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Government to give a leg up to start-ups

The Startup Walk – Turning Easy

Startup strengths potential ideas and develops business scale to success ventures. In force to development of these short investment stakes government last year announced “Startup India and Standup India” initiative which was solely defined to honor newly waked ideas and to help them in their initial stage of investment requirements.

Defining Startup, the said initiative bounded three carried requirements to be filled out

  • Being registered not prior to 5 years.
  • Having an income stipulated below 25 Cr.
  • Commercializing in new products and services.

Talking of Start-up recognition, Ramesh Abhishek (Secretary, Department of Industrial Policy and Promotion (DIPP)while addressing IVCA’s Annual India Alternatives Conclave 2017 on Monday , stated that listing a startup firm to the present context is clouding up government ideal vision of promoting these undertakings in terms of investment and tax benefits. And for the coming year, government is planning to heal up the old Start-up definition to make it more adaptive to new startup features.

Also Read: Government to boost benefits for SMEs.

 Considering a stable tenure of 5 yrs fixed for startups in present definition, he said

“Other than a strict tenure we can opt for different periods for different kinds of start-ups. Also, we can consider different criteria for turnover slabs for different sectors” making it more likely to ground realities.

He further said “We have opted out to bring a relaxation to age specification of startup from 5 to 8 yrs minimum that would entail them to get enough time to stable their line of work”. The said changes are pivotal and are requisite to re-look for the young companies’ betterment for availing ease in sponsored funding and rebates from government.

Suggestions to this context is still under consideration of DIPP and will soon be realized after getting some effective feedback from other sectors also he added.

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