The following article is based on my own interpretation of the said events. Any material borrowed from published and unpublished sources has been appropriately referenced. I will bear the sole responsibility for anything that is found to have been copied or misappropriated or misrepresented in the following post.
Sumit Kumar, MBA 2015-17, Vinod Gupta School of Management, IIT Kharagpur
Recently,Start up India campaign was launched by prime minister Narendra Modi to promote start ups and in turn creating a conducive environment for entrepreneurs. Indian government has already setup MUNDRA bank to finance micro level companies.
Looking at the current environment in India where many starts up are growing every day with booming economy and increasing demand in every sector, this action plan can help India to overcome unemployment and create wealth. Recently, Zomato reported positive bottom line which is a good sign for many internet based start-ups.
Key takeaway points:
- Self certification to reduce regulatory burden on startups.
- Start up hub: This connect all the startup and will enable them share knowledge.
- One day registration process: A mobile app to be launched by 1st April which will allow registration in a single day.
- Government had setup a fund of 2500 crore and total of 10000 crore for next four years to support the startup culture.
- Fast tracking for patents. Government in working on IPR to protect and commercialize IPR.
- Investment by venture capital funds will be exempted from tax. The same will apply to the funds given by incubators.
- No income tax for first three years on startups.
- 35 incubators to setup in national institutes and 7 research parks.
- Atal innovation mission to give impetus to innovation.
All these steps are bound to increase the speed at which startups are increasing in India. Giving the conducive environment to startups will increase the employment opportunity. With the increasing customer demand and various unstructured markets present in India there is great scope to fulfill customer demands. With such initiatives India could be able to build giants like Google,Amazon,Apple.