Start up India in Odisha

Startup India is an Indian Government initiative that is intended to build a strong eco-system for nurturing innovation and startups in the country to drive sustainable economic growth and generate large scale employment opportunities. Through this initiative, the government aims to empower Startups to grow through innovation and design.

The objectives of the Startup India Movement are outlined below. The action plan envisages supporting the startups and more:

• Enhanced infrastructure, including incubation centres
• IPR facilitation, including easier patent filing
• The better regulatory environment, including the tax benefits, easier compliance, improved setting up of a company, fastest mechanism and more.
• A goal to increase the funding opportunities
• Provide a vast networking database for the entrepreneurs and other stakeholders in the startup ecosystem.

Eligibility Criteria

The startup must meet the following eligibility criteria to avail the DPIIT Certificate of Recognition:

• Period of Existence of Entity: The Period of existence and operations of the company should not exceed 10 years from the date of formation
• Type of Entity: The DPIIT Certificate of Recognition is provided for the company which is incorporated as a Private Limited Company, a Limited Liability Partnership (LLP) or a Registered Partnership Firm.
• Annual Turnover: To get the DPIIT Certificate of Recognition, The firm should have an annual turnover of Rs. 100 crore for any of the fiscal years since its federation
• Original Entity: To avail the DPIIT Certificate of Recognition, the company should not have been incorporated by splitting up or recreating an already existing entity.
• Innovative Scalable Entity: The entity should be working towards development or improvement of a product, process or service.
• The entity should have a scalable business model with high potential for the creation of wealth and employment. The firm should have the potential to generate employment or create wealth.

Procedure to get DPIIT Certificate

The entity should follow the below-mentioned simple steps to get the DPIIT certificate of recognition.

Incorporation of the Business

As stated above, the entity must first incorporate the business as a Private Limited Company or a Partnership firm or a Limited Liability Partnership (LLP).

Get in touch with IndiaFilings.Com to register your company.

Registering Business with the Startup India Scheme

The business needs to be registered with the Startup India Scheme to get the DPIIT certificate of recognition.

Apply for Start-up Recognition

The applicant unit need to access the Start-up India Recognition portal for Register with Start-up India to get the DPIIT Certificate of Recognition for Startups.

Provide the following details in the Start-up Recognition application :

• Entity Details: Nature of Entity, Industry, Sector, Categories and Company Incorporation Number and Registration Date
• Full Address of the Entity
• Details of the Authorized Representative
• Directors or Partner Details
• Details of Intellectual Property Right
• Details of funding
• Recognition received by the entity

Get the Startup Recognition Number

The DPIIT Certificate of Recognition for Startups will be issued after examination of the application and documents submitted.

Once the ministry approves the application and provides the unique startup recognition number, the startup can be registered with tax benefits.

Benefits for DPIIT Recognized Startups

The startups can avail the following benefits after obtaining the DPIIT Certificate of Recognition for Startups:

Self Certification

After obtaining the DPIIT Certificate of Recognition for Startups, the entity will be allowed to self-certify compliance under 3 Environmental Laws and 6 Labour Laws.

Start-Up Patent Application

The DPIIT recognized startups are required to pay only 80% of the fees on Patents, trademark, copyrights and design, and the fast-tracking of a patent application will be available for startups.

Easier Public Procurement Norms

• The DPIIT recognized startups will get an opportunity to list the product on Government e-Marketplace.
• DPIIT recognized startups are exempted from submitting Earnest Money Deposit
• Exemption from Prior Experience/Turnover is provided for Start-ups in all Central Government ministries and departments.

Easy winding up of Company

According to the Insolvency and Bankruptcy Code, 2016, the company can be wound up within 90 days of applying for insolvency

Funds of Funds

The startups will be eligible for Rs.10000 crore funds of funds from the Alternative Investment Funds.

Credit Guarantee fund

The startups can avail Rs.2000 crore Credit Guarantee fund through the National Credit Guarantee Trust Company or SIDBI over 4 years

Tax Exemptions

• After obtaining the Certificate of Recognition, the startup can apply for Tax exemption under section 80 IAC of the Income Tax Act.
• The DPIIT recognized startups can apply for Angel Tax Exemption.
• After obtaining the clearance for Tax exemption, the DPIIT recognized startups are exempted from income tax for 3 consecutive fiscal years out of its first ten years since formation.