India is rapidly becoming a Startup in the world. The rising young generation of India is shifting its focus from traditional to unique and new businesses. The massive population of 1.3 billion also makes India an ideal place to launch startups.
This massive population has varied needs, and these needs can be easily converted into lucrative startups. The rising popularity and influence of startups have got the Government’s attention too. Government has come up with various initiatives and programmes to boost these startups in India.
There are a lot of people who want to launch their startups but don’t know-how. We’ve been receiving multiple requests from such potential entrepreneurs to help them with this process. So in this blog, I will explain to you how you can launch your Startup and register it with the relevant Government agencies.
So let’s begin
What is a Startup?
Let me clear some air here first. Not every new Business is a Startup. Start-up is a business that offers a unique service/product that wasn’t available till now or the existing service/product in an entirely different manner.
So if someone’s starting a Kirana store or some manufacturing unit is not considered a Startup.
Why are Start-ups in India so popular?
India has always been a nation that reveres Businesses. From ancient times, India was a manufacturing hub for the world in various items until Europeans’ arrival. This trend remerged in India after the liberalization of 1992.
India’s large population also makes it a massive market that can consume products and services offered by the Startups. Moreover, it’s challenging to offer jobs to such a large youth through traditional industries and businesses, but Startups can also solve this issue. That’s the reason why startups are so popular in India.
What is Start-up India?
Start-up India is a PM Narendra Modi’s vision and initiative. This initiative aims to create a favourable environment for startups so that they can proliferate and grow. This initiative also aims to help these startups become Global Players to achieve the $5 trillion economy goal by 2025.
Under this initiative, the Government offers various subsidies, exemptions and benefits to the Startups in initials stages.
Startup-Registration in India
After understanding what Start-up is, now let’s understand various steps involved in the Startup registration.
This is the first step towards Startup registration. You will have you choose the right Business Structure from Partnership firm, LLP or Private Limited Company for the Registration. This is a standard procedure for every Business.
It needs a lot of paperwork and time to register your Business, so we would recommend you to hire some expert like Probal who can all your registration process, so you don’t have to invest your precious time in such tedious process.
Startup India Registration
The second step after the Business incorporation is the Registration with the Start-up India. This registration process is fully online, and you won’t have to visit any offices or Government authorities. All you have to do is go to Startup India’s website, fill in all the necessary detail of your Business and add your email and phone number.
Once you have filled all the necessary details, you will receive an OTP on your registered mobile number for verification. Once you enter this OTP, your Startup India profile will be created on their website.
After the Registration and Profile creation on Startup India, you will be able to apply for various schemes and programmes operated by the Government. There also various State-specific schemes, learning & training programme available for the registered Startups.
Recognition from DPIIT
Once you are registered with the Start-up India, we recommend you get Recognition from DPIIT (Department for Promotion of Industry and Internal Trade). This is not a mandatory step, but we recommend it. It helps your Startup gain various relaxation in environmental policies, labour laws, acquiring best intellectual services, tax exemption for 3 years, and numerous other benefits.
DPIIT recognition process
Click on the “Get recognized” button if you want the DPIIT recognition. On this page, fill up the complete details in the “Start-up recognition form” and submit the application. You will have to upload the following documents for the recognition:
- Patent details (if any)
- Trademark details (if any)
- Proof for the concept of your Startup
- Business registration certificates
- Information of the Directors.
Once you upload all these details and submit the form, a recognition certificate will be generated on your screen. This is your Startup’s recognition number. The final certificate will be available to you after the thorough verification of all the document and details that you have uploaded.
Although the process looks walk-in-the cake, it’s actually not!
If the reviewing authorities find a mismatch or missing document, your application will be rejected outright. Moreover, you will also be fined 50% of your total paid-up capital. The minimum amount of fine in such cases is 25,000.
So, instead of wasting your time & money and risking your Startup, it’s way better to take help from someone who is well-versed in the Start-up registration process.
The idea of a Start-up is extremely attractive. But the registration process is not so much! Although the Government is trying to simplify the whole process, complexities will persist. So there is no meaning in investing your time in such tedious tasks.
Our experts at Probal are well-versed in the whole process, and apart from Registration, they can also help you in various other sectors of the Business.
So if you are planning to launch a Startup or have some unique idea, let’s connect, and we will ensure a successful venture!
Read more about Benefits and other areas of Startup registration here.
If you still have any doubts or want to know more about the Start-up registration process, please reach us.
Probal Consulting Group is a leading Taxation, Accounting, and Compliance firm that helps individuals, MSMEs, and other businesses manage their accounting, taxation regulatory compliance affordably.