Meaning of Startup
Startup is the initial stage of a business / company founded to solve an existing problem / issue by developing a new product or a service. There are only 2 ways of founding a startup either by launching a new concept into market or by continuing with an existing concept in an innovative manner so as to disrupt the existing market. The basic difference between entrepreneurship and startup is that entrepreneurship includes all new businesses, including self-employment and businesses that do not intend to go public, startups are new businesses that intend to grow large beyond the solo founder. Initially, startups face high probability of failure and only around 10% of them survive in long run to go on to become successful and influential company.
Startup India Initiative by GoI
Startup India is a flagship initiative of the Government of India, intended to catalyse startup culture and build a strong and inclusive ecosystem for innovation and entrepreneurship in India. Launched on 16th January, 2016, the Startup India Initiative has rolled out several programs with the objective of supporting entrepreneurs, building a robust startup ecosystem and transforming India into a country of job creators instead of job seekers. ComplianceBuddy has a dedicated Startup India Team, which can assist you in getting the startup India recognition from Department for Industrial Policy and Promotion (DPIIT).
Is Your Company A Startup?
To bring transparency and consistency in startup recognition approach, the Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry, Government of India has come out with following eligibility criteria to be considered eligible for DPIIT startup recognition:
- Company Age- The age of company incorporation / registration should not be more than 10 years
- Company Type- The entity should be incorporated either as a Private Limited Company, a Registered Partnership Firm or a Limited Liability Partnership. Entity should not have been formed by splitting up or reconstructing an already existing business
- Annual turnover- Annual turnover of company should not exceed Rs. 100 crore for any of the financial years since its Incorporation
- Innovative & Scalable- Company should work towards development or improvement of a product, process or service and/or have scalable business model with high potential for creation of wealth & employment
Process for Startup India Recognition
Documents Required for Registration
Followings are the necessary documents required for private limited company incorporation with ComplianceBuddy :
- Aadhaar Cards of the Directors
- PAN Cards of the Directors
- Passport size photograph of the Directors
- Latest Bank Statement of the Directors
- A unique business name for company
- Address proof of the Registered Office
- Business Contact/ Mobile Number& Email ID
Features of Startup India Registration
If you are still not able to decide which form of entity suits your business, kindly connect with our team.
