Startup Registration

Startup Registration

Under the Startup India initiative, eligible companies can get recognized as Startups by DPIIT (Department for promotion of Industry and Internal Trade), in order to access a host of tax benefits (i.e.; tax exemption under section 80 IAC, 56, etc), easier compliance, IPR fast-tracking & more. GrowBizz helps in easy start-up registration and to avail various incentives and benefits available in this scheme.

The eligibility criteria for start-up recognition are as under:

  • The Startup should be incorporated as a private limited company or registered as a partnership firm or a limited liability partnership
  • Turnover should be less than INR 100 Crores in any of the previous financial years
  • An entity shall be considered as a startup up to 10 years from the date of its incorporation
  • The Startup should be working towards innovation/ improvement of existing products, services and processes and should have the potential to generate employment/ create wealth. An entity formed by splitting up or reconstruction of an existing business shall not be considered a “Startup”.

Advantages of Startup Registration

  • Startups are provided with high quality Intellectual Property Right services
  • Startups are provided with fast examination of patents at lower fees (80% reduction in cost of patents)
  • The government will bear all facilitator fees and the startup will bear only the statutory fees
  • Easy to access to loan funds in form of venture capital
  • Startups are exempted from payment of income tax for first 3 years
  • Startups are eligible for participation in government tenders
  • Facilities are provided by government in R&D Sector
  • Various government compliance are simplified for startups related to labor and environment laws
  • Tax savings provided to investors who investing in startups
  • After successful set of startups, it would be provided with selection of investors
  • A startup can be closed within a period of 90 days from the date of application

Documents required for Registration

  • Register the business as a Private Limited Company / Limited Liability Partnership / Partnership Firm
  • Copy of PAN card of the business organization
  • MSME Registration for the business
  • Make a brief writeup on the following:
    1. What is the problem the startup is solving?
    2. How does the startup propose to solve this problem?
    3. What is the uniqueness of solution by the startup?
    4. How does the startup generate revenue?
    5. Details of any awards/recognition received by the startup

 

Disclaimer:

Additional details or information or documents other than mentioned in above list; may be called if required.