All you need to know about Startup registration in Uttar Pradesh

Last weekend, I went to most populous yet most exciting state of India, i.e. Uttar Pradesh, where I see most of people were engaged in their day to day activities. That time I realize that the state of Uttar Pradesh has the significant potential to become the great Industrial hub in coming future, as people of Uttar Pradesh are energetic and enthusiastic in carrying out their business activities. This made me feel to write about the common question that may arise in the mind of many people that How can we start our own business in Uttar Pradesh or Start-up Registration in Uttar Pradesh. Answer of this question, you will be finding in this article, as we will be discussing about Start-up Registration in Uttar Pradesh and benefits of registering the start-up here.
Let us first discuss about, what exactly the Start-Up is, before we could move on to discuss about Startup registration in Uttar Pradesh.

Meaning of Start-Up

A startup business is one that is run by a small group of people who are able to work together to solve its difficulties. Basically, the creation of such a start-up can be explained by the fact that the founders of any existing company identify issues with the current system and decide to fix these issues by founding a new company or entity. Additionally, a start-up registration can be completed when the company’s founders have an idea that has the potential to succeed or when they decide that the services the start-up now offers are subpar or that they do not wish to continue with them. Therefore, this type of business is conducted when one needs to conduct business activity from an initial point of time and also it proves to be one of the best forms of business.

Any business that possesses the following characteristics falls under the Startup classification and is qualified to use DPIIT’s advantages:

• The Company’s Age: The company’s incorporation date shouldn’t be older than ten years.
• Type of Company: Either your business is registered as a Private Limited Company under the Companies Act, 2013, a Partnership Firm under the Indian Partnership Act, 1932, or a Limited Liability Partnership Firm under the Limited Liability Partnership Act, 2008.
• Turnover Cap: Less than 25 crores are made by the company per year.
• A New Commercial Entity: The company must be brand-new; it cannot be the outcome of a split or reorganization of an existing company.
• Friendly to Innovation: The startup should be focusing on innovation, the creation of brand-new goods or services, or on improving upon those that already exist.
• Certificate for DIPP: It is basically necessary to obtain a certificate from the Inter-Ministerial Board; the Board was established by the DIPP (Department of Industrial Policy and Promotion).

Startup India Registration in Uttar Pradesh

Startup India is a government effort in India that aims to create a robust ecosystem for fostering innovation and entrepreneurs in the nation in order to foster long-term economic growth and create numerous job opportunities. The government wants to empower startups to develop through innovation and design through this initiative.

47% of the population of Uttar Pradesh is directly dependent on agriculture, making it a state with an agrarian economy. Despite the fact that agriculture’s contribution to the global gross domestic product (GSDP) fell to only 12% in TE 2017–18, it is still a significant industry because it still employs a sizable portion of the workforce.

Having so much potential towards agriculture sector Uttar Pradesh might be your dream place to start your own Start-Up as will do wonders if handled with care and smartly.

The Startup India Movement’s goals are listed below. The action plan includes assisting startups among other things:

• An improved infrastructure that includes incubators
• IPR facilitation, such as simplified patent application
• The improved regulatory environment, which includes tax advantages, simpler compliance, faster company formation, quickest process, and more.
• Increasing financing opportunities is an aim.
• Provide the startup ecosystem’s players with access to a sizable networking database.

Benefits of Start-up Registration

The following are the benefits of start-up registration:

• Simple Process: The Indian government has introduced a website and mobile app for quick company registration. Any company can launch a startup by completing a brief online form and attaching the proper documents. The registration process is carried out entirely online.
• Self-Certification: Startups participating in the programme are permitted to certify themselves as compliant with three environmental regulations and six labour statutes. Such certification is permitted for a period of five years following the entity’s incorporation.
• Cost Cutting: The government offers a list of trademark and patent facilitators. It offers low-cost, high-quality intellectual property rights services, such as quick patent inspection. The government will cover all facilitation expenses, and the startup is responsible for paying any statutory fees. The startup benefits from the 80% reduction in the cost of filing patents as a result. Providing a 50% discount on the trademark filing in comparison to other businesses.
• Simple access to Money: The government has established a fund worth 10,000 crore rupees to serve as venture capital for new businesses. In order to incentivize banks and other financial institutions to provide venture capital, the government also provides a guarantee to the lenders.
• Benefits of Research and Development: Startup India conducts research and promotes innovation among those who envision becoming entrepreneurs in the near future. For the purpose of conducting product research and development, the government is committed to creating seven new research parks.
• Simple closure of the company: Startups, commonly referred to as fast track corporations, are able to be wound up in 90 days (3 months), as opposed to 180 days for regular companies. Additionally, a professional bankruptcy practitioner must be hired in order to liquidate the assets and pay the creditors. To be eligible for such an exit, this must be completed within six months of the application’s submission.
• Simple rules for Public Procurement: Startups are eligible to apply for government contracts. They are excluded from the “previous experience/turnover” requirement that applies to other businesses responding to government tenders.
• A Waiver of Taxes: If the Inter-Ministerial Board certifies the startups, they are exempt from income tax for three years (IMB).
• No Lengthy Compliance Procedures: People who invest their capital gains in venture funds that the government has established are free from paying capital gains taxes. As a result, the businesses are able to draw in more and more investors.
• The advantages of DPIIT: The following advantages offered by the Startup India Registration Scheme are available to DPIIT registered companies:
  • Simplifying and supporting: Legal support has also been doable and easy thanks to considerably easier compliance and a method for exiting for failed start-ups.
  • Finance and Rewards: In addition to providing an exemption from income tax and capital gains tax, funds are also collected to inject new cash into the startup.
  • Partnership between Industry and Academic Institutions: There are ever more incubators, creative laboratories, events, competitions, and grants.

Qualification Standards for Startup Registration

The following are the qualification standard for Start-Up Registrations:

• Private Limited Company as defined by the Companies Act, 2013
• The Limited Liability Partnership Act, 2008 defines a limited liability partnership.
• According to the Partnership Act, 1932, A Partnership Firm
• Since incorporation, the company’s annual revenue has never exceeded 25 crores.
• The company strives for improvement in processes, products, and services, or if it has a scalable business model with a strong potential for creating jobs, etc.
• Any company will only be considered a start-up for a period of seven years starting on the due date of its incorporation or registration. For a Start-up in the biotechnology industry, the time frame is up to 10 years from the date of registration.
• The company will be classified as a start-up for a period of seven years after the date of registration; if the start-up is engaged in the biotechnology industry, the period may extend to ten years following the registration date.

Documents required for Startup Registration

The following are the documents required for start-up registration:

• A Recommendation Letter: An official letter of recommendation must be included with the registration form.
• Certificate of Registration: It is imperative that you upload your company/certificate LLP’s of establishment (Registration Certificate in case of partnership)
• A Brief Description of your Company: Give a brief explanation of your company’s inventive spirit.
• PAN Card : The PAN Card of Company
• Other Documents: A company’s MOA and AOA, and an LLP or partnership firm’s partnership deed
• DPs, Directors, and Members List: Listing of the directors, designated partners, or members, along with their names, addresses, and phone numbers

Procedure for the Registration of Start-Up

The following is the procedure for registering start-up:

• Step 1. Register your business: Your company must first be incorporated as a Limited Liability Partnership, a Private Limited Company, or a partnership firm. The standard steps for registering any firm must be followed, including getting a Certificate of Incorporation/Partnership Registration, a PAN, and other necessary compliances.
• Step 2. Sign up for Startup India: After that, the company needs to register as a startup. Everything is straightforward and done online. All you have to do is visit the Startup India website and complete the form with information about your company.
• Step 3. Gain DPIIT Recognition: The following step is to obtain Department for Promotion of Industry and Internal Trade (DPIIT) Recognition after creating a profile on the Startup India website.
• Step 4. Application for Recognition: Complete the “Startup Recognition Form” and turn it in.
• Step 5. Recognition Number: Your startup will receive a recognition number as soon as you apply. The inspection of all your papers will lead to the issuance of the certificate of recognition, which typically takes place two days following the online submission of the information.

Takeaway

I’m sure that, reading above mentioned information have made you little curious and propagate a thought in your mind to having set up and start-up in Uttar Pradesh. Let me help you with this too, if you have made your mind to do so, I’ll suggest you the Legal Window. You can connect with them , and you will receive quality service through them since they had experience of Start-Up Registration all over India and specifically in Jaipur.