Registration - Startup India

Startup Registration in India

Overview:

ValuExpert has started an association for startups & MSME companies, ValuExpert  provides end to end solutions for all types of government benefits for MSMEs. We are a management consulting, training and start-up mentoring firm for the Manufacturing industry, Allied industries and Start-ups companies. We provide legal consultancy and financial advisory for all Government industrial policies.

In 2017, GOI had decided to provide Recognition for Start-ups, in which the eligible unit will be benefited.

What is Start-up India?

Startup India is a flagship initiative of the Government of India, intended to build a strong ecosystem that is conducive for the growth of startup businesses, to drive sustainable economic growth and generate large scale employment opportunities. The Government through this initiative aims to empower startups to grow through innovation and design.

Several programs have been undertaken since the launch of the initiative on 16th of January, 2016 by Hon’ble Prime Minister, to contribute to his vision of transforming India into a country of job creators instead of job seekers. These programs have catalyzed the startup culture, with startups getting recognized through the Startup India initiative and many entrepreneurs availing the benefits of starting their own business in India.

Is your Company A Start-up?

Your company must meet the following criteria to be considered eligible for DPIIT startup recognition.

a) Company Age :- Period of existence and operations should not be exceeding 10 years from the Date of Incorporation

b) Company Type :- Incorporated as a Private Limited Company, a Registered Partnership Firm or a Limited Liability Partnership

c) Annual Turnover :- Should have an annual turnover not exceeding Rs. 100 crore for any of the financial years since its Incorporation

d) Original Entity : - Entity should not have been formed by splitting up or reconstructing an already existing business.

Benefits of Start-up Registration:

DPIIT recognized startups can get the following benefits under the Startup India Initiative

1) Easier Public Procurement Norms:

Objective:

a) Public procurement refers to the process by which governments and state-owned enterprises purchase goods and services from the private sector. Government organisations have significant spending power and can represent a huge market for startups

b) The objective is to make it easier for startups to participate in the public procurement process and allow them to access another potential market for their products.

Benefits:

a) Opportunity to list your product on Government e-Marketplace: Government e Marketplace (GeM) is an online procurement platform and the largest marketplace for Government Departments to procure products and services. DPIIT Recognized Startups can register on GeM as sellers and sell their products and services directly to Government entities. This is a great opportunity for startups to work on trial orders with the Government.

b) Exemption from Prior Experience/Turnover: In order to promote startups, the Government shall exempt Startups in the manufacturing sector from the criteria of “prior experience/ turnover” without any compromise on the stated quality standards or technical parameters. The Startups will also have to demonstrate requisite capability to execute the project as per the requirements and should have their own manufacturing facility in India. Click here to refer to the notification.

C) EMD Exemption: DPIIT recognised startups have been exempted from submitting Earnest Money Deposit (EMD) or bid security while filling government tenders.

2) Self-Certification:

Objective:

To reduce the regulatory burden on Startups, thereby allowing them to focus on their core business and keep compliance costs low.

Benefits:

a) Startups shall be allowed to self-certify compliance for 6 Labour Laws and 3 Environmental Laws through a simple online procedure.

b) In the case of labour laws, no inspections will be conducted for a period of 5 years. Start-ups may be inspected only on receipt of credible and verifiable complaint of violation, filed in writing and approved by at least one level senior to the inspecting officer.

c) In the case of environment laws, start-ups which fall under the ‘white category’ (as defined by the Central Pollution Control Board (CPCB)) would be able to self certify compliance and only random checks would be carried out in such cases

3) Tax Exemption under 80IAC:

Benefit

a) Eligible start-ups can be exempted from paying income tax for 3 consecutive financial years out of their first ten years since incorporation.(Incorporated on or after 1st April 2016 but before 1st April 2021)

b) Income Tax Exemption on investments above fair market value received under Section 56 of Income Tax Act

Contact Us

ValuExpert supports startups in leveraging the benefits of the Startup India initiative to foster growth, innovation, and compliance with ease. Join us in navigating the startup ecosystem with confidence and maximizing your potential in the competitive market.

Ready to explore opportunities under Start-up India? Contact ValuExpert today to start your journey towards recognition and growth.