Coimbatore is rapidly emerging as a startup hub in Tamil Nadu, with a growing ecosystem of tech companies, manufacturing startups, and service-based businesses. The Startup India initiative by the Government of India offers numerous benefits that every eligible Coimbatore startup should take advantage of.
What is Startup India?
Startup India is a flagship initiative launched by the Government of India to build a strong ecosystem for nurturing innovation and startups. Recognized startups get access to various benefits including tax exemptions, easier compliance, and funding support.
Eligibility Criteria
To be recognized as a startup under Startup India, your entity must:
1. Be incorporated as a Private Limited Company, Registered Partnership, or LLP
2. Not be older than 10 years from the date of incorporation
3. Have annual turnover not exceeding Rs. 100 crores in any financial year
4. Be working towards innovation, development, or improvement of products/processes/services
5. Not be formed by splitting up or reconstruction of an existing business
Key Benefits
1. Tax Exemption (Section 80-IAC)
Income tax exemption for 3 consecutive years out of the first 10 years
Exemption on capital gains tax under Section 54EE
Tax exemption on investments above fair market value (Angel Tax exemption)
2. Simplified Compliance
Self-certification for compliance under 6 labour laws and 3 environmental laws
Fast-tracked patent examination at reduced fees
Easy winding up of company (within 90 days under Insolvency and Bankruptcy Code)
3. Funding Support
Access to Fund of Funds for Startups (FFS) - Rs. 10,000 crore corpus
Credit Guarantee Scheme for Startups (CGSS)
Access to various incubators and accelerators
4. Government Procurement
Relaxation in prior experience/turnover requirements for government tenders
MSE purchase preference policy benefits
Registration Process
Step 1: Incorporate Your Business
Register your company as a Private Limited Company, LLP, or Partnership Firm.
Step 2: Register on Startup India Portal
Visit startupindia.gov.in and create an account.
Step 3: Fill the Recognition Application
Provide details about your startup, including incorporation details, business description, and innovation.
Step 4: Upload Documents
Upload Certificate of Incorporation, proof of concept/innovation, and any patent/trademark details.
Step 5: Submit for Recognition
Once submitted, DPIIT will review your application and issue a recognition certificate.
WINTRUST SOLUTIONS - Your Startup Partner in Coimbatore
We help Coimbatore startups with:
Company/LLP incorporation
Startup India recognition application
Tax planning and compliance
GST registration and filing
Annual compliance management
Launch your startup the right way. Contact us for a free consultation!