Startup india portal and mobile app

Dev Patel (Student CA Final ) (513 Points)

04 April 2016

The Startup India Portal Launched by Secretary, DIPP, Mr. Ramesh Abhishek in New Delhi today on 1st April 2016.

So We have to know first of all about its key features of the portal -

Information Availability: – The portal and mobile app provide up-to- date information on various notifications/ circulars issued by various Government ministries/ departments, towards creation of a conducive ecosystem for Startups. The portal and mobile app provide information regarding incubators and funding agencies recognized for the purpose of recommending Startups (as part of Startup recognition application). A comprehensive list of FAQs is also available to help Startups, Incubators and Funding Agencies use the portal and mobile app more effectively.

Startup India Hub:- The Startup India Hub, which has been established within Invest India, will be a single point of contact for the entire Startup ecosystem which would enable exchange of knowledge. The Hub will work in a hub and spoke model with Governments, VCs, Angel Funds, Incubators, Mentors, etc. It will assist Startups through their lifecycle, on all aspects, such as providing mentorship, incubator facilities, IPR support, funding etc. The Hub will be operational from 10:00 AM to 5:30 PM on working days and can be reached via the toll free number: 1800115565 or the email ID: dipp-startups @ nic.in

Application for Startup Recognition: – Entities that fulfill the criteria as per the definition of “Startup” and are incorporated/ registered in India, can obtain recognition as a “Startup” to avail various benefits listed in the Startup India Action Plan. The process of recognition is simple and user friendly and involves a single page application form that a user can fill either through a web interface or through mobile app. Formats of the recommendation/ support letters that need to be attached as part of the application form have been published on the portal and mobile app.

Real Time Startup Recognition: – A real time recognition certificate is provided to Startups on completion of the application process. A digital version of the final certificate of recognition is available for download, through the portal and mobile app. A request for certificate of eligibility for tax exemptions from Inter-ministerial Board will be made simultaneously by selection of a simple option.

Verification of Recognition Certificate: – The certificate of recognition is verifiable through the portal and mobile app by entering the Startup Recognition/ Certificate Number.

Approval of Inter-Ministerial Board: – DIPP has also setup an Inter-Ministerial Board to verify the eligibility of Startups opting to avail Tax and IPR related benefits and to provide a certificate of eligibility to innovative Startups.

Conditions for taking benefits of Startup Scheme:

1. It must be an entity registered/incorporated as a:

Private Limited Company under the Companies Act, 2013; or
Registered Partnership firm under the Indian Partnership Act, 1932; or
Limited Liability Partnership under the Limited Liability Partnership Act, 2008.

2. Five years must not had elapsed from the date of incorporation/registration.

3. Annual turnover (as defined in the Companies Act, 2013) in any preceding financial year must not exceed Rs. 25 crores.

4. Startup must be working towards innovation, development, deployment or commercialization of new products, processes or services driven by technology or intellectual property.

5. The Startup must aim to develop and commercialize:

a new product or service or process; or
a significantly improved existing product or service or process, â€¨that will create or add value for customers or workflow.

6. The Startup must not merely be engaged in:

a. developing products or services or processes which do not have potential for commercialization; or

b. undifferentiated products or services or processes; or

c. products or services or processes with no or limited incremental value for customers or workflow

7. The Startup must not be formed by splitting up, or reconstruction, of a business already in existence.

8. The Startup has obtained certification from the Inter-Ministerial Board, setup by DIPP to validate the innovative nature of the business and

be supported by a recommendation (with regard to innovative nature of business), in a format specified by DIPP, from an Incubator established in a post-graduate college in India; or
be supported by an incubator which is funded (in relation to the project) from GoI as part of any specified scheme to promote innovation; or
be supported by a recommendation (with regard to innovative nature of business), in a format specified by DIPP, from an Incubator recognized by GoI; or
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; or
be funded by GoI as part of any specified scheme to promote innovation; or
have a patent granted by the Indian Patent and Trademark Office in areas affiliated with the nature of business being promoted.

Pre- Checklist for the Registration on Startup India Portal :-

1. Startups and Indian Entrepreneurs have to register their Business as Legal entity in India. its can be only partnership firm, LLP and private limited company in India.

2. They have to need Recommendation Letter from prescribed authority anyone which is mentioned below :-

a) Recommendation (with regard to innovation nature of business), in a format specified by Department of Industrial Policy and Promotion, from any incubator established in post-graduate college in India

b) Letter of support by any Incubator which is funded (in relation to the project) from Government of India or any State Government as part of any specified scheme to promote innovation

c) Recommendation (with regard to innovative nature of business ), in a format specified by Department of Industrial Policy and Promotion, from any Incubator recognized by Government of India

d) Letter of funding of not less than 20 percent in equity by any Incubation Fund/ Angel Fund/ Private Equity Fund/ Accelerator/ Angel Network duly registered with Securities and Exchange Board of India that endorses innovative nature of the business. Department of Industrial Policy and Promotion may include any such fund in a negative list for such reasons as it may deem fit

e) Letter of funding by Government of India or any State Government as part of any specified scheme to promote innovation

f) Patent filed and published in the Journal by the India Patent Office in areas affiliated with the nature of business being promoted

Registration Process :-