START-UP INDIA

Start-Up India is an initiative taken by the Central Government to provide the Start-Up Loans, to promote entrepreneurs, to generate self-employment, to reduce the unemployment data in India. On 16th of January 2016, Arun Jaitley; the former Finance Minister of India launched the scheme. But before that on 15th of August 2015, Hon’ble Prime Minister Narendra Modi tried to persuade the citizens of the country about the Start-Up India initiative and the scheme has been launched under the Ministry of Commerce and Industry, Department of Promotion of Industry and Internal Trade. The main objective to bring this scheme was to restrict the Government Policies of License Raj, Environmental Clearances, Land Permission etc.. The programme aims to help in the growth of Start-Up and mobilise Entrepreneurship in the country, to promote Entrepreneurial spirit among people, to increase the economic state of the country. The initiative was set up by the Ministry of Human Resource Development and Department of Science and Technology to build 75 hubs in NITs, IITs, IISERs and NIPERs.

The state government of different states in association with this scheme has developed many centres and agencies. List of some of them are :

1. Telangana State government built the Largest Innovation Centre (T-Hub) of the country.  
2. Kerala state government made Start-up Nodal Agency and start-up mission supporting the Private-Public Partnerships (PPP), Human Capitalisation Development Funding, Governance, Infrastructure etc.
3. In Andhra Pradesh, Research and Development Industry has been built covering 17000 square foot for the entrepreneurs in association with the scheme.
4. Largest Business Innovation Centre named “Bhamashah Techno Hub” of the country has been developed in Rajasthan.

The eligibility criteria for registration in the scheme

1. The company should be registered within five years or less, and for biotech companies, the limit is ten years.
2. The Annual Turnover of the company must be less than 25 crores.
3. Should have obtained the approval from The Department for Promotion of Industry and Internal Trade for registering in the scheme.
4. The objective of the company must be an innovation of product or services, development of the existing products for the economic betterment should add value for the customers and commercialisation of goods and services.
5. Only Private Limited Company, Partnership Firm, Limited Liability Partnerships are granted permission to register themselves under the scheme.
6. Inter-Ministerial Board Certification is a must requirement under the scheme.
7. The company should not be the result of the restructuring of business already in existence.

Benefits of/while registering a Company

The company is exempted from the pay of

1. Income Tax for the first three financial years after incorporating itself in the scheme.
2. The government has mentioned the 2500 crore fund for start-up firms.
3. The Tax on Capital Gain is also exempted.
4. There is an 80% reduction given in Patent Costs.
5. There is a straightforward registration process which needs to be followed for registering a company under the scheme.
6. The scheme being the single point of contact helps people to share knowledge.
7. Credit guarantee fund of 500 crores brings approved by the government.

Facts about the scheme

1. National Advisory Council has been structured by the Ministry of Commerce and Industry inculcating the non-official officers, selected by Central Government for two years tenure. The formation of this agency has made the start-up scheme a successful initiative.
2. The outcome of the first Start-up India state rankings was reported by the Department of Industry and Internal Trade in December 2018 dependent on the models of strategy, hatching center points, seeding development, scaling advancement, administrative change, acquisition, correspondence, North-Eastern states, and slope states.

The Start-Up India State Ranking category wise mentioned below

• Best Performer – Gujarat
• Top Performers – Karnataka, Rajasthan, Kerala and Odisha
• Leader – Andhra Pradesh, Chhattisgarh, Telangana, Bihar and Madhya Pradesh.
• Aspiring Leaders – Haryana, Uttar Pradesh, West Bengal, Himachal Pradesh, Jharkhand.

Conclusion

The initiative has been brought to energies seed-capital speculation, the legislature excluded charge above honest assessment for incubators in new companies, With the expectation of diminishing administrative weight on new businesses, they have been excluded from six Labour laws and three environmental laws for a time of three years, to give the equal footing to the companies in government holdings the rules of detailed knowledge or turnover will be exempted with unwinding in quality norms and specialised boundaries.