Presentation on govt support to business
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This document summarizes government support available to entrepreneurs in India for starting, buying, and exiting a business. It outlines how the government provides no capital gains tax for startups, tax exemptions for the first three years of profits, reduced patent fees, and a 10,000 crore rupee startup fund allocated over four years. Several government organizations that support entrepreneurs through loans, training and development programs are also listed. The advantages and disadvantages of buying an existing business as well as the 10 step process for doing so are described. Finally, the concept of an exit strategy for selling a business is briefly introduced.
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Presentation on govt support to business
- 1. Presentation on govt. support to entrepreneurs, entering/buying and exit/selling a business SUBMITTED TO:- MS NEETU MAHENDRA SUBMITTED BY :- TANVIR BHATTI
- 3. Who is an entrepreneur ? • An entrepreneur is a starter, an initiator, a challenger and a driver. Someone that creates something new, either an initiative, a business or a company. • A person who sets up a business or businesses, taking on financial risks in the hope of profit.
- 4. -Discover new markets. -discover new source of income. -introduce new technologies. -create employment.
- 5. Support and policies provide by govt. to the entrepreneur • No Capital Gains tax for startups. • Single point access: • Special schemes for women entrepreneurs • Startup profits not taxable for first three years • Patent fees for startups to be slashed by 80 per cent • Rs 10,000 cr fund for startups @ 2500 cr each year for the first 4 years:
- 6. Govt. organizations which provide support to the entrepreneur…. • National bank for agriculture and rural development • The rural small business development centre. • National small industries corporation. • Small industries development bank of India. • The national commission for enterprises in the unorganized sector. • Rural and women entrepreneurship development. • World association for small and medium enterprises. • Scheme of fund for regeneration of traditional industries .
- 8. Definition • An alternative to starting a business from buying a business opportunity that involves purchasing an existing business for sale .
- 9. Advantages • The difficult start-up work has already been done. The business should have plans and procedures in place. • Buying an established business means immediate cash flow. • You will acquire existing customers, contacts, goodwill, suppliers, staff, plant, equipment and stock. • A market for your product or service is already established. • Existing employees and managers will have experience they can share. • A successful existing business may continue to be successful. • The new owner can use the experience of the previous owner.
- 10. Disadvantages • The business might need major improvements to old plant and equipment. • The business may be poorly located or badly managed, with low staff morale. • External factors, such as increasing competition or a declining industry, can affect future growth. • Under-performing businesses can require a lot of investment to make them profitable.
- 11. Process of buying a business 1. Identify the industry you want to be in 2. Target the business for acquisition 3. Research 4. Open negotiations 5. Evaluate the enterprise 6. The Heads of Agreement 7. Due diligence 8. The Sale and Purchase Agreement 9. Pay 10. Completion
- 13. What is exit strategy?
- 22. Thank you