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Tag: Startup India

  • National Startup Day: Analysing “Startup India’s” Nine Years Through Numbers

    This year, India marks nine years of Startup India, a transformative journey that began in 2016. National Startup Day honours how entrepreneurs and startups are reshaping economies and societies. It celebrates creativity, tenacity, and innovation while emphasising the role that entrepreneurs play in advancing technology and environmentally friendly solutions. The day also highlights how crucial it is to create an environment that supports audacious ideas and gives business owners the confidence to question the status quo and create the future.  

    What DPIIT’s Official Data Reveals?

    As of January 15, 2025, the Department for Promotion of Industry and Internal Trade (DPIIT) had recognised over 1.59 lakh firms, solidifying India’s position as the world’s third-largest startup ecosystem. Over 100 unicorns power this thriving ecosystem, which is redefining entrepreneurship and innovation globally. This change has been driven by major cities like Bengaluru, Hyderabad, Mumbai, and Delhi-NCR, but smaller cities have also been making a greater contribution to the country’s entrepreneurial spirit.

    Fintech, edtech, healthtech, and e-commerce startups have overcome regional obstacles and achieved international acclaim. India’s transition from job seekers to employment creators is exemplified by companies like Zomato, Nykaa, and Ola, which propel economic growth.

    The Main Pockets of Startup Sector

    According to DPIIT data, non-metropolitan areas account for more than half (51%) of India’s DPIIT-registered companies. An encouraging indication of India’s entrepreneurial potential is the growing number of businesses originating from non-metropolitan areas. Cities such as Jaipur, Indore, Coimbatore, Vadodara, and Surat provide entrepreneurs with affordable talent and growth prospects. In the meanwhile, companies receive substantial help from government-led incubator programs like Telangana’s T-Hub, which unlocks trillions of dollars in value and transforms India’s entrepreneurial scene. From 2014 to 2024, all of these emerging businesses have raised about $158 billion in capital.

    Jobs Generation

    By creating more than 16.6 lakh direct jobs in a variety of industries as of October 31, 2024, DPIIT-recognised startups have made a substantial contribution to the creation of jobs. With 2.04 lakh jobs, the IT services sector is the largest, followed by healthcare and life sciences (1.47 lakh) and professional and commercial services (about 94,000). These contributions demonstrate how startups propel economic expansion and generate a wide range of job possibilities across sectors.

    Bengaluru Startups Create Over 1.63 Lakh Jobs: DPIIT Report
    DPIIT-recognised startups in Bengaluru have created over 1.63 lakh jobs, showcasing the city’s thriving startup ecosystem and employment opportunities.
    StartupTalkyNitin Konde

    Initiatives Launch by the Government

    A number of flagship programs have been introduced by the Startup India initiative to offer entrepreneurs all-encompassing assistance at various phases of their development. In order to ensure the expansion and viability of startups, these programs seek to solve important issues like funding, market access, and credit guarantees.

    Startup India Seed Fund Scheme (SISFS)

    With a capital of INR 945 crore, SISFS was established with the goal of giving entrepreneurs financial support for proof of concept, prototype development, product trials, market entry, and commercialisation during a four-year period beginning in 2021–2022. This would allow these firms to advance to a point where they can look for loans from commercial banks or other financial institutions, or raise money from venture capitalists or angel investors.

    Credit Guarantee Scheme for Startups (CGSS)

    The goal of the Credit Guarantee Scheme for Startups (CGSS) is to offer a credit guarantee up to a predetermined amount against loans made by Member Institutions (MIs) to finance qualified borrowers, or startups, as defined in the Department for Promotion of Industry and Internal Trade’s (DPIIT) periodically amended Gazette Notification.

    Fund of Funds for Startups (FFS) Scheme

    In accordance with the Start-up India Action Plan, the Prime Minister introduced FFS on January 16, 2016. A corpus of INR 10,000 crore has been granted for contributions to different Alternative Investment Funds (AIFs) that are SEBI-registered. FFS was established with the specific goal of assisting the growth and development of innovation-driven businesses. It does this by facilitating start-ups’ finance needs through participation in SEBI-registered Alternative Investment Fund funds.

    Sates Realising the Power of Startups

    The push for local entrepreneurs by the federal and state governments goes well beyond statistics and lofty discourse. A growing number of states increasingly see startups as a means of boosting demand and creating jobs. In 2016, for example, only four states had specific startup policies. This figure, which has now increased to 31 states and union territories (UTs), provides insight into how startups have gained popularity with influential decision-makers and oversight organisations. In addition to promoting policies, the Centre has onboarded numerous startups on sites such as the Government e-Marketplace (GeM) to expedite its procurement process and provide them with a platform to market their products directly to customers without the need for intermediaries. According to the DPIIT, as of October 2024, 27,208 of the 1.59 lakh certified firms had listed on GeM and fulfilled 3.53 lakh orders of INR 30,825 Cr.

    BHASKAR: Strengthening the Startup Ecosystem in India

    The Bharat Startup Knowledge Access Registry (BHASKAR) platform was introduced by the Department for Promotion of Industry and Internal Trade (DPIIT) in September 2024, in addition to the previously listed programs. The goal of this innovative project, which is a component of Startup India, is to centralise and simplify interactions within the Indian entrepreneurial ecosystem. In line with India’s goal of becoming a global leader in entrepreneurship, BHASKAR seeks to promote innovation, cooperation, and growth by bringing together startups, investors, mentors, service providers, and governmental organisations.

    Startup Mahakumbh: Promoting Creativity

    As a premier event, the Startup Mahakumbh unites investors, industry leaders, ecosystem players, startups, unicorns, and soonicorns. It promotes discussion to fortify the country’s startup ecosystem while showcasing India’s technological potential and entrepreneurial spirit.

    With over 1,300 exhibitors spread across ten themed pavilions, the inaugural event in 2024 set an impressive example. Attracting a remarkable number of over 48,000 business travellers, it developed into a flourishing centre for innovative concepts and significant collaborations. With the theme “Startup India @ 2047—Unfolding the Bharat Story,” the second edition, which is slated to take place at Bharat Mandapam in New Delhi from April 3–5, 2025, is expected to surpass expectations. As India moves closer to being a global centre of innovation by 2047, this ambitious theme seeks to examine the future of the startup ecosystem in that country.

    As India commemorates the ninth anniversary of the Startup India initiative, the nation’s entrepreneurial scene has seen a notable transition. With more than 1.59 lakh businesses recognised by DPIIT and an expanding workforce, India has solidified its position as a global centre for entrepreneurship and innovation. Through flagship programs, capacity-building initiatives, platforms like BHASKAR, and events like Startup Mahakumbh, the initiative has empowered companies in non-metropolitan areas as well as other sectors. An inclusive and dynamic entrepreneurial ecosystem is fostered by the Startup India program, which continues to be a major driver of economic growth as India moves closer to becoming a global leader in innovation.

    DPIIT to Introduce BHASKAR, a Ground-Breaking Platform for India’s Startup Community
    The Department for Promotion of Industry and Internal Trade (DPIIT), which is part of the Ministry of Commerce and Industry, is planning to establish a revolutionary digital platform to enhance India’s startup ecosystem.
    StartupTalkyNitin Konde

  • Recognized Startups Have Directly Generated 15.53 Lakh Job Opportunities

    On January 16, 2016, the Startup India initiative was launched by the government with the goal of creating a strong environment that could support innovative startups and attract investments to the startup ecosystem in India. Entities are acknowledged as “startups” under the Startup India initiative by the Department for Promotion of Industry and Internal Trade (DPIIT) in accordance with the eligibility parameters provided under G.S.R. regulation 127 (E) dated February 19, 2019. According to DPIIT, 1,40,803 companies have been identified as startups as of June 30, 2024. Reportedly, more than 15.53 lakh direct jobs have been generated by accredited firms since the Startup India initiative’s 2016 debut.

    Commenting on this development Ajay Goyal, Co-Founder & CEO, Erekrut HR Automation Solutions Private Limited stated, “Recognised startups have significantly contributed to the creation of 15.53 lakh job possibilities, demonstrating their enormous impact on India’s economic expansion. These startups not only spur innovation but also generate a sizable number of jobs in a variety of industries. At Erekrut, we’ve witnessed directly how startups, which offer a wide range of exciting career prospects, may revolutionise the labour market. This achievement emphasises how crucial it is to maintain and strengthen the startup ecosystem in order to keep promoting the creation of jobs and economic development.”

    As of 30th June 2024, the following is a breakdown of the total number of direct jobs produced by startups recognized by DPIIT, broken down by year: 31,980 new jobs were added in 2017, 1,00,646 in 2018, 1,63,463 in 2019, 1,81,404 in 2020, 2,10,545 in 2021, 2,74,685 in 2022, and 3,91,943 in 2023. In 2016, there were 306 new jobs. Direct employment increased by 1,78,316 in the first six months of 2024. There are 15,53,288 direct jobs created by companies that have been recognized by DPIIT as of June 30, 2024.

    Year Jobs Created
    2017 31,980
    2018 1,00,646
    2019 1,63,463
    2020 1,81,404
    2021 2,10,545
    2022 2,74,685
    2023 3,91,943

    PMEGP Backing Startup Companies

    As part of the Prime Minister’s Employment Generation Programme (PMEGP), the Ministry of Micro, Small & Medium Enterprises (MSME) is providing grants to business owners so they can launch non-agricultural ventures.

    Traditional artisans and young people without jobs in rural and urban areas will be given chances right where they live.

    An estimated 79 lakh people have found work as a result of the more than 9.69 lakh micro-companies that have received subsidies totaling more than INR 25,500 crore since the program began.

    The Ministry’s goal for the following two years, from FY 2024-25 to FY 2025-26, is to establish 1.6 lakh new businesses, which might generate jobs for 12.8 lakh people.

    Deendayal Antyodaya Yojana-National Rural Livelihood Mission

    Deendayal Antyodaya Yojana-National Rural Livelihood Mission (DAY-NRLM) is another initiative that the Ministry of Rural Development (MoRD) has put into action.

    One part of DAY-NRLM is the Startup Village Entrepreneurship Programme or SVEP.

    Approximately 6,26,848 people are now employed thanks to the 3,02,825 businesses that received funding through SVEP.

    The ‘Technology Incubation and Development of Entrepreneurs’ (TIDE) 2.0 Scheme is one of the startup initiatives introduced by the Ministry of Electronics and Information Technology (MeitY). Over the past two years, 1,235 businesses have received funding through the TIDE 2.0 Scheme, creating 8,556 new employment.

    More Than 12.42 Lakh Direct Jobs Created by 1,17,254 DPIIT-Recognized Startups
    A total of 1,17,254 startups were recognised by the DPIIT as of 31 December 2023, up from 300 in 2016, and these businesses have allegedly generated more than 12.42 lakh direct employment opportunities.
    StartupTalkyNitin Konde

  • MoFPI Backing Food Processing Startups

    To encourage startups in the food processing industry, the Ministry of Food Processing Industries (MoFPI) held a Startup Conclave called SUFALAM (Startup Forum for Aspiring Leaders and Mentors) in New Delhi on February 13th and 14th, 2024. New goods from entrepreneurs were on display during the event’s expo, which also featured a panel discussion, networking opportunities, and a pitching session.

    MoFPI’s two independent institutes, NIFTEM-K in Kundli, Haryana, and NIFTEM-T in Thanjavur, Tamil Nadu, have provided funding to 38 startups between them. Last year, six of them were given INR 3 lakh apiece as winners of the National Level Startup Grand Challenge.

    In addition to connecting startups with mentors and resources, these institutes offer incubation services, quality testing, research and development assistance, networking events, pilot plants, food testing labs accredited by the National Association of Blood Banks (NABL), and more.

    These new businesses in the food and related industries are improving the economy and its prospects for all its citizens by creating value-added goods, introducing ground-breaking technologies, increasing processing efficiency and productivity, encouraging entrepreneurial spirit, creating jobs, and teaching people new skills.

    Current Market Size of Food Processing Sector in India

    With a growing middle class, more disposable income, and more people living in cities, the food processing industry in India is expected to experience explosive growth, going from an anticipated US$ 866 billion in 2022 to an estimated US$ 1,274 billion in 2027.

    The Indian food and grocery industry ranks sixth globally. With a 32% share of the food market, a 13% share of total exports, and a 6% share of industrial investment, the food processing industry is one of the biggest industries in the nation. Within the regulated manufacturing sector, the food processing industry employs around 1.93 million people, but the unregistered sector additionally employs roughly 5.1 million people.


    Future Scope for Food Processing Startups

    Recognized as a key priority industry under the “Make in India” initiative, the Indian food processing sector offers a potential growth journey and has numerous chances. Several programs have been launched by the MoFPI to encourage investment in the food processing industry by improving infrastructure and supporting startups in this field. To boost the value of their produce, the Indian government has been trying to enlist the help of several food processing startups to strengthen supply chains that connect farmers to processing and marketing, as well as to local grading and storage facilities.

    Facilities such as specialized processing units, sewerage treatment plants, testing laboratories, common warehouses, and logistical assistance are part of the Common Infrastructure for Industrial Parks, which encompasses 31 projects with strong investment prospects totaling US$ 2.36 billion.

    Startup Guide: Things to know before entering food industry
    Memzo Candy’s founder shares her insight on important aspects of the food industry and points to be noted by startup entrepreneurs.
    StartupTalkyJeenal Jain

  • Vertical Farming: A Revolutionary Approach to Agriculture in India

    As one of the country’s most important economic drivers, India’s agricultural industry is a vital cog in the wheel of the Indian economy. However, primarily due to urbanisation and industrialisation, the amount of cultivable land decreases as the nation’s population rises. The majority of Indian farmers are already working on very small plots of land, and any further reduction would be a death sentence for them. But now, this problem has a clear answer in vertical farming, which, with the help of modern technology, has the potential to revolutionise India’s agricultural sector.

    According to the World Economic Forum, innovations in production technology have brought the concept of vertical farms within reach, making them a viable alternative to farming methods that rely on pesticides and fertilisers. The number of vertical farms in the United States has reportedly surpassed 2,000. These farms can outperform conventional outdoor growing methods while reducing water usage by 70% to 95% and can fit inside areas like buildings or shipping containers. The Indian Agricultural Research Institute (IARI) discovered that different fruit crops in the Delhi region could save about 25% in water and 30% in fertiliser by using the drip fertigation method.

    Researchers at Research and Markets predict that between 2021 and 2026, the vertical farming industry in India will expand at a CAGR of over 20%. As mentioned in the research, vertical farming systems based on hydroponics account for most of the market share because of their efficiency and cheap operating costs.

    Types of Vertical Farming Solutions Gaining Traction
    Vertical Farming Crops That Generate A Profit
    Government Promoting Vertical Farm Culture

    Growing Up: How Vertical Farming Works

    Types of Vertical Farming Solutions Gaining Traction

    The vertical farm setup comes in various techniques and sizes per the operations’ requirements. Currently, there 8 to 9 setups that are most popular in India, such as Vertical Farms in buildings, Container Vertical Farms, Underground Vertical Farms, Hydroponics, Aquaponics, Aeroponics, Rooftop Greenhouses, Soil Based Vertical farming, etc. Using technology in operations such as irrigation, crop monitoring, data collection, spraying of insecticides and pesticides, etc, has enabled cultivators to increase their output by going through precise data collected by installed sensors.

    The National Institute of Agricultural Economics and Policy Research revealed that, depending on the technology employed, the cost of establishing a vertical farm in India can vary between 50 lakhs to 1 crore rupees per acre. Everything from lighting and irrigation systems to fertiliser solutions and the cost of constructing the vertical farm structure are necessary for crop growth.

    An annual operating budget of 5–10 lakhs rupees per acre is typical for vertical farms. Everything from power to water to labour and other inputs needed for crop care and harvesting goes into this total.

    The Indian vertical farming industry is highly competitive, with major competitors such as Fresher Underwater Farms Private Limited, Future Farms LLP, Triton Foodworks Private Limited, and Altius Farms Private Limited. These businesses aim to increase their market share by forming strategic alliances and creating cutting-edge technology.

    Vertical Farming Crops That Generate A Profit

    Certain crops can provide handsome profits to vertical farmers. Crops such as tomatoes, strawberries, mushrooms, peppers, etc., can strike the right chord for farmers. However, a vertical farm in India can grow various crops, not limited to the ones listed above. Demand, weather, and resource availability are some variables that will influence crop selection.

    Since vertical farming allows cultivators to cultivate crops without soil, it has opened a gate for people living in deserted areas. Using technology such as hydroponics, aquaponics, and aeroponics, they can cultivate crops by installing a set-up in their location.

    Hydroponics – Various aggregate substrates and growing media, including vermiculite, coconut coir, or perlite, are utilised in hydroponics, a method of plant cultivation that does not use soil but nutrient solutions based on water. Commercial enterprises, amateurs, and small-scale farmers all use hydroponic production systems.

    Introduction to Hydroponic Farming System and its benefits and uses
    The advanced model of sustainable farms operates on the science of hydroponic farming, a soil-free farming technique. It is a system of growing crops without soil, often called soilless farming.
    StartupTalkyVibhavari Madki

    Aquaponics – Hydroponics and aquaculture, or fish farming, are combined in aquaponic farming. In this system, plants clean the water for the fish, while the fish fertilise the plants with their excrement. Both grains and fish can be efficiently and sustainably produced in this way. Even in densely populated cities, residents can enjoy a steady supply of locally grown produce and seafood thanks to aquaponic vertical farms.

    Aeroponics – One method of cultivating plants that do not require soil or other growing medium is known as aeroponics. A nutrient solution or aerosol of nutrient solution is misted or sprayed onto the plant roots at regular intervals while they are suspended in the air.

    Market Share of Vertical Farming Worldwide, by Technology
    Market Share of Vertical Farming Worldwide, by Technology

    Government Promoting Vertical Farm Culture

    Considering that most companies engaging in vertical farming businesses are startups, it is of utmost importance for the central and state governments to support these new budding entrepreneurs. Given the promising future of vertical farming in India, the federal and state governments have taken measures to encourage farmers to use it.

    Initiatives such as  Pradhan Mantri Krishi Sinchayee Yojana (PMKSY), National Horticulture Mission (NHM) and StartUp India are rightly aligned to provide needed fodder to these companies. With PMKSY, the government aims to latch on to the water-saving advantages of vertical farming, which is why it is actively promoting the use of precision irrigation systems and aims to improve agricultural water efficiency.

    Similarly, with NHM it plans to provide financial assistance for the establishment of poly houses and shade net houses, which can be utilised for vertical farming purposes.

    Lastly, StartUp India was created to strengthen and promote India’s startup scene. The Indian government hopes to turn the country into a startup nirvana with this flagship programme. The federal and state governments are working hard to ensure that all aspects of this enterprise are in sync, and they are speeding up the policymaking process to achieve this goal. This includes offering financial assistance to entrepreneurs and connecting them with mentors.

    The Reasons Behind the Massive Growth of AgriTech Startups In India
    The agritech startups have benefited many farmers in India. Let’s look at the growth, initiatives by the government and successful agritech startups.
    StartupTalkyRishita Jain

    FAQs

    What is vertical farming?

    Vertical farming is growing crops in vertically stacked layers indoors, often in buildings or shipping containers.

    What crops are profitable for vertical farming in India?

    High-value crops with good demand, like tomatoes, strawberries, leafy greens, and peppers, are popular. However, crop selection depends on market demand, climate control capabilities, and resource availability.

    How much does it cost to set up a vertical farm in India?

    The cost varies depending on technology and scale. Estimates suggest a range of 50 lakhs to 1 crore rupees per acre for establishing a vertical farm, with an annual operating budget of 5-10 lakh rupees per acre.

  • Resources and Training Opportunities to Help Women Entrepreneurs to Run Successful Social Enterprises

    This article has been contributed by Ms Prachi Kaushik, Founder & Director of VYOMINI Social Enterprise.

    One significant driver of economic growth that has been acknowledged is women’s entrepreneurship. They not only give society new jobs for themselves and others, but they also offer alternative approaches to organization and management. Due to their positive effects on women’s empowerment, poverty alleviation, and the financial stability of families and communities, women entrepreneurs will always play a crucial role in the advancement of the economy.

    Social enterprises—businesses that combine financial sustainability with social impact—are a growing vehicle for positive social change, with women at the forefront of this movement. Several tools and training opportunities can provide these changemakers with the capacity and skills they need to be empowered. The environment supporting female social entrepreneurs is expanding, providing a range of tools and chances for training to set them up for success.

    One of the main instruments of international labor organization is the Women’s Entrepreneurship Development Programme, which is the Gender and Entrepreneurship Together (GET) Ahead training program. By enhancing the business management abilities and critical soft skills of Women, GET Ahead seeks to close the gender gap and address some of the obstacles that women encounter when beginning and operating a business. It is different from traditional business training materials in that it emphasizes gender-based entrepreneurial skills, includes coaching and mentoring, and is specifically designed to meet the needs of low-literate women.

    Training and Support for Entrepreneurship (ENTERPRISES)
    Networking Events and Conferences
    Governmental Initiatives and Programs
    Local Small Business Development Centers
    Online Tools and Resources
    Startup India

    Training and Support for Entrepreneurship (ENTERPRISES)

    The ILO provides focused programs and networks of support to give female entrepreneurs the tools they need to overcome obstacles and succeed. Their initiatives are centered around empowerment and capacity building, with the goal of improving both individual and corporate performance.

    For women who have big dreams but little money, Bharathiya Mahila Bank was founded. It offers loans to female entrepreneurs wishing to start manufacturing businesses up to INR 20 crores. If the amount of the loan you are requesting is less than one crore, collateral is not needed. The loan program that was introduced in 2017 remains in place despite the Bharatiya Mahila Bank’s merger with the State Bank of India. A lot of organizations pair up would-be business owners with seasoned mentors who can share their knowledge, give priceless counsel, and encourage them along the way. This individualized coaching can be very helpful in overcoming obstacles and achieving success.

    The ILO-WED Program Creates Comprehensive Interventions To Support Women Entrepreneurs In Three Crucial Domains

    1. Creating an Environment That Encourages Women to Start Their Own Businesses: By identifying and fostering the conditions that facilitate women entrepreneurs’ enhanced access to opportunities and resources, ILO-WED aims to alleviate some of the systemic barriers that they face.

    Top 45 Successful Women Entrepreneurs In India 2024
    Women entrepreneurship is growing at a fast pace in Idnia. so we have listed some of the most successful women entrepreneurs in India.
    StartupTalkyAshwini

    1. Financial and Business Development Services: ILO-WED supports service providers in adopting more sustainable business models while working to make service provisions for entrepreneurs more relevant, accessible, and gender-sensitive for women clients.
    2. Assistance for Women Entrepreneurs Following Training: ILO-WED makes it easier to provide specialized training and post-training programs that enhance women’s financial, interpersonal, and business management abilities. Over the years, ILO has developed and tested these trainings, tailoring them to the unique circumstances of each country while establishing and sustaining a network of devoted trainers.

    Networking Events and Conferences

    Learning from successful businesswomen, establishing contacts, and drawing inspiration can all be obtained by attending networking events and conferences geared toward women in business. There are networking and educational opportunities at events like Women’s Entrepreneurship Day.

    Governmental Initiatives and Programs

    Many governments have initiatives and programs designed especially to help women who start their own businesses. These initiatives could include mentorship programs, training courses, and funding opportunities. Online Communities and Forums: Accessing helpful resources, guidance, and support for female entrepreneurs can be gained by participating in online programs.

    Local Small Business Development Centers

    Small Business Development Centers (SBDCs) are located in many communities and provide resources, counseling, and training for entrepreneurs at no cost or at cheaper rates. These organizations frequently host seminars and workshops designed especially for female business owners.

    Online Tools and Resources

    Women entrepreneurs can find a wealth of online tools and resources to assist them in starting and expanding their businesses in a variety of ways. These consist of marketing manuals, financial calculators, and templates for business plans.

    Startup India

    This government program gives women entrepreneurs in India a forum and essential assistance in areas like funding, mentoring, and skill development. It also offers workshops and other resources.

    Number of Reported Jobs within Startup India Initiative from 2016 to 2022
    Number of Reported Jobs within Startup India Initiative from 2016 to 2022

    For women entrepreneurs, training opportunities and resources are essential. Men have traditionally had more access to networks and resources, which has led to an unequal playing field in the business sector. By giving women business owners the instruments and information required to compete successfully, resources and training aid in closing this gap. A broad range of skills is necessary for launching and operating a successful business.

    Training programs can boost the chances of success for female entrepreneurs by providing them with essential skills in areas like financial management, marketing, business planning, and leadership. women entrepreneurs frequently encounter distinct obstacles, including managing familial responsibilities, obtaining capital, and surmounting gender prejudice. Resources and training can help women overcome these obstacles by offering them specialized support, advocacy, and coping mechanisms.

    All things considered, training programs and resources are vital to the empowerment of female entrepreneurs because they create equal opportunities, give them the tools they need to succeed, boost their self-esteem, help them make significant connections, and solve particular problems they may encounter. Consequently, this fosters an environment in a

    business that is more equitable and inclusive, enabling women to flourish and share their ideas and talents with the world.

    Everything You Need to Know about Startup India
    Startup India is an initiative by the government scheme for young entrepreneurs. Know about its benefits and how it will boost entrepreneurship.
    StartupTalkyDamini Bhandary

  • Zomato Collaborates with Startup India; Announces a Plastic-Free Orders Packathon to Promote Sustainable Packaging for Food Delivery Orders

    • Open to all DPIIT-recognized startups
    • Top 3 winners will receive prizes worth INR 10 Lakhs, 5 lakhs, and 3 lakhs respectively,

    New Delhi, 2nd February 2024: Zomato, India’s food ordering and delivery platform today announced a ‘Plastic-Free Orders Packathon’ in collaboration with Startup India to encourage innovation in sustainable packaging for food delivery orders. The Packathon is a competition for startups to showcase food delivery sustainable packaging options for restaurants catering to online food orders.

    Anjalli Ravi Kumar, Chief Sustainability Officer, Zomato said “Zomato is deeply committed to reducing the environmental impact of food deliveries. In September 2023, we began to recognize restaurants that have adopted sustainable packaging materials for food deliveries via a ‘Plastic-Free Orders’ banner. The program is live in 8 cities and 3.6 million orders have been recognized as plastic-free till December 31st, 2023. The program surfaced the fact that many national restaurant chains have adopted paper-based or bagasse-based packaging. Standalone, mid-tier and budget restaurants, especially those outside metro cities, are struggling with the availability of affordable and functional alternatives to plastic packaging for their deliveries. The problem is particularly acute for restaurants specializing in gravy-based cuisines with multiple condiments and accompaniments. We believe focused innovations hold the answer to this problem and the Packathon is a way to surface and recognize Indian innovators.”

    Zomato Plastic-Free Orders, Packathon
    Zomato Plastic-Free Orders, Packathon

    Aastha Grover, Vice President, Startup India said, “The launch of Zomato Plastic-Free Packathon is a testament to our shared commitment to helping Indian businesses and citizens transition to sustainable practices. Given the burgeoning issue of plastic pollution, this initiative is a clarion call to all Indian startups to innovate and devise sustainable packaging solutions for food delivery that can significantly reduce plastic usage. This challenge presents a unique opportunity for Indian startups to showcase their ingenuity and contribute to a new era of sustainable consumption. As part of Startup India’s mission, we are excited to facilitate and support innovative solutions that will preserve our planet for future generations.”

    Open to all DPIIT-recognized start-ups, the deadline for application submission to the Packathon is February 29th. The top three winners will receive prizes worth 10 Lakhs, 5 lakhs, and 3 lakhs respectively, in addition to receiving the opportunity to showcase their solution to Zomato’s restaurant partners.

    Guide to DPIIT Startup Registration Process – StartupTalky
    Startups are becoming very popular in India. In order to develop Indian economy and attract talented entrepreneurs, Government of promoted Startup India initiative to recognize and promote startups.
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    Zomato also recently announced its comprehensive 2030 sustainability goals, including, continuing to facilitate 100% plastic-neutral food delivery orders through voluntary recycling, and also facilitating the delivery of 100 million plastic-free food orders by 2025. Over the years, Zomato has undertaken various initiatives to reduce the environmental impact of food deliveries, through its 3Rs approach of ‘reduce, recycle and reward’.

    In 2021, the company made ‘Do not send cutlery’ the default option on its food ordering and delivery app, giving customers the option to ask for cutlery, only if they needed it. Over the past two years, this simple initiative has cut cutlery waste by 1,000 MT or 1 million kilos. In FY 23, Zomato recycled 20,000 MT of plastic waste – more than 2X the weight of plastic used by restaurant partners to package orders received through Zomato. In 2023, the company launched a recognition program for restaurant partners who make the switch to plastic-free alternatives for their Zomato deliveries.

    About Zomato

    Launched in 2010, Zomato’s mission is to provide better food for more people. Zomato is a restaurant search & discovery and food ordering and delivery platform.  

    About Startup India

    Startup India is a flagship initiative of the Government of India, intended to catalyze startup culture and build a strong and inclusive ecosystem for innovation and entrepreneurship in India. Launched on 16th January 2016, the Startup India Initiative has rolled out several programs with the objective of supporting entrepreneurs, building a robust startup ecosystem and transforming India into a country of job creators instead of job seekers. These programs are managed by a dedicated Startup India Team, which reports to the Department for Industrial Policy and Promotion (DPIIT) under the Ministry of Commerce & Industry. Currently, there are 1,19,000+ startups recognised with DPIIT as a part of our initiative.

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  • National Startup Day Shines a Light on Industries: Exploring India’s Progress, Government’s Role, and Future Visions in Growth

    As the sun rises on January 16, the nation proudly observes National Startup Day, a testament to India’s commitment to encouraging innovation and entrepreneurship. In 2022, Prime Minister Narendra Modi declared this day to celebrate the vibrant spirit of startups, acknowledging them as the backbone of a ‘New India.’ Since then, the startup landscape in the country has witnessed significant growth, with businesses sprouting across the nation.

    In 2016, the Indian government laid the foundation for this growth with the inception of the Startup India initiative. Today, India stands as the third-largest startup ecosystem globally, with over 1,12,718 DPIIT-recognized startups spread across 763 districts as of October 3, 2023. The nation not only ranks second in innovation quality but also excels in scientific publications and the quality of its universities among middle-income economies.

    In this context, StartupTalky connected with experienced individuals who have navigated the changing landscape of India’s startup ecosystem. In straightforward discussions, we explored their perspectives on India’s progress, the significant role played by the Government of India in driving growth, and their forward-looking views on the future of their respective industries. Their words reflect the pulse of a dynamic and ever-evolving entrepreneurial India.

    Fintech’s Evolution
    InsurTech’s Transformative Journey
    HR Industry’s Evolution
    Biotechnology’s Growth
    Tech and Electronics in India’s Startup Landscape
    Personal Care’s Sustainable Growth
    Fashioning Entrepreneurship in India

    Fintech’s Evolution

    Mr. Tarun Nazare, Co-Founder & CEO of Neokred Technologies, sharing fintech sector insights said, “Since 2016, we have witnessed the ecosystem go from boom to bust and bounce back. India’s startup landscape saw unicorns thrive, funding dip, and rebound. Now, the emphasis is on profitability with emerging sectors, promising resilient, innovative futures. Its advantages are that the Government is capitalistic, and focuses on the growth of all the sectors. Witnessed very active participation from RBI, regulator of Fintech. Expect mature decisions and good governance for yet-to-be-regulated sectors in the near future. We see promising activities from all the participants in all industries to make sure India’s GDP crosses more than $7 trillion by 2030.”

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    InsurTech’s Transformative Journey

    Kulin Shah, Co-founder and COO of Onsurity said, “Embarking on my entrepreneurship journey, witnessing the addition of over 68,000 startups, the space has undergone a transformative shift and evolved into leaders of product innovation. As the co-founder of an Insurtech, I’ve keenly observed the strategic initiatives that have propelled the rise of InsurTechs such as the regulatory framework, progressive policies, and initiatives. For example, with the introduction of the use and file process, insurers can introduce products to the market on filing with the regulator, thus avoiding a long waiting duration to get approvals. The introduction of regulatory sandboxes and streamlined licensing processes has further paved the way for growth.

    Our industry has transcended from a selling approach to a seamless, digital realm, where transactions unfold effortlessly at the click of a button. Insurtech platforms are no longer just facilitators of claims but are comprehensive service providers, offering a diverse array of insurance options with a strong emphasis on convenience and paperless processes.”

    HR Industry’s Evolution

    Manish Panwar, Business Head, Vega HR, said, “India’s startup ecosystem has surged, driven by a young, dynamic, and talented workforce as well as increased funding, and government initiatives like Startup India. These measures include simplified regulations, tax benefits, and financial support, creating a conducive environment for innovation and entrepreneurship. The aim is to foster economic growth, and job creation, and position India as a global startup hub.”

    “Cities like Bangalore, Delhi-NCR, Hyderabad, etc. are tech hubs, hosting diverse startups from fintech to ed-tech. Global attention and investment highlight India’s growing role in the global startup landscape.”

    Panwar further added, “The future for the HR industry looks promising driven by a combination of government support, the startup boom, and the need for innovative talent management strategies. At Vega HR, we are passionate about creating solutions for employee rewards & recognition as well as enabling digital equity and streamline the process of ESOP management effortlessly. As companies recognize the importance of aligning employee interests with organizational success, total rewards (short-term & long-term) are expected to play a pivotal role in shaping the future of India’s corporate landscape, and we want to be at the forefront of steering this movement.”

    Biotechnology’s Growth

    Mr. Najeeb Bin Haneef, Founder and CEO of Zaara Biotech, shares his perspective on the success of his startup and the broader landscape of the biotechnology industry. Reflecting on the system around him, Mr. Haneef states, “The success of my startup does not depend on my knowledge or luck; it is solely because of the system around me that supports my dream.”

    He emphasizes the role of various support initiatives, events, and schemes introduced by the government that have been instrumental in the growth of Zaara Biotech. “The various schemes of the state and central government help us reach our products and services in domestic and international markets as easily as a student startup. From our inception, we have explored all privileges available to a student startup, allowing us to pitch and exhibit at various national and international events, with significant support from the state legacy, Kerala Startup Mission. 

    “We presented our first product at GITEX Global in the Dubai World Trade Center under the Startup Mission scheme. There is always a boom in the startup ecosystem, and the government plays a vital role in creating synergies with international trade and exports. Research stations such as ICAR-CIFT Cochin also enable support for startups like us to reach a broader audience by placing products in various central government sectors. They also recommend participation in various training sessions funded by ICAR,of said Haneef.

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    EdTech’s Evolution

    Mr. Sumanth Prabhu, Co-founder & CEO of Ulipsu, shed light on the evolution of the EdTech industry in India. He said, “In 2014, the startup ecosystem was not this mature. There wasn’t much awareness about startups, funding, financial models, sales and marketing education, etc. Initially, it was a dream that merely existed but eventually, the startup ecosystem evolved. The startup knowledge, its concepts, the training and mentoring required can be found everywhere. The investing community has increased interest in startups today comparatively. Over the last decade, the government has made efforts to ensure that the startup ecosystem in India is thriving, and rightfully, it has matured today. With programs like the ‘Startup India Program’, different schemes have been available in different states all over India to foster the development of budding startups.”

    “Existing startup policies and schemes that were available for companies irrespective of the EdTech industry, has helped us a lot. The Karnataka Government conducts an annual competition where deserving startups are given recognition along with financial grants as high as 50 lakh rupees. Ulipsu was also one of the participating companies in 2018 that was granted 20 lakh rupees. Likewise, a lot of such support initiatives and events were introduced by the government to expand growth,the said Prabhu.

    Highlighting the growth prospects of the ed-tech industry, Prabhu said, “Working in the ed-tech sector, the opportunities have increased drastically because of NEP implementation. We are aware about the future of education. Through NEP, there have been collaborations between the industry and academics. Much more awareness & preference is being given to skilling rather than rote learning. Multiple credit-based and entry-exit systems are helping children explore what they want to pursue. Learning outcomes are being influenced and catalyzed by AI. India, having the largest youth population in the world, is where education will show growth more rapidly than ever.”

    Tech and Electronics in India’s Startup Landscape

    Sandeep Kumar, Founder and CEO, Baatu Tech, highlighting his startup journey said, “In my journey through India’s dynamic startup ecosystem, I’ve witnessed remarkable growth backed by substantial government support. India, now the world’s third-largest startup hub, has seen a surge in total funding from 2015-2022, with 108 Unicorns valued at multiple billions as of March 2023.”

    “The government’s initiatives, such as startup challenges, National Startup Awards, Incubators and Accelerators, Networking opportunities, and state rankings, contribute significantly to this success. Startups with sustainable business models and those innovating around artificial intelligence, Software-as-a-Service (SaaS), and deep tech are anticipated to progress well. However, some challenges persist, particularly in funding, revenue generation, and supportive infrastructure,” said Kumar.

    While discussing the way forward, Kumar emphasized, “The way forward necessitates pivotal roles for venture capitalists, angel investors, and the corporate sector. Policy measures, in alignment with the Digital India Initiative, are crucial. Bengaluru is a powerhouse in India’s startup ecosystem, hosting a remarkable 1,783 women-led startups, outpacing Mumbai (1,480) and Delhi (1,195), as reported by the startup data platform Tracxn. As India aims to become a global tech player, decisive policy measures and sustained support are vital for continued success, significantly beyond traditional sectors.”

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    Personal Care’s Sustainable Growth

    Mr. Sanjeev Ingti, Director & Co-Founder of Eliea Wellness, sharing insights from the personal care industry, remarked, “During my journey, I’ve observed India’s remarkable strides in ecosystem studies. The nation has fostered a robust scientific community, embracing interdisciplinary research to understand and preserve its diverse ecosystems. Collaborations, technological advancements, and environmental policies showcase India’s commitment to sustainable development and biodiversity conservation. 

    The Indian government has actively propelled the medicinal personal care industry’s growth through policy initiatives, regulatory support, and incentives. Encouraging research and development, streamlining approvals, and fostering innovation have created a conducive environment for accelerated expansion, promoting health-centric products and contributing to the sector’s positive development.

    The future of India’s personal care industry promises innovation driven by technology, sustainability, and wellness trends. With a surge in demand for clean and natural products, the industry is poised for eco-friendly advancements. E-commerce and personalized solutions will further redefine consumer experiences, shaping a dynamic and health-conscious landscape.”

    Similarly, Mr. Lasakan Cholayil, Co-Founder of Sadhev, reflecting on the landscape of beauty and personal care startups, stated, “In my journey with Sadhev, I’ve seen firsthand the dynamic shift in India’s startup landscape. There’s a palpable energy, especially in our niche of organic beauty. It’s not just about business growth; it’s about a cultural shift towards sustainable living. We’re riding this wave, innovating and connecting with a community that values what we value.

    The Government of India has been a catalyst for us. Initiatives like ‘Make in India’ haven’t just been slogans; they’ve opened doors. We’ve seen tangible support in promoting indigenous products, which has been a game-changer for brands like ours. It’s about preserving our heritage while scaling up.

    Looking ahead, I see a horizon filled with opportunities. The trend is clear – there’s a growing demand for authentic, natural products. We’re not just selling products; we’re part of a larger movement towards sustainability. The market is ripe for innovation, and for startups like Sadhev, it’s a chance to lead this change, both in India and globally.”

    Fashioning Entrepreneurship in India

    Dhruv Toshniwala, Founder of The Pant Project, discussing India’s startup ecosystem, said, “At The Pant Project, we’ve had the privilege of witnessing India’s remarkable strides in the startup ecosystem throughout our journey. Over the years, we’ve observed a significant surge in entrepreneurial spirit, fostering a vibrant and dynamic landscape. The government’s proactive measures, such as ‘Startup India’ and various policy reforms, have created a conducive environment for startups. These initiatives aim to simplify regulations, reduce bureaucratic hurdles, and provide financial incentives, fostering a more supportive ecosystem. Many startups in India are not only focused on profitability but also on creating positive social impact. This dual approach has led to the emergence of socially conscious businesses that strive to make a meaningful difference in society.”

    Highlighting the Government’s role in accelerating growth in the fashion industry, Toshniwala said, “The Government’s emphasis on skill development and education has contributed to a skilled workforce. This, in turn, has enhanced productivity and efficiency within the industry, aligning with the nation’s broader economic goals. Investments in infrastructure, including logistics and transportation, have streamlined our supply chain operations. Government initiatives to promote international trade have opened up new avenues for our industry. Bilateral and multilateral trade agreements have facilitated smoother exports and imports, contributing to the overall growth of the sector.”  

    “The digital landscape is transforming the way consumers shop. E-commerce, social media, and technology-driven experiences are shaping consumer behaviour. The Pant Project is strategically investing in digital platforms to enhance our online presence and provide a seamless shopping experience. The fashion industry in India is evolving towards greater inclusivity and diversity,” added Toshniwala.

    In India’s startup journey, different businesses are growing with new ideas. From finance to fashion, they show how innovation and help from the government make a strong future. This is the story of a changing and hopeful world of startups in India.

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  • How to Get a Government Loan for Startup? | List of Government Business Loans

    The entrepreneurial dreams of Indians have given the country over 94 Unicorns in recent years. This number is expected to cross a century by the end of 2022. Startups across the MSME sector have been at the heart of the Indian economy and generated millions of jobs for people across the country.

    It is anticipated that MSMEs alone contribute 8% of the overall GDP, and startups play a huge role in it. But unfortunately, not every entrepreneurial dream gets the chance to take off due to a lack of funds. Keeping this in mind, the Indian government offers various government loans to help passionate entrepreneurs make through.

    Budding entrepreneur with a revolutionary idea in mind should use the government loan schemes to transform their ideas into action. For further assistance of all entrepreneurs, we’ve curated this epic guide that has all the information on how to avail of a government loan for a startup.

    Who Can Avail Business Government Loans for Startups?
    Documents Required to Avail the Government Loan
    List of Government Loans for Startups

    How to Choose the Best Loan Ideal for Your Business?

    Who Can Avail Business Government Loans for Startups?

    How to get Government business loans for startups
    How to get Government business Loans for Startups

    Although the precise eligibility criteria would vary depending on the government loan people take, the general criteria common across all loans are:

    • The applicant must be an Indian citizen
    • The applicant must have a robust business plan
    • The applicant should be more than 21 years of age; the maximum age is capped at 65
    • The startup must be registered as a partnership firm, sole proprietorship, Limited Liability Partnership (LLP), Private Limited company, etc
    • The applicant and startup must have a good credit score

    Documents Required to Avail the Government Loan

    People willing to avail government loan for a startup should be ready with the following documents:

    • KYC documents, including Aadhar card, passport, voter’s ID card, PAN card, etc
    • Past 12 month’s bank statement
    • Self-drafted, sound Business Plan
    • Previous year’s ITR
    • Credit Rating/CIBIL documents
    • GST Documents
    • Business establishment certificate
    • Business address proof
    • Any other document asked by the lending institution

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    List of Government Loans for Startups

    Government business loans have always provided the necessary financial backing to startups. If a startup requires some financial help, the founders might want to apply for any one of the following government loans for a startup.

    Pradhan Mantri MUDRA Yojana (PMMY)

    Pradhan Mantri MUDRA Yojana (PMMY) – Government Business Loans for Startups

    Launched in 2015, this government loan scheme offers business loans to non-corporate & non-farm small and micro-enterprises. Under this scheme, startups can avail of a loan amount of up to Rs. 10,00,000. The tenure for repayment for this collateral-free loan ranges from one year to five years. Startups can avail of this loan by visiting any nearest small finance bank, microfinance institution, commercial bank, and non-banking financial company.

    The Pradhan Mantri MUDRA Yojana provides loans depending on the development stage of the startup. Hence, the applicants can find the following three segregation under this loan:

    Loan Type Coverage Yearly Rate of Interest
    Shishu Up to Rs. 50,000 1% to 12%
    Kishore Above Rs. 50,000 to up to Rs. 5,00,000 8.60% to 11.15%
    Tarun Above Rs. 5,00,000 to up to Rs. 10,00,000 11.15% to 20%

    Startup founders can apply for this loan if they’re a trader, shopkeeper, vendor, etc. Just visit any lending institution mentioned above or login to a PSB or 59 minutes portal and do the needful. They will guide further. Startups can utilize this loan as a working capital loan through the offered MUDRA card.

    Pradhan Mantri MUDRA Yojana (PMMY) – Government Business Loans for Startups

    MSME Loan in 59 Minutes

    MSME Loan for Startups Approved in 59 minutes
    MSME Loan for Startups Approved in 59 minutes

    As the name suggests, this loan offered by the government is approved in 59 minutes flat. Launched by SIDBI, this loan is ideal for small and medium-size startups that need capital assistance of under Rs. 10, 00,00,000 at a somewhat lesser interest rate. In some cases, the interest rate is as low as 8%.

    To avail of this Public Sector Banks (PSB) loan scheme, startup founders can visit the Central Bank of India, Canara Bank, Bank of Baroda, Bank of India, SBI, etc., for a hassle-free loan application process. Once the loan application is processed and approved, the applicants can get the amount within 8-10 working days. Startup founders can also visit the PSB loan in 59 minutes portal to get more details about this loan scheme and apply.

    Credit Guarantee Fund Trust Scheme for Micro & Small Enterprises

    CGTMSE for starting new Business
    CGTMSE for starting new Business

    Also known as CGTMSE, this government business loan provides collateral-free loans to startups. Launched by the SIDBI and MSME ministry, this loan scheme offers a loan amount of up to Rs. 2,00,00,000 to both new and existing startups. A special preference is given to women entrepreneurs under this loan scheme. Under the CGTMSE, startups can get a collateral-free loan of up to Rs. 10,00,000. But for any amount above this value, startups will have to provide collateral in the form of any building or land attached to the primary business.

    Those who want to avail of the CGTMSE loan can approach a scheduled commercial bank or select a regional rural bank classified by NABARD for loan approval. Both new and existing startups can apply for this loan engaged in manufacturing activity, retail trade, and service activity.

    Credit Facilitation Through Bank by NSIC

    NSIC Launched by the MSME ministry for business loans
    NSIC Launched by the MSME ministry for business loans

    The NSIC has signed an MoU with various banks to provide super-fast and hassle-free loans to different startups. Launched by the MSME ministry, this one-of-a-kind loan facility is provided by NSIC under the central government. The best part of this government loan is that NSIC also helps complete the full documentation and legal formalities to quickly avail of the loan.

    Small or medium startups needing a short-term loan for maintaining working capital or other operations should consider applying for this loan. It is a reasonably low-interest loan and can be availed by visiting any well-known banking institution like the HDFC bank, ICICI bank, Axis bank, YES bank, etc.

    Also known as CCLCSS, it is a loan provided by the MSME ministry and the government of India to startups for technology upgradation. Startup founders that own a manufacturing enterprise, textile startup, fabrication unit, or any business that uses machines and equipment should avail of this loan of up to Rs. 15 lakh to upgrade to the latest technology. This loan helps startups stay up-to-date regarding technology to withstand the competition at local and global levels.

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    How to Choose the Best Loan Ideal for Your Business?

    Now that the information related to top business loans offered by the government to startups is made available, some entrepreneurs might be confused about which one to proceed with. The answer is pretty simple. Every loan discussed above has a different purpose, interest rate, credit limit, etc. The startup founders should go ahead with the one that helps the business stay afloat and even scale in the best way possible.

    To apply for any of the above-discussed government business loans, startup founders can head to the respective website of the financial institution providing the loan, fill out the application, and wait for someone from the organization to contact them. Business loans offered by Government are sure to help you accelerate your business growth, so they should be applied for.

    FAQs

    What are the Government loans for startups?

    List of Government Loans for Startups are:

    • Pradhan Mantri MUDRA Yojana (PMMY)
    • MSME Loan in 59 Minutes
    • Credit Guarantee Fund Scheme for Micro & Small Enterprises
    • Credit Facilitation through Bank by NSIC
    • Credit Link Capital Subsidy Scheme

    How much loan can you get under the MSME government business loan scheme?

    Under the MSME government business loan scheme, as an MSME, a startup/business can get a loan sanction of up to Rs. 1 crore within just 59 minutes.

    What is the eligibility for a startup business loan?

    Eligibility Criteria for Startup Business Loan are:

    • Resident citizen of India
    • Minimum CIBIL score of 700
    • Business should at least 2 years old
    • Annual income of business should be at least INR 2 lakhs
    • Applicant Should be between 21 years to 65 years of age

  • Startup India: An Initiative by the Government for the Young Entrepreneurs

    The time we are living in, startups are making the loudest noise all over the world. People are being brave and are keen on transforming their ideas into reality. Almost every country is experiencing a rise of startups across industries; young entrepreneurs are striving hard to fulfill their vision without any fear. This is not only about the growth of an individual but it is also contributing to the growth of the countries.

    Just like all other countries, India is also experiencing the same rise. Not only that, it has become the biggest hub of Startups in the world. In this article, we will talk about how the initiative by the Government of India to create an ecosystem where Startups can flourish and how in the last six years, this initiative has been able to help young entrepreneurs and their startups. So, without any further ado, let’s get started.

    “What do you need to start a business? Three simple things: know your product better than anyone. Know your customer, and have a burning desire to succeed.”

    –Dave Thomas

    What is Startup India?
    What is a Startup as per DIPP?
    Benefits Provided by Startup India
    Current Startup Scenario in India
    Startup India: The Innovation Week
    FAQ

    What is Startup India?

    Startup India is an initiative taken by the Indian Government; it was first announced in the year 2015 by the Prime Minister of India, Narendra Modi. The campaign was launched on January 16th of 2016.

    Basically, the main aim of this campaign is to provide an ecosystem where the Government will empower all the new Startup ventures and of course to encourage the innovation culture. Overall, this initiative is also in a role to stimulate entrepreneurship, economic growth, technological growth, innovation growth, and the employment of the country.

    What is a Startup as per DIPP?

    Though most of us more or less know what a startup is, mainly because today we are almost surrounded by startups, the Department for Promotion of Industry and Internal Trade (DIPP) has defined the startup companies, as per the government of India. By the term “startup”, DIPP has mentioned the companies that are within 10 years from the date when they were incorporated/registered. Furthermore, the turnover of the company shall not be exceeding the 100 crore mark for any of the financial years since its incorporation/registration. Besides, it is obvious that the startup should have its headquarters in India to be recognized as an Indian startup. Along with that, DIPP also recognizes the startups that are registered with either of the following legal frameworks:

    • The registration of the company should be under the Companies Act of 2013; or,
    • Section 59 of the Partnership Act of 1932, as a partnership firm; or,
    • Limited Liability Partnership Act, 2002, as a limited liability partnership.

    Benefits Provided by Startup India

    Some of the benefits that Startup India provides to the young entrepreneurs of the country are:

    • One has to register through a mobile app or a website for their startup. It is quite easy and anyone who is interested can fill up a form and the whole process is online.
    • While filing the patents, startups will get an 80% reduction on that cost. Plus, the Government will deal with the facilitator fees and the startup will only pay the statutory fees.
    • The Government of India as per the initiative has created a ₹10,000 Crore fund and it will be invested in the startups as their venture capitals.
    • Startups will be free from paying three years of income tax if they get a certificate from Inter-Ministerial Board.
    • Research parks to be set up and it will give out several facilities in the R&D sector.
    • A number of compliances are provided to the Startups that will ensure saving of time and money.
    • People who are investing in startups will receive an exemption from tax, this will help in attracting more investors for the startups in the country.
    • The startups can choose from the investors, who want to get funds for their business.
    • One can close their startup within 90 days from the date of application of closing it up.
    • Every year nationally and internationally the Government has decided to host two fests where the startups will be able to interact with each other.

    Current Startup Scenario in India

    In the last few years, hundreds of Startups have been founded in the country and it is just increasing with time. Some of them have already made it to the list of Unicorns in India. For those who are not aware of what Unicorn is, basically, the term means a startup that has a valuation of $1 billion.

    Top Indian Startup Unicorns in 2021

    Right now, the country has over 83 Unicorns and has become the third-largest Unicorn hub in the world. The industries with the most numbers of Unicorns in the country are Fintech, SaaS, and e-commerce.

    Bengaluru has emerged to be the city with the most number of Unicorns. Not only that, India has four Decacorns as well. Decacorns are those startups that have a value of $10 billion and above.

    Startup India: The Innovation Week

    The year 2022 is even bigger than the last year for startups in terms of the rising number of startups and unicorns. The day before the 6thanniversary of Startup India, on the ongoing celebration of innovation week, the Prime Minister of India, Narendra Modi has interacted with over 150 startups from different sectors through video conferencing. He announced that the 16th of January will be observed as the National Startup Day in the country.


    The PM also said that the Startups are going to be the backbone of the country. He firmly advised the youth to indulge in the world of startup and “innovate for India and from India” and to also focus on the semi-urban and rural part of the country with their startups. Apart from that, he firmly believes that when India will complete its 100 years of independence, Startups will be playing a major role in the country.

    Conclusion

    It has been over 6 years since the StartupIndia initiative was launched many have benefited from it and it will continue encouraging the startup world of India. Young entrepreneurs have started dreaming fearlessly and are continuously striving to make those dreams a reality. An initiative like Startup India is just focusing on pushing those dreams to the peak of success.

    FAQ

    Who are eligible for Startup India?

    Any business that has a turnover of not more than ₹100 Crore is eligible for Startup India.

    What are the top 10 startups in India?

    Unacademy, Udaan, CRED, upGrad, Razorpay, Meesho, Skyroot Aerospace, boAt, Urban Company, AgniKul Cosmos are top startups of India.

    What is the main aim of startup India?

    Startup India is a flagship initiative of the Government of India, intended to catalyze startup culture and build a strong and inclusive ecosystem for innovation and entrepreneurship in India.

  • Benefits of Startup India Initiative and How Businesses Can Avail Them?

    Every entrepreneur feels like working with a small kid while working on their dream project i.e. their startup idea. They want to get all the facilities in order to grow their startup from a grounded level to a full-fledged company. During this period of growing a startup to a company, every government provides all the needed facilities to a startup required by them.

    Likewise, the Government of India has also started the ‘Startup India Initiative’ on 16th January 2016. Entrepreneurs can avail the benefits of startup India Initiative for starting and growing their businesses.

    About Startup India Initiative by Government of India
    How to Register Under Startup India Initiative
    Benefits of Startup India Initiative by Government of India
    1. Self-certification
    2. Startup India Hub
    3. Simple Process
    4. Patent Protection
    5. Rs.10,000 Crore Startup Fund
    6. National Credit Guarantee Trust Company
    7. No Capital Gains Tax
    8. No Income Tax For Three Years
    9. Tax Exemption for the Investment of Higher Value
    10. Organizing Startup Fests
    11. Innovation Focused Programs for Students
    12. Setting up Incubators
    13. Research Parks
    14. Entrepreneurship in Biotechnology
    15. Dedicated Programmes in Schools
    16. Legal Support
    17. Rebate
    18. Easy Rules
    19. Faster Exits

    FAQs

    All about Startup India Scheme and Registration Benefits

    About Startup India Initiative by Government of India

    Startup India logo
    Startup India logo

    Likewise, the Government of India has also started the ‘Startup India Initiative’ on 16th January 2016, a pioneering initiative intended to support startups and budding entrepreneurs by providing them with the benefits of Startup India. The program primarily focuses on three major areas:

    • Simplification and Handholding.
    • Funding Support and Incentives.
    • Industry-Academia Partnership and Incubation.

    The scheme facilitates the startup to be able to get recognized by the Department for Promotion of Industry and Internal Trade (DPIIT) in order to avail the abundant benefits to start their own business in India.

    How to Register Under Startup India Initiative

    There are three types of companies in India under which various startups get themselves registered:

    • Partnership Firm
    • Limited Liability Partnership Firm (LLP)
    • Private Limited Company

    The firm must fulfil the following eligibility criteria for Registration under Startup India:

    • A company must be registered as a Partnership Firm, Limited Liability Partnership Firm (LLP) or Private Limited Company.
    • The existence period of the company must not be more than 10 years from the date of incorporation.
    • The annual turnover of the company must not exceed Rs.100 crore for any financial year since its incorporation.
    • The entity should not have been formed by splitting up or reconstructing an already existing business.
    • The startup must work towards innovation, development, or improvement of products or processes or services and have an extensible business model with a high potential of wealth creation and employment opportunity.

    Once the startup fulfils the above-mentioned criteria, they are eligible to avail the following Startup India Scheme Benefits by the Government of India.

    Benefits of Startup India Initiative by Government of India

    1. Self-certification

    The startups shall be allowed to self-certify and comply through the Startup mobile app with 9 Labour Laws and 3 Environment Laws to avoid inspection concerning the registration of the firm, building and construction workers, employees’ provident funds, insurance cover and more.

    2. Startup India Hub

    By creating a virtual platform, the government facilitates the entire startup ecosystem to connect and engage with each other, enable knowledge exchange and access to funding.

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    3. Simple Process

    The process of startup registration has become simple with the launch of a mobile app and website. Any firm interested to get registered under Startup India may simply fill the form available at the website and upload the necessary documents. The entire process has become online.

    4. Patent Protection

    Several measures are taken under this scheme to promote awareness and adoption of the Intellectual Property Right (IPR) by the startup offices to aspiring entrepreneurs. This helps in giving protection or security to the entrepreneur as the dream project is now registered in the name of a single entity.

    5. Rs.10,000 Crore Startup Fund

    The Life Insurance Corporation of India plays a major role in developing this corpus to give them great startup India benefits. This helps in giving a cover to the startup and to the entrepreneur by giving the benefit of Rs.10,000 crore fund, depending upon the category and the future growth of a startup.

    6. National Credit Guarantee Trust Company

    The credit guarantees via National Credit Guarantee Trust Company have been planned with a budget of Rs.500 crore per year for the next four years to provide financial support to benefit entrepreneurs.

    7. No Capital Gains Tax

    The exemption shall be given on capital gains if that amount is invested in the Fund of Funds recognized by the Government. This gives an edge to a startup over getting the maximum amount of fundings from their investors, without paying a single penny in the form of tax due to value addition to the startup.

    8. No Income Tax For Three Years

    The entrepreneurs are exempted from paying income tax for the initial three years, as it will help the startups to grow in the future. Hence, the startup would be able to minimize the capital flow towards the government till significant growth is achieved.

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    9. Tax Exemption for the Investment of Higher Value

    Investment of higher value than the market price should be exempted from paying tax. This helps startups to get a funding of bigger amount and that too without any problem as they don’t have to pay tax for it.

    10. Organizing Startup Fests

    Startup fests would be organized at national as well as international stages to provide exposure to budding entrepreneurs. This is just helping in increasing the number of entrepreneurs and successful startups and their businesses in the country.

    11. Innovation Focused Programs for Students

    It is launched to boost innovation and encourage talented youth. This innovation will help in creating new ideas and jobs along with other beneficial services for the citizens of the country.

    12. Setting up Incubators

    Various incubation centers have been build at the National Institute of Technology (NITs) to provide startups with necessary guidance, skill development tips, mentoring sessions, tech support, networking, infrastructure, coworking space and more.

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    13. Research Parks

    The government has set up Research Parks in various Indian institutes of Technology (IITs) with an investment of Rs.100 crore each. The startups can do their research and development work in these research parks.

    14. Entrepreneurship in Biotechnology

    The government will establish various biotechnology offices across the country in order to promote startups in the biotechnology sector.

    15. Dedicated Programmes in Schools

    The government will introduce innovation-related programs for students in school. For this, the government is introducing the subject related to startup and business. This will help in growing the mindset of the students towards the startup that will bring innovative ideas into existence.

    Through Startup India Initiative, Legal Support will be provided for new startup facilities and other official documents will be given. This could be very beneficial for a startup in its initial stages.

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    17. Rebate

    When the startup has to pay too much for tax, rent, or utility then the Startup India scheme provides relaxation by giving a rebate of 80%.

    18. Easy Rules

    Public procurement and rules of trading have been simplified for the startups in the Startup India Programs. The government has simplified all the rules and regulations of any startup which would further ease the movement of the business.

    19. Faster Exits

    If the startup fails again, the government will provide an easy way out. This will help the entrepreneur to get an easy exit without any problem. Hence, makes an easy entry and exit for an entrepreneur for his or her startup.

    FAQs

    What is Startup India?

    Startup India is a pioneering initiative of the Government of India intended to support startups and budding entrepreneurs by focusing on three major areas:

    • Simplification and Handholding.
    • Funding Support and Incentives.
    • Industry-Academia Partnership and Incubation.

    Who is eligible for Startup India Benefits?

    Any company having an annual turnover not exceeding Rs.100 crore for any of the financial years since incorporation/registration.

    Why do startups fail in India?

    The reasons that are responsible for the failure of a startup:

    • Lack of innovation.
    • Lack of funds.
    • Lack of mentor.
    • Lack of focus and legal disputes.
    • Poor customer service and low-quality products.
    • Highly anticipated model against the nature and lifestyle of the target audience.

    What is the best startup business in India?

    Best Startup Businesses in India to start with:

    • Virtual Assistance
    • Freelancing
    • Reviewing Products
    • Affiliate Marketing
    • Graphic Designing
    • Podcast
    • Blog Monetization
    • Online Course Creation
    • Selling Products Online
    • Printing On Demand

    How can I start a startup in India?

    Steps to start a startup in India:

    • Check the feasibility of your idea in the market.
    • Do market research.
    • Keep an eye on your competitors.
    • Have a business plan ready.
    • Look for funds.
    • Register in Startup India Program.

    Do startup companies offer benefits?

    Yes, they do provide benefits like work from home, letters of recommendation, incentives and other perks like free meals and lunch.

    What are the main benefits of working in a startup?

    The main benefits of working in a startup over a corporate job are:

    • Your work will be acknowledged.
    • You’ll be given more responsibilities.
    • You’ll be learning a lot.
    • You’ll have a great experience working with true innovators.
    • You’ll get exposure.
    • Skill development.
    • Perks.

    What are the benefits of Startup India?

    The benefits of Startup India are as follows:

    • Self-certification.
    • Startup India Hub.
    • Simple Process.
    • Patent Protection.
    • Rs.10,000 Crore Startup Fund.
    • National Credit Guarantee Trust Company.
    • No Capital Gains Tax.
    • No Income Tax For Three Years.
    • Tax Exemption for the Investment of Higher Value.
    • Organizing Startup Fests.
    • Innovation Focused Programs for Students.
    • Setting up Incubators.
    • Research Parks.
    • Entrepreneurship in Biotechnology.
    • Dedicated Programmes in Schools.
    • Legal Support.
    • Rebate.
    • Easy Rules.
    • Faster Exits.