Startup India Current Affairs

Startup India launches Startup Academia Alliance programme

Startup India launched Startup Academia Alliance programme to fulfill Government’s mission to promote spirit of entrepreneurship in the country. It is unique programme to foster mentorship opportunity between academic scholars and startups working in similar domains.

Startup Academia Alliance

The programme aims to reduce gap between scientific research and its industrial applications in order to increase efficacy of these technologies and widen their impact. It strives to create lasting connections between stakeholders of startup ecosystem by creating bridge between academia and industry and implement third pillar on which Startup India Action Plan is based – Industry Academia Partnerships and Incubation.

The first phase of the programme was kickstarted through partnering with The Energy and Resources Institute (TERI), Regional Centre for Biotechnology, Council on Energy, Environment and Water and TERI School of Advanced Studies. Renowned scholars from these institutes, in fields such as renewable energy, biotechnology, healthcare and life sciences were taken on board to provide mentorship and guidance to startups working in relevant arenas.

Startup India

The campaign was first announced by Indian Prime Minister Narendra Modi during his 15 August 2015 address from Red Fort, in New Delhi. Activities under are implemented and monitored by Ministry of Commerce and Industry. It aims to build a strong ecosystem for nurturing innovation and startups in the country which will drive economic growth and generate large scale employment opportunities. The action plan of this campaign is based on three pillars viz. simplification and handholding, funding support and incentives and industry-academia partnership and incubation.

Month: Categories: India Current Affairs 2018

Tags:

Government Amends Definition of Start-Ups

The Department of Industrial Policy and Promotion (DIPP), which is the nodal body for Start-up India, has amended the definition of a start-up. As per the new definition, an entity will be considered as a Start-Up if its turn over is less than Rs 25 crore and has not completed seven years from the date of its incorporation/registration. In the definition, the change is with respect to the time period which is currently five years. The new definition has increased it to 7 years taking into the consideration the long gestation period involved in establishing start-ups.

Other Salient Amendments

The scope of definition of start-up will also be widened to include scalability of business model with potential of employment generation or wealth creation. 

An entity that has completed 7 years from the date of its incorporation or if its turnover exceeds Rs 25 crore, it will cease to be a start-up.

The process of recognition of an entity as a start-up will be through an online application made over the mobile app/portal set up by the DIPP.

For the Start-Ups in the biotechnology sector, they will be considered as start-ups for a period of up to 10 years from the date of incorporation/registration.

Start-ups will not require a letter of recommendation from an incubator or an industry association to get tax benefits under the Start-up India action plan. However, the entities should obtain a certificate of an eligible business from an inter- ministerial board of certification as constituted by the DIPP to claim tax benefits.

An entity will be deemed as a start-up if it is working towards innovation, development or improvement of products/processes/services, or if it is a scalable business model with potential for employment generation or wealth creation.

Significance

The new definition and amendments will help to ease of starting new business and will promote the start-up ecosystem. The tweak in the definition will also help the entities to avail government sponsored venture funding and tax and other benefits. It will create more jobs and promote entrepreneurship under the Start-up India scheme.

Start-up India was launched by Prime Minister Narendra Modi on 16 January 2016 to promote innovation and enhance economic growth and employment opportunities.

Month: Categories: Business & Economy Current Affairs 2018

Tags: