Last Year Prime Minister Narendr Modi announced the Startup India initiative in occasion of India’s 69th Independence Day.A Starup Indian action plan has been presented in such a way that it paves an easier direction for start-ups consider obstacles that could restrict their growth. Before 2 days 16th January PM Narendra Modi Finally announced the Startup Action Plan in the Vigyan Bhawan auditorium. Have a look at all StartUp India action plan
Startup India Action Plan
1) Regime based on self certification:- To reduce the regulatory stress for start-ups, the government will allow start-ups to self-certify conformity on nine labor and environment rules through the start-up mobile app. No examinations will be performed in case of the labor rules for a period of three years. Incase of environment rules, ‘white’ grouping would be able to self certify compliance.
2) Credit Guarantee Fund For StartUPs:- A Credit score assurance mechanism through National Credit Guarantee Trust Company/SIDBI shall be released with a budgeting corpus of Rs 500 cr per year for the next four years.
3) Omission from Capital Gains Tax:- Targeted at assisting development and help maintain financial commitment, start-ups will be excused from income-tax for a period of three years. However, the Omission to this rule shall be available topic to non-distribution of results by the start-up. To enhance the available resources to various VCs and alternative financial commitment resources, financial commitment benefits spent in SEBI authorized project resources will be exempt from tax as well.
Also Read:- Digital India Project By PM Modi
4) Startup fests:- For presenting advancement and offering a cooperation platform
5) Atal Innovation Mission:- The Atal Innovation Mission will set up industry particular incubators and 500 ‘Tinkering Labs’ to enhance business. Three innovation rewards will be given per condition and partnership area, along with three nationwide prizes, as well as a Huge Advancement Task Reward for discovering ultra-low cost alternatives for India.
6) Innovation focused programmes for students:- An innovation primary system directed at students is designed to source 10 lacs enhancements from five lacs educational institutions, out of which the the best 100 would be elevated and presented at an Yearly Event of Innovations, to be kept in Rashtrapati Bhavan. A Huge Obstacle Program National Effort for Creating and Utilizing Innovations (called NIDHI) to support and prize Rs 10 lacs to 20 university student enhancements from Innovation and Business Development Centres
7) Simplifying the registration for startups:- A mobile app and a portal will be launch by Government on 1st april, which will enable easy registration process for their company in a day.The portal or app will also function as a anchorman of contact for clearances, mortgage approvals and users, and for organizations to implement for techniques under the Start-up Indian Action Plan.
8) Startup India hub:- The Start-up Indian Hub Will be single-point of contact and hand-holding.The hub will enable start-ups in acquiring funding, and arrange mentorship applications to inspire knowledge swap.
9) Promote Entrepreneurship in Biotechnology:- Five new bio groups, 50 new bio incubators, 150 technological innovation exchange workplaces and 20 bio link workplaces will be recognized.
10) Assist In Filing of Patent Application:- Companiens shall provide guidance for start-ups in processing and convenience of certain programs related to patents, trademarks and design under appropriate Functions. The Government shall keep the cost of patents, trademarks and layouts for a start-up, with an 80% refund to allow the development and protection of its ip (intellectual property).
11) A Rs. 10,000 crore fund for startups:- To provide finance support for growth and expansion of advancement motivated businesses, Government will set up a fund with an initial corpus of Rs 2,500 crore and a total corpus of Rs 10,000 crore over a period of 4 years. The fund will be involved with the capital city of SEBI authorized project resources, and spend money on areas such as production, farming, health, and education.
12) Patent protection:- PM Modi said patent safety and IP privileges are a significant problem for Indian start-ups. The govt will make IPR process on a pilot basis for a year. Fast track mechanisms of startup patent software in order to allow start-ups to understand the value of their IPRs at the initial possible. Patent programs of the start-ups shall be quick monitored for evaluation and convenience.
13) Relaxed norms of public-procurement:- To provide an equivalent system to start-ups vis-a-vis the knowledgeable startups/companies in public procurement, start-ups (in the production sector) shall be excused from the requirements of before ‘experience/turnover’ without any pleasure in quality requirements or technological factors.
14) An annual incubator grand challenge:- The Government establishing up of 35 new incubators in institutions for huge task. Funding assistance of Rs 10 crore shall get offers by central government for organization of new incubators in current institutions for which 40% funding by the specific municipality and 20% funding by the private industry has been dedicated.
15) Faster exits for startups:- To make it easier for startups to exit, provision for fast-tracking closure of businesses have been included in ‘The insolvency and Bankrupcy Bill 2015’. This process will respect the concept of limited liability.
16) Tax exemption on investments above Fair Market Value:- In line with the exception to this rule available to venture capital funds to get in startups above fair market price (FMV), investment strategies made by incubators above FMV shall also be excused.
Hope through this article you get awarness of Startup India Action Plan. We will share advantages of Startup India in next post! Stay tune with us. Let us know your views through comments!!