Startup India Registration
The Startup India Certificate of Recognition is an official acknowledgment granted by the Government of India to innovative startups. This recognition, issued by the Department for Promotion of Industry and Internal Trade (DPIIT), is a gateway to numerous benefits aimed at fostering entrepreneurship and innovation across the country.
The certificate signifies that a startup has been officially recognized under the Startup India initiative. This recognition is primarily intended for entities that are:
- Incorporated as a Private Limited Company, Limited Liability Partnership (LLP), or Registered Partnership Firm.
- Less than 10 years old from the date of incorporation.
- Annual turnover not exceeding ₹100 crore in any of the previous financial years.
- Engaged in innovation, development, or improvement of products, processes, or services, or have a scalable business model with high potential for employment generation or wealth creation.
- Not formed by splitting or reconstructing an existing business.
To obtain this recognition, startups must apply through the official Startup India portal.
Key Benefits of the Recognition:
Startups that receive the DPIIT Certificate of Recognition are eligible for several advantages:
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Tax Exemptions:
- Income Tax Holiday: Eligible startups can avail of a Tax holiday for Three consecutive years out of their first ten years of incorporation under Section 80-IAC of the Income Tax Act.
- Angel Tax Exemption: Exemption from tax on investments received from angel investors, provided the aggregate amount of paid-up share capital and share premium does not exceed ₹25 crore.
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Intellectual Property Rights (IPR) Benefits:
- Fee Rebates: 80% rebate on patent filing fees and 50% on trademark filing fees.
- Fast-Tracking: Accelerated processing of patent applications.
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Simplified Compliance:
- Self-Certification: Startups can self-certify compliance under six labor laws and three environmental laws for a period of five years.
- Inspection Waivers: Exemption from inspections under these laws during the initial three years.
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Funding Opportunities:
- Fund of Funds: Access to a ₹20,000 crore fund through the Alternative Investment Funds (AIFs) for startups with the initial ₹10,000 crore allocated in 2016 and an additional ₹10,000 crore announced in the Union Budget 2025 to expand its scope.
- Credit Guarantee Fund: Eligibility for a ₹2,000 crore credit guarantee fund over four years.
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Public Procurement Benefits:
- Government e-Marketplace: Opportunity to list products on the Government e-Marketplace (GeM).
- Tender Exemptions: Exemption from submitting Earnest Money Deposit (EMD) and prior experience or turnover requirements in government tenders.
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Ease of Exit:
- Fast-Track Winding Up: Ability to wind up the company within 90 days under the Insolvency and Bankruptcy Code, 2016
Steps to register your start-up in India
- Incorporate your business
- Register with start-up India
- Get DPIIT recognition
- Recognition application
- Submit documents for registration
- Recognition number
- Other areas
Documents for Registration
- Incorporation/Registration Certificate of your startup
- Proof of funding, if any
- Authorisation letter of the authorised representative of the company, LLP or partnership firm
- Proof of concept like pitch deck/website link/video (in case of a validation/ early traction/scaling stage startup)
- Patent and trademark details, if any
- List of awards or certificates of recognition, if any
- PAN Number
Application Process:
- Preparation:
- Ensure your startup meets the eligibility criteria.
- Gather necessary documents, including incorporation certificate, business description, and proof of innovation.
- Application Submission:
- Log in to your Startup India account.
- Navigate to the "Recognition" tab and click on "Apply for DPIIT Recognition".
- You will be redirected to the National Single Window System (NSWS).
- Select "Registration as a Startup" and fill out the "Startup Recognition Form".
- Provide details such as entity information, authorized representative, startup activities, and self-certifications.
- Upload the required documents:
- Certificate of Incorporation/Registration.
- PAN Card of the entity.
- Authorization letter on company letterhead.
- Pitch deck, website link, or video (for validation stage startups).
- Proof of funding, if any.
- List of awards or recognitions, if applicable.
- Accept the self-certifications and submit the application.
- Review & Download:
- The application will be reviewed by the DPIIT.
- If approved, you will receive a unique recognition number.
- Navigate to the Dashboard ****Click on Download Certificate ****to obtain your DPIIT recognition certificate
Important Considerations:
- Validity: The recognition is valid throughout the lifecycle of the startup, provided it continues to meet the eligibility criteria.
- Renewal: There is no need for periodic renewal; however, any changes in the business structure or operations should be promptly updated on the Startup India portal.
- Compliance: While the recognition offers self-certification for certain laws, startups must ensure compliance with all applicable regulations.