How to Obtain Startup India Registration?

Overview

Start your entrepreneurial journey in India is both exciting and challenging. Getting Startup India registration is a compulsory first step in this journey, offering a range of benefits and opportunities. This comprehensive guide will walk you through the entire registration process, providing main point and practical tips to ensure a seamless experience.

What is Startup India?

Startup India is a major initiative by the Government of India aimed at fostering a dynamic startup ecosystem across the country. Launched on January 16, 2016, by Prime Minister Narendra Modi, this program is designed to support innovation, encourage entrepreneurship, and drive economic growth. By offering various concessions, benefits, and incentives, Startup India helps new Businesses grow and succeed, potentially becoming major players in their respective industries.

Since its inception, India has transformed into a global startup hub, with a notable rise in new ventures, particularly from Tier-2 and Tier-3 cities. These regions are increasingly becoming hotspots for startup activity.

What Qualifies as a Startup?

Startups feature a diverse range of sectors including Educational Technology, Financial Technology, Artificial Intelligence, Blockchain, Internet of Things, Food Business Aggregators, and more. However, the definition of a startup is not restricted to these fields. Even small-scale businesses like food carts or local shops can be considered startups if they meet certain criteria, though they may not fit the traditional definition.

Eligibility Criteria for Startup India Registration

To qualify for Startup India registration, your business must meet the following criteria:

1. Entity Type: Your business must be incorporated as a Private Limited Company, Partnership Firm, or Limited Liability Partnership (LLP).
2. Age: The business should be less than 10 years old.
3. Turnover: The annual turnover should not exceed INR 100 crores in any of the financial years.
4. Innovation: The startup must focus on developing or improving a unique product, service, or process.
5. Originality: The business should be original and not the result of a split, reconstruction, or joint venture of an existing company.

1. Steps to Obtain Startup India Registration

1. Incorporate Your Business Entity
• Ensure your business is legally incorporated as a Private Limited Company, Partnership Firm, or LLP.

2. Set up an Account on the Startup India Portal

• Visit the Startup India portal and create a login profile for your business. This is the first step to register your company.
1. Apply for DPIIT Recognition
• Navigate to the Recognition tab and click "Apply for DPIIT Recognition."
• Follow the link to the National Single Window System (NSWS) website. Register on NSWS, complete the ‘Startup Recognition Form,’ and submit it to obtain DPIIT recognition.
2. Self-Certification
• During the application, you must self-certify:
• That the business is an original entity.
• That the startup is not formed from an existing company or joint venture.
• That the majority of shares are with Indian promoters.
• Whether the company is funded or bootstrapped.
3. Upload Required Documents
• Submit the following documents in PDF format:
• Certificate of Incorporation or Registration.
• Proof of concept (Pitch/Concept/Video).
• Authorization Letter.
• Aadhar Card.
• PAN card of the business.
• Trademark or Patent registration certificate (if applicable).
• Company website.
4. Receive Your Startup India Certificate
• After document submission, the DPIIT will review your application. If approved, you will receive a Recognition number and certificate via email within 4 to 5 working days.

Benefits of Startup India Registration

Being registered under the Startup India scheme offers several advantages, including:

• Access to a startup funding pool of INR 10,000 crores.
• Reduced patent registration fees.
• Simplified bankruptcy regulations with a 90-day exit window.
• Exemption from Capital Gains Tax for the first three years.
• No income tax obligations for the first three years.
• Facility for self-certification.

Conclusion

The online registration process for Startup India has streamlined the procedure for Startup founders, making it more accessible and efficient. With the registration, startups gain valuable benefits and opportunities to innovate and thrive. Applying for Startup India registration is straightforward, and with the right preparation, you can get recognition for your venture within a week.

FAQs

Q1. How do I register with Startup India?

A1. Registration can be completed through the official Startup India website.

Q2. What are the eligibility criteria for a startup in India?

A2. To qualify, the business must be a Private Limited Company/Partnership Firm/LLP, less than 10 years old, with an annual turnover not exceeding INR 100 crores, focusing on a unique product, service, or process.

Q3. Is there a fee for Startup India registration?

A3. Yes, there is a fee associated with the registration process on the Startup India portal.

Q4. How long does it take to receive the Startup India certificate?

A4. It typically takes 5-7 days to receive the certificate.

Q5. How does Startup India contribute to innovation?

A5. Startup India supports innovation by providing funding, tax exemptions, and relaxed compliance requirements, creating a conducive environment for startups to grow and innovate.

PSR Compliance, located in Noida, India, is a reliable business consultancy specializing in regulatory and compliance services. We offer services including company registration, product certification, and business licensing.