If you are one of the state of the art youth who is planning out for your own startup then you must consider Startup India Scheme. This scheme was launched by Honorable Prime Minister Narendra Modi so that the government can help superlative minds by providing funds.
But you go for startup India Scheme you must look for its eligibility criteria and how you can register yourself which will be covered in this article.
Q. How to register under Startup India Scheme?
A. If you want to register your business under Startup India Scheme, it is important to know that you must incorporate your business i.e. bring your business into existence.
To incorporate your business one must all possible procedures necessary for existence such as fill the forms INC-1 and others based on the type of company you want to incorporate.
To register under scheme you just need to log on the government website for Startup India i.e. https://startupindia.gov.in/registration.php.
Fill all the required details and complete the registration process for your business.
To complete the registration process you need to upload documents which includes:
- A Letter of Recommendation
- Incorporation or Registration Certificate
- Description of your business in Brief
Mention specifically if you want to avail tax benefit or not while registering under Startup India Scheme.
The documents that will be uploaded must be self-attested.
Once the registration process is complete you will receive a recognition number promptly.
Q. What is the eligibility criteria for Startup India Scheme?
A. If you want to avail benefits of this scheme you must see if you equip for the eligibility criteria:
1. It must be a business which can be in any form as mentioned under:
* Incorporated as a Private Limited company under the Companies Act, 2013
* Registered partnership firm under the Indian Partnership Act, 1932
* A Limited Liability Partnership under the Limited Liability Partnership Act, 2008.
2. A business is considered as a Startup for a period of 7 years and not more than that. Any entity more than 7 years will not be considered as a startup.
3. The annual turnover must not exceed Rs. 25 Crore as defined and explained by the Companies Act, 2013.
4. The objective of the Startup must be centralized towards innovation, development, deployment or commercialization of the new products, processes or services driven by technology or intellectual property.
5. It is mandatory for a Startup to work on the following:
* Developing products or services or processes which do not have potential for commercialization.
* Undifferentiated products, services or processes.
* Products or services or processes with no or limited incremental value for customers or workflow.
6. In case Startup is formed by splitting up, or reconstruction, of a business already in existence will not qualify for the criteria.
7. The Startup must have proper certification from Inter- Ministerial Board and must follow the regulations mentioned below:
- It should be supported by a recommendation letter with regard to the innovation in the business, in a format specified by the DIPP, from an incubator established in post graduate college in India
- It should be supported by an incubator which is funded in the relation to the project from Government of India as part of any specified scheme to promote the innovation
- It should be supported by the recommendation with regard to the innovation in the business in a format specified by the DIPP, and from an incubator recognized by the government of India
- It should be funded by an incubation Fund/Angel Fund/Private Equity Fund/Accelerator/ Angel Network duly registered with SEBI that endorses innovative nature of the business.
- Be funded by the government of India as a part of any specified scheme to promote innovation
- It should have a patent granted by the Indian Patent Trademark office in areas affiliated with the nature of the business being promoted.
We at Centrik, have excelled in registration and compliance for startups for more than 5 years with the team of core experts working for customer satisfaction. So, if you want us to help you can mail your queries or chat online with us.
Note – Please note that the above article is for education purpose only. This is based on our interpretation of laws which may differ person to person. Readers are expected to verify the facts and laws