STARTUP INDIA REGISTRATION-START WITH LAWTECH

Step-by-Step Guide to Registering Your Startup Under the Startup India Scheme

What is the Startup India Scheme?

The Startup India Scheme is an initiative by the Government of India aimed at fostering entrepreneurship and promoting innovation by creating an ecosystem that is conducive to the growth of startups. Launched in January 2016, this scheme provides a range of benefits to startups, including financial assistance, tax exemptions, and simplified regulations. The primary goals of the Startup India Scheme are to build a strong startup ecosystem, generate large-scale employment opportunities, and drive sustainable economic growth.

Eligibility Criteria for Startup India Scheme

To register your startup under the Startup India Scheme, you need to meet the following eligibility criteria:

1. Company Registration

Your company must be incorporated as one of the following entities:

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

Additionally, your business should be financed by an incubation fund, an angel fund, or a private equity fund to receive approval from the Department for Promotion of Industry and Internal Trade (DPIIT).

2. Patron Guarantee

Your company must have a patron guarantee from the Indian Patent and Trademark Office. Additionally, a recommendation letter from an incubator is required.

3. Company Existence

Your company should be newly established or not more than five years old, with an annual turnover not exceeding ₹25 crores.

4. Innovation and Scalability

The entity should focus on innovation, development, or improvement of products, processes, or services. It should also have a scalable business model with high potential for employment generation or wealth creation.

Documents Required for Startup India Scheme

The documentation process for applying under the Startup India Scheme involves submitting several important documents:

Identity Proof: Any government-issued legal photo ID is acceptable.

Address Proof:Any official document demonstrating the individual’s and company’s addresses.

Company Documents

• Memorandum of Association (MOA)
• Articles of Association (AOA)
• Partnership Deed (for partnership firms)

Patent Documents: Statements of assets and liabilities of the borrower and guarantor, along with the company’s three most recent balance sheets.

Company Incorporation Documents: Company registration certificate from the Registrar of Companies (ROC).

Benefits of the Startup India Scheme

Income Tax Benefits

Startups are eligible for an income tax exemption for three years from the date of incorporation, provided they are certified by the Inter-Ministerial Board of Certification. Additionally, recognized startups are exempt from capital gains tax under Section 56 of the Income-tax Act, 1961-2014, if their paid-up share capital and share premium do not exceed ₹25 crores.

Financial Benefits

Startups receive an 80% rebate on patent costs and a 50% rebate on trademark costs. The government also provides facilitators to assist with intellectual property rights (IPR) protection and commercialization, fast-tracking the examination and disposal of IPR applications.

Registration Benefits

The scheme simplifies the registration process, providing a portal for networking opportunities and assistance. A problem-solving window is available for startups under the scheme.

Funding Benefits

Certain states offer seed funding to startups certified under the scheme. It’s important to check your state’s specific requirements.

Regulatory Benefits

Startups can self-certify compliance with six labor laws and three environmental laws through a simple online procedure. No inspections will be conducted for five years unless there is a credible complaint. For environmental laws, startups in the ‘white category’ will be subject to only random checks.

Public Procurement Benefits

Certified startups can get listed on the Government e-Marketplace and are eligible for exemptions on earnest money deposits and requirements regarding prior turnover and experience.

Faster Exit Benefits

The government has provisions to make winding down operations easier, allowing startups to exit within 90 days under specific conditions.

Checklist for Startup India Scheme

1. Incorporate as a Private Limited Company, Partnership Firm, or LLP.
2. Secure funding from an incubation fund, angel fund, or private equity fund.
3. Obtain a patron guarantee from the Indian Patent and Trademark Office and a recommendation letter from an incubator.
4. Ensure the company is new or less than five years old with an annual turnover under ₹25 crores.
5. Focus on innovation and scalability with high potential for employment or wealth creation.

Application Procedure for Startup India Scheme Registration

To register your company under the Startup India Scheme, follow these steps:

1. Private Limited Company (PLC) Registration: Register your company under the Companies Act, 2013. Our experts can guide you through this process for a smooth and hassle-free registration.
2. Limited Liability Partnership (LLP) Registration: Our team can quickly complete your LLP registration. Provide the required documents, and our experts will handle the rest, ensuring you receive your incorporation certificate promptly.

After your company is registered, apply directly for the Startup India Scheme through  The Lawtech. Our team will manage the paperwork and file the application online.

Why Choose The Lawtech for Startup India Scheme Registration?

• Expert Guidance: Our team of business experts will guide you through the entire process.
• Strong Team: We ensure your firm meets all eligibility compliances and assist in company registration.
• Quick Documentation: We handle all documentation efficiently, providing a clear overview of the Startup India Scheme.
• Realistic Expectations: We facilitate smooth interactions with government officials, ensuring a seamless procedure.

Reach out to The Lawtech today to start your journey with the Startup India Scheme and unlock numerous benefits for your startup.