What Is DPIIT Eligibility Criteria For Startup India Registration?

What should be the company age for Startup India registration? What types of companies can be registered as startup in India? Check here the eligibility criteria for startup India registration.

Shreshtha Verma
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DPIIT Eligibility Criteria For Startup India Registration

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The inception of the Startup India Scheme marked a pivotal moment in the Indian business landscape, reflecting the government's commitment to fostering innovation and supporting small businesses.

A significant development accompanying this initiative was the transformation of the Department of Industrial Policy and Promotion (DIPP) into the Department for the Promotion of Industry and Internal Trade (DPIIT) in 2019. This alteration positioned DPIIT as the key authority overseeing the entire process of obtaining Startup India recognition. However, it's imperative to note that not every newly established business is eligible for DPIIT registration, as specific criteria govern this process.

DPIIT's Startup India Registration Eligibility criteria.

Company Age

For a business to be considered eligible, its period of existence and operations should not exceed 10 years from the date of incorporation. This time constraint underscores the initiative's focus on nurturing and propelling nascent ventures.

Company Type

Eligible startups must be incorporated as a Private Limited Company, a Registered Partnership Firm, or a Limited Liability Partnership. This requirement ensures a formalized and legally recognized structure for the participating entities.

Annual Turnover

To qualify, a startup should maintain an annual turnover that does not surpass Rs. 100 crore for any of the financial years since its incorporation. This financial threshold aims to include businesses of varying scales while emphasizing the support for smaller enterprises.

Original Entity

The entity seeking DPIIT registration should not have been formed by splitting up or reconstructing an already existing business. This criterion is designed to encourage the formation of truly innovative and independent ventures.

Innovative & Scalable

Eligible startups are those actively engaged in the development or improvement of a product, process, or service. Furthermore, they should possess a scalable business model with high potential for wealth creation and employment generation. This emphasizes the government's commitment to supporting enterprises that contribute to both economic growth and job creation.

Navigating through these eligibility criteria is essential for entrepreneurs aspiring to register their startups under the DPIIT. Meeting these standards not only grants recognition but also opens doors to various benefits and support mechanisms provided by the government. As India continues to nurture its entrepreneurial ecosystem, understanding and adhering to these criteria become fundamental steps for startups on their journey towards growth and success.

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