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Chapter 1

Startup India Overview

12 min 50 XP

The Startup India initiative

Launched in 2016, Startup India is a flagship government programme to build a strong ecosystem for innovation. Its centrepiece is DPIIT recognition — a certificate from the Department for Promotion of Industry and Internal Trade that unlocks a range of benefits.

Who qualifies as a 'startup'?

To be recognised, an entity must be a private limited company, LLP or registered partnership; be up to 10 years old; have annual turnover under ₹100 crore in any year; and work towards innovation, development or improvement of products/processes/services with scalable potential. It must not be formed by splitting up or reconstructing an existing business.

Key benefits of recognition

Recognised startups enjoy a 3-year income-tax holiday (under Section 80-IAC, subject to inter-ministerial board approval), angel-tax exemption under Section 56(2)(viib), self-certification under several labour and environmental laws, faster IP processing with fee rebates, and easier public-procurement norms.

How to get recognised

Recognition is free and online via the Startup India portal: register the entity, fill the application with details of the innovative nature of the business, and upload incorporation documents. There is no government fee for DPIIT recognition itself.

🃏 Flashcards

Term

Startup India

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Definition

2016 government initiative to foster the startup ecosystem.

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📋 Case Study

📝 Test yourself

Startup India Quiz

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DPIIT recognition is granted by:

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In this course

  1. 1. Startup India Overview
  2. 2. Choosing Business Structure
  3. 3. Funding & Term Sheets
  4. 4. IP Protection for Startups
  5. 5. Employment Laws for Startups