What exactly does "Startup India Registration" mean?
Startup registration in India means registering a business, such as a company, a sole proprietorship, a limited liability partnership (LLP), or a partnership firm, under the Startup India initiative.
By registering your business in India as a startup, you will get several benefits. Some of these benefits include getting access to government programs and getting special treatment for government projects.
When it comes to the number of entrepreneurs, we have come so far that we don't remember much from before Startup India. With the rise of start-ups, there are more ways to make money and grow in many areas. Right now, startup registration in India has opened the door to more innovation, more money, and more hope for the future.
A new business that is just getting started is called a startup. When you start a company in India, you take your first steps into the world of business. A new company doesn't have access to a lot of money. But it has all the ingredients of a recipe for a successful business:
Moreover, if these three things happen, it can grow. But the government has seen the potential of these new businesses. So, you can now register a new business in India under one of the many government programs.
Why should you consider registering your startup in India?
When you register your startup in India, your business can take advantage of all the benefits that come with startup registration. Some of them are the points below.
The process of registering a startup is pretty straightforward and easy : Unlike the process of registering a business in India, which is long and has many obstacles, the process of registering a startup is easy. It doesn't involve many steps, and all you need to do is let your creative approach to your business run the show. This easy-to-use registration for a startup makes it easy for your business to get the help it needs when it is just starting out.
India reduces your IP registration fees when you register your startup : When you register a startup company in India, the fees for some IPR registrations, such as patent registration and trademark registration, are lower. Usually, that means a 50 percent price cut on intellectual property registration services like copyright, design, patent, and trademark registration. It will help you not only start your business but also protect your business's identity after you register a company in India.
Getting access to government funds : Government funds are easy to get for companies that have been registered as startups. It's because, in the government's eyes, every startup that gets incorporated is a new business with innovative business and customer solutions at the forefront. So, the government of India has no problem putting money behind such registrations in India.
Exemptions from paying taxes for the first three years : After a startup is registered, they don't have to pay income taxes for the first three years. When a business is just getting started, entrepreneurs who register in India to get help from the government will benefit. This way of forming a company is especially helpful for people who are still not sure if they can trust these business entities.
It's also easy to shut down a new business : Startup company registration in India is for new businesses that aren't sure if they will succeed or fail in the future. And it is said that over 90% of new businesses fail in their first year. So, if you want to close a startup, the process is pretty easy.
Increased access to venture capitalists : Venture capitalists aren't afraid to invest in a startup, especially if the business idea is new and innovative, because registering a startup in India has many benefits, such as lower taxes and an easy way out.
When you sign up for Startup India, these benefits will give your business the first push it needs to grow. Also, what we've told you about the benefits of registering with Startup India is just the tip of the iceberg. Once you have the startup certificate registered, you can enjoy many other benefits. But to find out about them, you have to first find out if you can register a startup in India.
What are the different kinds of entities that can register as a startup business?
The Indian government has not put any limits on what kinds of businesses can sign up as startups:
1. Private Limited Companies : Private limited companies are the most common type of business entity in India. They can be used for any type of business. Since most entrepreneurs want to get their business registered as a company in India, the government lets them start a startup company there.
2. Limited Liability Partnerships : Many people want to know the answer to the question, "How to register an LLP in India?" The answer is the same as how you would register a company as a startup. The startup registration process has less to do with the business infrastructure and more to do with answering a set of questions.
3. One Person Company : In India, a startup can also be registered as a one-person company, but this isn't done often. However, these kinds of businesses must be very creative.
4. Partnership firm : A business formed under the Partnership Act of 1932 is called a partnership firm. You can get startup firm registration in India if your partnership business is new and different.
5. Producer Company : Producer companies can register their businesses as Indian startups. Since agriculture is a major part of our GDP, the government makes it easy for a producer company to get started.
6. Public Limited Company : Public limited companies can also be candidates for the Startup India initiative, as long as they get registered as soon as possible.
7. Nidhi Company : Nidhi Company also has the right to get a startup registration certificate in India.
Eligibility Requirements for Registering a Startup
You should be a brand-new startup company: Old businesses can't start new companies. The applicant business entity must have been registered or incorporated in India for less than seven years. If your business has been around for a while, the government of India won't consider you a startup.
Your current turnover shouldn't be more than INR 25 Crore: The current annual sales of the applicant's business shouldn't be more than INR 25 Crore. If your company's annual sales are more than this amount, you are no longer a startup and don't qualify for its benefits.
Your business should be a creative one: The goal of the applicant's business entity should be the development, innovation, deployment, and commercialization of new products and services that are based on new technology or intellectual property. Too many companies try to get their startups registered in India without giving much thought to innovation. That's wrong, wastes the time of the inter-ministerial board, and can hurt your chances of getting a startup company registration in India.
First, you have to get the certificate from the inter ministerial board: The Inter-Ministerial Board Setup should have given the applicant a certificate.
What Documents Are Needed to Register a Startup in India?
PAN Card: A Permanent Account Number, or PAN, card connects a person to their financial data. It is therefore one of the most important documents for registering a new business.
ID Proof: All the directors of the company, partnership, an LLP or partnership firm must provide their identity proof.
Proof of the directors' addresses: Address proof in the director's name (any utility bill, like a cell phone bill, water bill, or electricity bill, or a bank statement from the last two months).
Photographic IDs of the directors/partners: 4 passport-sized photographs Make sure that none of those photos are signed.
Proof of the address of the registered office: If the registered office is a rented space, provide a copy of the lease. Or, if you own the space that serves as a registered office, provide a copy of the sales agreement.
Any utility bills to further prove your registered office's address: Any bill for a service at the registered office, such as a cell phone bill, water bill, or electricity bill.
Director details: At least two directors' details are needed for a Pvt. Ltd. company. You have to make sure that there are enough details.
Details about the company's shareholders: Give information about at least two people who own shares in the Pvt. Ltd. company or Limited Liability Partnership.
Details about a one-person company: for a company with one person. At least one shareholder and one nominee are needed. Because of this, you must give the details.
MSME certificate: For MSME startup registration, you also need a copy of the MSME certificate, which is now known as the Udyog Aadhar Certificate.
In India, the Startup Company Registration Process
Incorporate your business so you can: Your company must first have a structure if you want it to be considered a startup. As a result, establishing a legal presence for your company in India as quickly as you can should be your top priority right now.
Collect the documents needed for registration: Provide all the information you need in a digital format since the registration process for a new business is done online.
Visit the website and create a new login ID for yourself: Create an ID for your company, partnership, or Limited Liability Partnership on the Startup India website.
Apply for the Startup India Certificate
Get a certificate of registration or a letter of permission to start in India.
We can help new businesses in India register
We at Certpedia have everything you need to set up your startup in India. Our services include:
· Application filing
· Content development for answering startup questions
· Company incorporation
· Following up with the startup department.
Do you want your business to participate in the Startup India initiative? Certpedia can help you easily and cheaply register your new business. There are no government costs associated with registering a startup, but there are professional costs. But we promise that our startup registration cost is reasonable.