Startup India Certificate Benefits
- 3 Year Income Tax Exemption
- Access to Funding
- Government Tenders
- Cloud Credits
- Trademark And Patent
Startup India Certificate Benefits, Eligibility Criteria, Documents Required, Process
The Startup India Certificate is more than just a piece of paper. It symbolizes a significant milestone in the journey of any startup. Not only does it provide recognition and credibility, but it also opens up a world of benefits and opportunities for budding entrepreneurs.
Enjoy Your Startup Journey
Startup India Certificate
- Tax Exemption: If your company was incorporated between April 2016 and March 2021, your company is a private limited or LLP, and you have a Startup India certificate. You become eligible to apply for tax exemption, and if the government approves your application, they will provide you with a Certificate of Eligibility. Based on this certificate, you can avail tax exemption benefits for any three consecutive years.
- Access to Funding: Government funding available wherein you can get a loan of up to 2 crores without mortgage under the GSTME scheme. In this too, startups get first priority, and there are related norms to be followed since you are a startup.
- Government Tender: If you have Startup India Certificate and you want to participate in Government tenders, you won’t have to pay the earnest money deposit (EMD), and you won’t need to show turnover or experience. This means you get 100% relaxation from the government, and you’ll also get first priority in government tenders.
- Cloud Credits: Cloud credits avail ranging from $1000 to $5000 for every certified startup company, and it’s completely free of cost. These credits can be used for data storage, online marketing, and web hosting. You can claim these credits after receiving the Startup India certificate, and you can use them free of cost for a year.
- Trademark & Patent: If you have a Startup India certificate and you want to apply for a trademark or patent, the government covers advocate charges or consultancy fees on your behalf, and your trademark or patent application will be fast-tracked, processing 30% to 40% faster.
- Type of Entity: The startup must be registered as a Private Limited Company under the Indian Companies Act, 2013, a Limited Liability Partnership (LLP) under the Indian Limited Liability Partnership Act, 2008, or a partnership firm under the Indian Partnership Act, 1932.
- Annual Turnover: Another requirement is that the turnover of your company should not exceed 100 crores.
- Incorporation Period: For recognition under the DPIIT Startup India initiative, the entity must be incorporated for a period not exceeding 10 years from its date of incorporation.
- Incorporation Certificate of Startup
- Company Pan Card
- Director Aadhar Card
- Organization DSC Class3
- Email id
- Contact no.
Do You Want
Startup India Certificate?
Abtik can help you. We help Startups with the recognition process. Book A Call for quick inquiry.
FAQs
Startup India Hub is a one-stop platform for all stakeholders in the Startup ecosystem to interact with each other, exchange knowledge, and form successful partnerships in a highly dynamic environment.
Investors, particularly venture capitalists (VCs), add value to startups in a lot of ways:
1. Stakeholder Management: Investors manage the company board and leadership to facilitate smooth operations of the startup. In addition, their functional experience and domain knowledge of working and investing with startups impart vision and direction to the company.
2. Raising Funds: Investors are the best guides for the startup to raise subsequent rounds of funding on the basis of stage, maturity, sector focus, etc. and aid in networking and connection for the founders to pitch their business to other investors.
3. Recruiting Talent: Sourcing high-quality and best-fit human capital is critical for startups, especially when it comes to recruiting senior executives to manage and drive business goals. VCs, with their extensive network, can help bridge the talent gap by recruiting the right set of people at the right time.
4. Marketing: VCs assist with marketing strategy for your product/service.
5. M and A Activity: VCs have their eyes and ears open to merger and acquisition opportunities in the local entrepreneurial ecosystem to enable greater value addition to the business through inorganic growth.
6. Organisational Restructuring: As a young startup matures into an established company, VCs help with the right organisational structuring and introduce processes to increase capital efficiency, lower costs, and scale efficiently.
Investing in startups is a risky proposition, but the low requirement for overhead capital combined with high upside potential makes it lucrative for investors to put their bets on startups.
The Thomson Reuters Venture Capital Research Index replicated the performance of the venture capital industry in 2012 and found that overall venture capital has returned at an annual rate of 20% since 1996—far outperforming modest returns of 7.5% and 5.9% from public equities and bonds, respectively.