In this article, I have discussed how to register a startup company in India with 5 very simple and easy steps.
The government of India is recognizing the significance of innovation, they are encouraging the people to come up with their ideas to boost the development of Country.
The government has given many relaxations in the registration & licensing procedures of the startups.
The government has also introduced a new startup India scheme under the leadership of PM Narendra Modi in order to develop the Indian economy.
and attract talented entrepreneurs because of entrepreneurs with new innovative ideas which helps in better consumer experience.
Step 1. BUSINESS ENTITY SELECTION:
- First & foremost register your entity for legal identification, you can choose the entity as per your requirement, it could be a Private Limited Company or a Limited Liability Partnership or a Partnership firm.
- You have to apply to Ministry of corporate affairs (MCA) for the Private Limited Company incorporation or an LLP registration in the prescribed form with the required documents in accordance to the applicable provisions of the companies act, 2013.
- After completing all the requisite formalities MCA will issue a certificate of Incorporation/Partnership registration.
STEP 2. STARTUP INDIA REGISTRATION:
- After getting a certificate of Incorporation/Partnership registration you can register your business as a startup.
- The process of Startup India registration is very simple and online. Log in to the Startup India website and fill in the details of your business in the prescribed form and upload required documents.
- While uploading the documents, consider the correctness & authenticity of documents because if the required document is not uploaded or the wrong document has been uploaded then you shall be liable to pay fine of 50% of your paid-up capital of the startup with a minimum fine up to Rs. 25,000.
STEP 3. Mention if you would like to avail taxation benefits:
- Startups must be certified by the Inter-Ministerial Board (IMB) to get the exemption from income tax for 3 years.
- Start-ups recognized by Department of Industrial Policy and Promotion, Govt. of India can directly take IPR related benefits without requiring any additional certification from IMB.
STEP 4. SELF-CERTIFICATION:
- Startup Registration requires for self-certification for certain conditions, Read thoroughly & certify accordingly.
STEP 5. RECOGNITION NUMBER:
- On submitting the form you will get a recognition number for your startup. The certificate of recognition will be received after the examination of all your documents.
STEP 6. Miscellaneous:
a) Patents, trademarks and/or design registration: You can patent your idea or trademark for your startup business. You will get an 80% reduction in fees, thus you need to pay only the statutory fees.
b) Funding: Government of India has set up a fund with an initial corpus of INR 2,500 crore and a total corpus of INR 10,000 crore over a period 4 years (i.e. INR 2,500 crore per year) to provide funding support to startups. The Fund is named as Fund of Funds, which will not invest directly into Startups, but shall participate in the capital of SEBI registered Venture Funds.
So, if you are thinking to register your startup, you can take help of the professionals who have deep knowledge & experts in such registration & licensing process. You can find chartered accountants, company secretaries, CMA’s, etc. near your location through our online directory of CAONWEB.