Self Certification for Startup India
Business not older than seven years qualify for benefits under the Startup India Action Plan.
Startups no longer require a letter of recommendation from an incubator or an industry association for recognition. They can self certify. To know more about the guidelines and details about the self-certify compliance, please read the details of the program here.
In order to self-certify compliance, you may log on to ‘Shram Suvidha Portal’.
The benefits provided to startups who are recognised under the Startup India program are :
- Ease of Conducting Business and Handholding
- Funding Support and incentives for Startups
- Various Tax Exemptions and IPR Benefits
- Industry & Academic Support and Incubation Frameworks
For more details, refer to Section 2 of the Startup India Action Plan here.
Who Can Apply
According to the DIPP, under the Startup India Action Plan, to be eligible as a startup, a startup is defined as an entity that satisfies either of the points mentioned below:
- Aims to develop and commercialise a new product, service or industrial process
- Aims to significantly improve on a product, service or process that will add significant value for customers or workflow
With the exception of:
- A product, service or process with no potential for commercialization;
- Undifferentiated products, services or processes;
- A product, service or process with no or limited incremental value for customers or workflow
An entity to be eligible as a startup, shall satisfy all the following conditions:
- The entity should be a Private Limited Company or Registered Partnership Firm or Limited Liability Partnership. A proprietorship or a public limited company is not eligible as startup. A one-person company, being a private limited company is entitled to be recognized as a ‘startup’ till up to five years from the date of incorporation.
- If its annual turnover has not exceeded 25 crores in the last five financial years.
- If it is working towards innovation, development, deployment, and commercialisation of new products, processes, or services driven by technology or intellectual property.
- If the entity has not been formed by the splitting up or reconstruction of a business already in existence or created as a subsidiary of an existing company or foreign entities.