Recently concluded ‘Startup India Stand Up India’ conference was the coming together of ideas, innovations, investments, entrepreneurs and most important the hope for a more vibrant startup ecosystem in India. The action plan announced by PM Narendra Modi, has answered many of the key concerns of the startup founders. For the first time in decades, Indian economy is set to witness a profound growth thanks to revolutionary changes in government policies. These initiatives by the Government are going to give a huge push to e-commerce, entrepreneurship and startups. The new environment is going to be very conducive for a comprehensive and socially inclusive growth for India and her people.
Let us see how not only startups but every single Indian is going to get something out of the ‘Startup India Stand Up India’:
Government backing startups generates global interest
For the first time Government has promoted startups on such a scale. Hosting a conference exclusively to promote the startup culture is bound to improve sentiments about entrepreneurship. Government has also announced 10,000 crores fund for startups. This would send strong signals in the global market and would attract funds and investments. Along with funds also comes the guidance and mentoring from experienced global investors who have already been in similar scenarios and faced the real challenges of the market. The guidance of an experienced mentor along with proper funding can take a startup business to great heights.
Ushering in Business Friendly climate
It typically requires about 13-15 processes to register and begin a startup in India. In other developed countries the number of processes is less than half. By providing startups with single point of registration and a simplified regulatory compliances, the government has created a truly business friendly environment. Furthermore, the tax exemption for first 3 years would help the bootstrapped startups retain capital and use it for refining their business and processes.
Trust in the Power of India’s People
PM Modi has exhorted a billion Indians to get together and solve the million problems faced by the nation. When a billion minds come together and work in an innovative way they can solve the various problems faced by the nation. The inherent problems faced by our population are very different from the other economies of the world. Hence the solutions to our problems should also be unique and they would be workable only when they come from the original innovative thoughts of Indian entrepreneurs. Startups and entrepreneurs can take charge and work to find effective and profitable solutions for our problems. Once we implement and test these solutions, we can reap the benefits by taking these to global markets.
Rajiv Kumar, CEO and founder, Hippo Innovations Pvt. Ltd; has aptly put this thought together when he said,” Government should not think about creating few billionaire entrepreneurs but should think about creating millions of smaller entrepreneurs who are not working towards maximizing the profits but working towards innovative ideas for development of the nation. Watch here (https://www.youtube.com/watch?v=fqse9nXnqYo&feature=youtu.be)
Tie up of Education system with Industry
For the very first time the government would set up sector specific incubators and Tinkering Labs that would work to give pre-incubation training, promote entrepreneurship and seed fund startups. Also, the government has come up with an innovation core program, targeting 10 lakh innovations from five lakh schools. Challenge programs would be instituted that will promote and reward innovations and entrepreneurship. Very high quality research by IIT students would also be fostered and funded by government agencies. When the future of the nation is given a new vision, training and direction like this India is bound to register stupendous growth in coming future. This would also go a long way in fostering social inclusion as the benefits would percolate to every strata of the society in their formative years.
Patent protection and easy filing
For the first time government has come up with a policy that is going to protect the intellectual property rights of the entrepreneurs. The government would not only bear the cost of patents but it would also protect the trademarks and designs of startups. This would go a long way in giving the entrepreneurs the full monetary advantage of all their hard work done for designing and registering a new product or technological innovation. Startups are going to benefit a lot from the significant discount on patent fees.
Easy start and exit would promote risk taking amongst entrepreneurs
The easing of norms would allow the entrepreneurs to take more risks and work on their dream projects with real passion and dedication. It is fact of real life that all businesses do not succeed. Working on the concept of limited liability government would now allow a start up to wind up within a period of 90 days from the date of application. By making the exit easy for startups the government has unleashed the passion in many a young hearts. Now entrepreneurs can wind up a non performing business easily and set up a new business based on the lessons learnt from previous mistakes.
Indian entrepreneurs and startups backed by favorable government policies are going to usher in a new era of inclusive growth for all. However, the true success of this program would be in the quick and easy implementation of all the policies announced by the government.