Startup act in works to crank up innovation

1. Startup Act in Works
To Crank up Innovation
Govt plans to simplify regulations to unleash
entrepreneurial energies & create jobs

2. Contd…
The Narendra Modi government wants to provide a powerful launchpad for
startups by drastically simplifying the rules and ensuring that innovators are
able to take advantage of such an enabling environment thus unleashing
entrepreneu rial energies and creating jobs. At the heart of the initiative is
distilling the cumbersome process of compliances under 22 different laws
into a two-page Startup Act, a senior government official told ET. The Depart
ment of Industrial Policy and Promotion (DIPP) is looking to turn India into a
startup haven.
It plans to cut through the thick et of regulations that holds back creativity
and stunts the rapid evolutionary cycle. “Complianc es are a big issue for
aspiring startups,“ said the official. “We are trying to see whether we can
bypass the multiple laws and draft a separate legislation.“

3. Contd…
Already home to the fourth-largest startup community in the world, India
wants to create a robust ecosystem in which entrepreneurship can flourish
as envisaged by the Startup India, Stand Up India initiative of Prime Minister
Modi announced in this year's Independence Day address. Jobs created by
Indian startups are expected to rise to 2,50,000 by 2020 from 80,000,
according to a Nasscom report.
The government plans to unveil a detailed Startup India plan next month.The
DIPP is drawing up a clear definition for startups to ensure that the regime is
available only to companies that practice innovation. This is necessary
because the government is also considering tax incentives for startups, which
it doesn't want other companies to take advantage of.
Companies that qualify for the tag are likely to be less than five years old,
providing an innovative product or service. They will also need to conform to
financial norms to ensure that the incentives are not spread too thin.

4. Contd…
The new policy will address delays in incorporation, employee stock
options, lack of initial funding, cumbersome Foreign Exchange
Management Act (Fema) documentation and access to external
commercial borrowings.
“It will be a colossal help if the government can do something about
this,“ said Rohan Malhotra, founder of Investopad, a startup incubator
and financing company . “In the US, you can incorporate a company in
a few hours.In India, it is a nightmare to do even ba sic administration
work.“ Entrepreneurs feel their energies are sapped by the need to
negotiate their way through the bureaucratic maze.

5. For details and bookings contact:-
Parveen Kumar Chadha… THINK TANK
(Founder and C.E.O of Saxbee Consultants & Other-Mother
marketingandcommunicationconsultants.com)
Email :-saxbeeconsultants@gmail.com
Mobile No. +91-9818308353
Address:-First Floor G-20(A), Kirti Nagar, New Delhi India Postal Code-110015