What is a Startup?
Every single moment, a new start-up is set up by Young entrepreneurs and this probably has been one of the major surge in India after Narendra Modi, the Prime Minister of India, launched the startup program.
A startup can be defined as a newly set up established business, usually small, started by a few groups of individuals. A startup is an innovative Creation of an individual or a group of individuals who aims to provide a new product or service that is not being given elsewhere by any other firm. This kind of firm can either create a new product or services or could help in the redevelopment of the old and existing service or product.
The startup eligibility criteria
In order to foster an environment where startups are promoted, the government of India has initiated a lot of programs for the same. As defined by the Department of Industrial Policy and Promotion (DIPP), the startup is only considered one of its kind only in the following cases:
- If the firm is a private limited Company or a limited liability partnership
- If your startup has not exceeded a turnover of 100 crores from the day of incorporation or registration.
- If the startup has been set up as a Private Limited Company, (as defined in ComPANies Act, 2013) or as a Partnership Firm (registered under section 59 of the Partnership Act, 1932) or as a Limited Liability Partnership (under the LLP Act, 2008) in India over a period of 10 years, which was earlier 7 years.
- If the firm has been working for the innovation development or improvement of products or pROCesses or services, or if it is a scalable business model with either employment generation or wealth creation.
- If the firm has approval from the Department of Industrial Policy and Promotion (DIPP) and is funded by an Incubation Fund, an Angel Fund or a Private Equity Fund
- There is a patron guarantee from the Indian Patent and Trademark Office, for it is necessary.
- All the details of the funding must be registered with SEBI (Securities and Exchange Board of India)
If your organization meets all the criteria, then you are eligible to call yourself a startup. And for the very same reason, our startup India registration consultants would guide you through each and every step of setting up the empire and also would tell you of all the necessities. Thus if you have ever thought of a startup, then we are just here.
PROCedure for startup Company registration
The following is the pROCess which is to be followed for registration.
- Firstly, incorporate your business to Incorporate your business as a Private Limited Company or a Limited Liability Partnership or a Partnership firm. For this, just need to follow the normal pROCedure, i.e. filling up of a form for the same.
- Then register your Company by filling the application form available on the Startup India website. Submit the documents which are required and for the registration pROCess.