The Indian government launched the Startup India Scheme on 5 April 2016 to promote entrepreneurship and innovation across the country. The scheme provides a host of benefits to startups, including funding, tax exemptions, and mentoring support.
Overview on The Startup Scheme India
The Startup India Scheme is an ambitious initiative launched by the Indian government in 2016 to promote entrepreneurship and innovation across the country. The scheme aims to create a robust ecosystem for startups, foster job creation, and encourage economic growth. It provides a host of benefits to startups, including funding, tax exemptions, and mentoring support.
The scheme is designed to support startups in their initial stages and help them overcome various challenges such as funding, compliance, and legal issues. It offers a comprehensive range of incentives and benefits to startups, including a simplified regulatory framework, tax holidays, access to funding, and mentoring and incubation support.
The Startup India Scheme is based on three pillars – simplification and handholding, funding support, and industry-academia partnerships. The scheme aims to create a conducive environment for startups to thrive, and the government has set up a dedicated Startup India Hub to provide a single-point contact for all startup-related queries and support.
Benefits of the Startup India Scheme
The Startup India Scheme provides a range of benefits and incentives to startups, including:
Simplified regulatory framework: The scheme provides a simplified regulatory framework for startups, making it easier for them to start and operate their businesses.
Tax holidays: Startups registered under the scheme are eligible for a three-year tax holiday on profits earned in the first seven years of their existence.
Funding support: The scheme provides funding support to startups through various initiatives such as the Fund of Funds for Startups (FFS), which provides funding support to various venture capital funds.
Incubation support: The scheme offers incubation support to startups through incubators and accelerators across the country.
Mentorship and networking: Startups registered under the scheme have access to a network of mentors, investors, and industry experts who can provide guidance and support.
Startups Benefited From Startup India Scheme
- Ola Cabs, founded in 2010, is one of the most successful startups in India that has been a beneficiary of the Startup India Scheme. The company started as a ride-hailing service and has expanded into food delivery, electric vehicles, and financial services, among others. The startup has received funding from various sources, including SoftBank and Tencent, and has a valuation of over Rs. 70,000 crores.
- Swiggy, founded in 2014, is an online food ordering and delivery platform that has disrupted the food industry in India. The startup has raised over Rs. 15,000 crores in funding and has a valuation of over Rs. 37,500 crores. Swiggy has also expanded its services to include Swiggy Go, a hyperlocal delivery service, and Swiggy Stores, a service that delivers groceries and household essentials.
- BYJU’s, founded in 2011, is an ed-tech startup that provides online learning services to students. The company has raised over Rs. 7,500 crores in funding and has a valuation of over Rs. 1,20,000 crores. BYJU’s has also acquired various ed-tech startups, including WhiteHat Jr, and has expanded its services to include BYJU’s Future School, which provides online coding and math classes to students.
- Paytm, founded in 2010, is an Indian digital payment and financial services company that has transformed the way people transact in India. The company has raised over Rs. 20,000 crores in funding and has a valuation of over Rs. 1,20,000 crores. Paytm has expanded its services to include Paytm Mall, an online shopping platform, and Paytm Money, a platform that provides investment services to users.
- Zomato, founded in 2008, is an online food ordering and delivery platform that has been a game-changer in the food industry in India. The startup has raised over Rs. 15,000 crores in funding and has a valuation of over Rs. 37,500 crores. Zomato has expanded its services to include Zomato Pro, a membership program that provides discounts on food orders, and Zomato Gold, a membership program that provides discounts on dining out.
- Udaan, founded in 2016, is a B2B e-commerce platform that connects small businesses with manufacturers and wholesalers. The startup has raised over Rs. 9,000 crores in funding and has a valuation of over Rs. 70,000 crores. Udaan has also expanded its services to include Udaan Capital, a lending platform that provides working capital to small businesses.
- Rivigo, founded in 2014, is a logistics startup that has disrupted the traditional logistics industry in India. The company has raised over Rs. 7,500 crores in funding and has a valuation of over Rs. 30,000 crores. Rivigo has also introduced various innovative technologies, such as the relay trucking system, which reduces transit time and improves efficiency.
Conclusion
In conclusion, the Startup India Scheme has provided a much-needed boost to the Indian startup ecosystem, with several startups benefiting from the scheme. The startups mentioned above are just a few of the many success stories of the scheme. They have not only created jobs and contributed to the Indian economy but have also disrupted traditional industries and introduced innovative solutions to everyday problems. It is evident that the Startup India Scheme has played a crucial role in the growth of the Indian startup ecosystem and will continue to do so in the future. With the government’s support, more and more startups are expected to emerge and thrive, and India is poised to become a global leader in the startup ecosystem.
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