Start-ups are developed by entrepreneurs who aim to bring innovation in the sector of products or services. Start-ups being new in the market are vulnerable to high competition and often fail even before expanding on scalable business. Such ventures are needed to be protected and supported to grow in the marketplace. A start-up recognized by the Department of Promotion for Industry and Internal Trade (DPIIT) under the Ministry of Commerce is entitled to various benefits. The government takes various steps to foster entrepreneurial work. This article briefly describes the Process to Get Start-up India Certificate in 2023, & the Advantages of start-up company registration in India.
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Start-up India initiative
The Start-up India initiative was launched on the 16th of January, 2016 by Prime Minister Modi. It is a flagship initiative by the government to build a strong ecosystem, improve sustainable economic growth and generate employment opportunities. Its vision is to transform India into a country of job creators instead of job seekers. The benefits of registering under the Initiatives are as follows:
- Self-Certification based compliance;
- Tax Exemption for 3 years;
- Easy winding of company;
- Start-up patent application and IPR protection;
- Easier public procurement norms;
- SIDBI fund of funds.
What is the Startup India Scheme?
Startup India is an initiative launched by the government of India to promote the growth of startups in the country. Headed by Prime Minister Narendra Modi, the action plan of this scheme is to focus on these areas:
- Funding support and incentives
- Simplification and handholding
- Industry-academia partnership and incubation
What is Start-up India Certificate?
A start-up is a freshly formed company that is led by one or more people to address an issue. Such firms are founded when the founders identify drawbacks in the current social structure and want to address the problem by developing a good or service. The majority of start-ups concentrate on creativity and original concepts that set them apart from the competition. A company can also be created when its creators develop an original and cutting-edge idea. The most advantageous aspect of a start-up is that it raises the employment rate in the nation by directly causing the emergence of more and more businesses. With the increase in job prospects, the Indian government has also contributed by initiating a program called The Start-up India that encourages innovation and strengthens sustainable economic zones. This has helped fledgling businesses expand and survive in the Indian market.
How to Register a Start-up India Certificate?
- Register your business
- India Start-up Registration
- Registration for GST
- Dpiit start-up registration Identification
- Acknowledgment Application of Start-up India certificate
Steps to Register for India Start-up Scheme
Incorporating Business
A business is incorporated under the MCA as a limited liability partnership (LLP), partnership, or private limited company. It’s vital to follow all the standard procedures for any business registration, like obtaining the certificate of incorporation or partnership registration. Submit the fees and necessary documents with your application for incorporating a company. One can blend an LLP or a private limited company by filling out the registration application and submitting it to the Registrar of Companies in your area. In order to establish a partnership firm, you’d have to fill out the application and submit it to the Registrar of Firms in your region.
Registration with Startup India
The company needs to be registered or firm as a startup in the Startup India scheme run by the government. The procedure is simple and can be completed online.
The next step is registering your company or firm as a startup in the Startup India scheme run by the government. The procedure is simple and can be completed online. Here’s how you can do it:
- Visit the Startup India website.
- Click on the “register” button in the top right corner.
- Now enter your name, email ID, mobile number, and password.
- After doing so, click on the “Register” button.
- Enter the OTP you’ve received on your email ID, along with details like user type, stage of the startup, and more.
- Once done, click on the “Submit” button.
Get DPIIT Certification
The next step in your journey to get a Start-up India Certificate is to apply for Department for Promotion of Industry and Internal Trade (DPIIT) recognition. It’d help you utilize benefits like access to high-quality IP services and resources, self-certification under labor and environmental laws, relaxation of public procurement norms, easy winding up of the company, and more.
In order to get recognized by DPIIT, here’s what one needs to do:
- Log in with your registered details on the Startup India website and choose the “DPIIT Recognition for Startups” button.
- You can find it under the “Schemes and Policies” tab.
- Now click on the “Get recognized” button on the subsequent page.
- Once the new page opens, scroll down and choose to Click here to submit your application as a startup button.
Submit the Recognition Application
Fill in details like full address, entity details, authorized representative details, startup activities, partner details, self-certification, and startup activities on the “Startup Recognition” form. You’d find a plus sign on the top right side of the form. Click on it and enter each section. After entering all the sections of the form, accept all the terms and conditions. Finish this step of getting the Startup India certificate by clicking the “Submit” button.
Submit Registration Documents
Here are the documents that you’d require for registration:
- PAN Number
- Proof of funding
- Certificate of Registration or Incorporation of Your Startup
- List of awards or certificates of recognition
- Proof of concept, such as a website link, video, or pitch deck
- Authorization letter of the authorized representative of the LLP, company, or firm.
Get a Recognition Number
Once your application is over, you’ll get a recognition number. The Startup India certification for recognition comes after all the documents get examined. It usually takes two days. One must be careful while submitting the documents. If either of your documents turns out to be forged or incorrect, you might be liable for a fine of 50% of your startup’s paid-up capital. The registration fee is INR 25,000.
What are the advantages of start-up company registration in India?
- Easy Self-Compliance for Labour Laws
- Cost-cutting
- Getting Tax Exemption Under Section 80 IAC
- Tender Application Facility
- Tax Exemption Facility
- More Networking Possibilities
- Investor Selection
- Time-saving requirements
- Easy Winding Up
Conclusion
The Indian government is now very supportive of start-ups. It is the main reason why more and more Indians are starting businesses every day. After all, what could be better than knowing that someone will catch us if we fall? India is the third-largest country in terms of entrepreneurial spirit for this primary reason. The government of India is constantly working towards the encouragement of young minds to create and develop their ideas with many incentives to strive towards the goal. Various tax exemptions, exemptions from tiresome compliances, and financing are some of the positive steps recently taken for the purpose. India is one of the largest internet and app users. It was important to digitalize the process for simplicity of the process. When these start-ups grow and bring their own IPO, they are considered to be successful.
