that too without any problem as they don't have to pay tax for it.
10. Building entrepreneurs
There should be an annual incubator grand challenge to develop world-class incubators. This is just helping in increasing the number of entrepreneurs and successful startups and their businesses in the country.
11. At all innovation missions
It is launched to boost innovation and encourage talented youth. This innovation will help in creating new ideas related to it and will create new jobs and other beneficial services for the citizens of the country.
12. Setting up incubators
There should be innovation centers at national institutes. The govt. is giving all the possible efforts in creating the incubator for the entrepreneurs which will help an entrepreneur to get all the facilities under a single roof and that too with a very low or minimized cost.
13. Research parks
The government would set up an institute of technology on campuses with an investment of Rs.100 crore each. These research parks will be somewhat working as incubators only, which will provide all the premium services and facilities which are required by any startup.
14. Entrepreneurship in Biotechnology
The government will establish biotechnology offices in the country.
15. Dedicated Programmes in Schools
The government will introduce innovation-related programs for students in school. For this, the govt. is now introducing the subject related to the startup and business. This will help in growing the mindset of the students towards the startup and so students will be going to bring some of the innovative ideas into existence with their hard work.
16. Legal Support
Legal Support will be provided for new start-up facilities and other official documents will be given. This could be very beneficial for a startup in its initial stages.
A rebate of up to 80% will be provided. 80% of any tax is a huge amount that a startup can invest in its growth. This rebate is there when any startup is paying a huge amount of taxes and so, such startups are given the relaxation in the form of an 80 % of rebate.
18. Easy rules
Public procurement and rules of trading have been simplified for the startups. The govt. has simplified all the rules and regulations of any startup which can help a startup in easy business during its initial period.
19. Faster exits
If they fail again, the government will provide an easy way out. This will help the entrepreneur to get an easy exit without any problem. So this makes an easy entry and easy exit for an entrepreneur for his or her startup.
Who is eligible for startup India?
Any company having an annual turnover not exceeding Rs. 100 crore for any of the financial years since incorporation/registration.
Why do startups fail in India?
Lack of innovation.
What is the best startup business in India?
Anything which you believe you can excel in.
How can I start a startup in India?
Check the feasibility of your idea in the market, do market research, keep an eye on your competitors, have a business plan ready, look for funds, and register in Startup India Program.
Do startup companies offer benefits?
Yes, they do provide benefits like work from home, letter of recommendation, incentives, other perks like free meals and lunch.
What are the main benefits of working in a startup company?
Great experience, corporate exposure, skill development, perks, etc.
Must have tools for startups - Recommended by StartupTalky
Subscribe to StartupTalky
Get the latest insights delivered to you right in your inbox