Every state is working for start-ups. According to the sources India is ranked third in the world, behind the US and the UK in terms of number of start-ups. Close to 4,400 technology startups exist in India and the number is expected to reach 12,000-plus by 2020, driven by a young and diverse entrepreneurial ecosystem
To improve ease of doing business, In the’Start-up India States’ Conference’ Commerce and Industry Minister Nirmala Sitharaman recently announced a start-up would now need only a certificate of recognition from the government to avail IPR-related benefits.
Earlier, a budding entrepreneur had to go through an elaborate process of approaching an inter-ministerial board to procure the Intellectual Property Rights (IPR) benefits.
A Startup had required to be examined by the inter-ministerial board but now a rapid change has brought in. A start-up would now require only a certificate of recognition from the Department of Industrial Policy and Promotion (DIPP).
Under the ‘Start-up India’ action plan, the government has announced three-year tax holiday and other benefits to these entrepreneurs, also the ministry has lined up a series of meetings with different stakeholders, including investors to resolve start-up issues.
There has been some critics about the interference of government in implementing the action plan she mentioned and said that the government is committed to facilitate young entrepreneurs.
“Many questions are being raised about ‘minimum government and maximum governance’. I want to ensure that the government is only facilitating you,” she said.
Further she mentioned that there should be an inter – ministerial board as accountability and transparency warrants that if tax breaks have to be given, in cases when the government defers, postpones or foregoes.
The Minister also said that seven proposals for research parks, 16 for TBIs (Technology Business Incubators) and 13 proposals for Start-up Centres have been recommended by the National Expert Advisory Committee formed by the Human Resource Development Ministry.These proposals will be implemented in the current financial year itself.
To obtain tax and IPR related benefits a start-up shall be required to be certified as an eligible business from the inter-ministerial board of certification. The board consists of DIPP Joint Secretary, representative of Department of Science and Technology; and Department of Bio-technology.
Sitharaman asked all the stakeholders to regularly provide inputs to further improve the startup ecosystem .
Five states including Rajasthan, Kerala, Telangana, Karnataka gave detailed presentation about their initiatives to boost start-up ecosystem.
The government, however, can do is to give a chance to every idea to reach some stage and give facilitation and tax breaks.