1.

INTRODUCTION

A startup or start-up is a company or project initiated by an entrepreneur to seek, effectively

develop, and validate a scalable business model. While entrepreneurship refers to all new
businesses, including self-employment and businesses that never intend to grow big or
become registered, startups refer to the new businesses that intend to grow large beyond the
solo founder. Startups face high uncertainty and have high rates of failure, but a minority of
them do go on to be successful and influential. Some startups become unicorns, i.e. privately
held startup companies valued at over US$1 billion.

Startup india is a revolution scheme that has been started to help the people, who start their
own business. These people have ideas and capability so govt will give them support to make
sure they can implement their idea & grow. The campaign was first announced by Prime
Minister Modi in his 15 August 2015 address from the Red Fort. Success of this scheme will
eventually make india, a better economy and a strong nation.

Start-up India is an action plan to develop an ecosystem to promote and nurture

entrepreneurship across the country. Start-ups and entrepreneurship are critical to India’s
efforts to restart private investment into the economy. The Government of India to build a
strong eco-system for nurturing innovation and empowering Start-ups in the country.

Startup India is an initiative of the India. The campaign was first announced by Indian Prime
Minister, Narendra Modi during his 15 August 2015 address from the Red Fort, in New
Delhi.
A startup defined as an entity that is headquartered in India, which was opened less than 10
years ago, and has an annual turnover less than ₹100 crore (US$14 million). Under this
initiative, the government has already launched the I-MADE program, to help Indian
entrepreneurs build 10 lakh (1 million) mobile app start-ups, and the MUDRA Bank's scheme
(Pradhan Mantri Mudra Yojana), an initiative which aims to provide micro-finance, low-
interest rate loans to entrepreneurs from low socioeconomic backgrounds. Initial capital
of ₹20,000 crore (equivalent to ₹210 billion or US$2.9 billion in 2018) has been allocated
for this scheme.

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2.1 COMPANY PROFILE

PhonePe is a mobile payment platform using which you can transfer money using UPI,
recharge phone numbers, pay utility bills, etc. PhonePe works on the Unified Payment
Interface (UPI) system and all you need is to feed in your bank account details and create a
UPI ID. There is no need to recharge the wallet, because the money will be directly debited
from your bank account at the click of a button in a safe and secure manner. The best thing
about UPI is that it is a 24/7 service and can be used even on bank holidays and weekends.
The app can be downloaded on both Android and Apple phones.
PhonePe Private Limited, PhonePe, is an Indian e-commerce payment system and digital
wallet company headquartered in Bangalore, India. It was founded in December 2015 by
Sameer Nigam and Rahul Chari. PhonePe app went live in August 2016 and was the first
payment app built on Unified Payments Interface (UPI).
The PhonePe app is available in over 11 Indian languages. Using PhonePe, users can send
and receive money, DTH, recharge mobile, data cards, make utility payments, buy gold and
shop online and offline.[7] In addition PhonePe also allows users to book Ola rides, pay for
Redbus tickets, order food on Freshmenu, eaf,fit and avail Goibibo Flight and Hotel services
through microapps on its platform.
PhonePe is accepted as a payment option across 5 million offline and online merchant outlets
covering food, travel, groceries, movie tickets etc. The app crossed 100 million user mark in
June 2018 and also crossed 5 billion transactions in December 2019.
It is licensed by the Reserve Bank of India for issuance and operation of a Semi Closed
Prepaid Payment system.

HISTORY

FxMart received its licence to operate on 26 August 2014. PhonePe was incorporated in
December 2015. In April 2016, the company was acquired by Flipkart and as a part of the
Flipkart acquisition, the FxMart license was transferred to PhonePe and it was rebranded as
the PhonePe wallet. PhonePe's founder Sameer Nigam was appointed as the CEO of the
company.
In August 2016, the company partnered with Yes Bank to launch a UPI-based mobile
payment app, based on the government-backed UPI platform.
Within 3 months of launch, the app was downloaded by over 10 million users. In 2018,
PhonePe also became the fastest Indian payment app to get a 50 million badge on the Google
play store. The PhonePe app overtook BHIM to emerge as the market leader in UPI
transactions in August 2017.

INNOVATION AND PARTNERSHIPS

In October 2017, PhonePe launched a POS device built in India. The Bluetooth enabled POS
device looks like a calculator and works with AA batteries. The hardware uses Bluetooth

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connectivity and enables payments through all the mobile devices that can access the
PhonePe app.
In January 2018, PhonePe partnered with Freecharge. This partnership has empowered
PhonePe users to link their existing FreeCharge Wallets to the PhonePe app. PhonePe has
also entered into similar partnerships with Jio Money and Airtel Money.
PhonePe also partnered with RedBus, Ola and Goibibo to launch micro-apps on its platform
to build and deploy apps on its platform with a unified login and payments experience for
users.
In September 2019, PhonePe unveiled 'PhonePe Switch' for integrating several other
merchant apps to help users to switch between PhonePe and other apps. 

2.2 MISSION, VISION AND VALUES

Mission: The PhonePe mission is to make digital payments so easy, safe and universally
accepted that people never feel the need to carry cash or card again.

Vision: The PhonePe vision is to build a large, scalable & open transaction ecosystem that
creates maximum positive impact for all stakeholders in the ecosystem.
Values: Company level values, team level values and individual level values.

Company level values:

 Perseverance and Conviction: They believe in the conviction of decisions and

persevere to create sustainable value for the organization. They are not side-tracked
by the flavour of the month.
 Transparency: They share data and learning’s openly to enable better decision-making
across the organization. Transparency is tool to develop decision-making muscle and
ownership across the company.

Team level values:

 Collaboration: They work collaboratively as a team, and hold the organisation’s goals

above those of the team. They listen attentively, speak candidly and admit mistakes.
They do not tolerate politics. They believe that creating a high-trust environment is
everybody’s responsibility.
 Excellence in People: They are committed to creating winning teams for the long run.
They do not compromise on quality of talent for short-term goals. They inspire by
creating context, clarifying expectations and opening up opportunities so everyone
can own their growth.

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 Individual level values:

 Learn More. It’s Free! : They will always remain curious to explore and act on new
possibilities. They learn rapidly and eagerly; and contribute effectively outside a
team/function to expand horizons.
 Passion: They care deeply about work and hold themselves to a high bar. They take
whole and complete ownership to resolve problems regardless of organisational
boundaries. They never shy away from rolling up sleeves and solving problems. They
never say “this is not my job”.
 Openness of Thought: They always remain open minded and willing to be influenced
in search of the truth. They voice opinions even if it is uncomfortable, inconvenient or
unpopular. Data is our bible for all things past, and logic is our magic wand for all
things future.

2.3 PRODUCTS AND SERVICES

 Payment systems
 Digital wallets
 Mobile payments
 Online shopping

1. Payment systems

A payment system is any system used to settle financial transactions through the transfer of

monetary value. This includes the institutions, instruments, people, rules, procedures,
standards, and technologies that make it's exchange possible. A common type of payment
system is called an operational network that links bank accounts and provides for monetary
exchange using bank deposits. Some payment systems also include credit mechanisms, which
are essentially a different aspect of payment.
Payment systems are used in lieu of tendering cash in domestic and international transactions.
This consists of a major service provided by banks and other financial institutions.
Traditional payment systems include negotiable instruments such as drafts (e.g., cheques) and
documentary credits such as letters of credit. With the advent of computers and electronic
communications, many alternative electronic payment systems have emerged. The
term electronic payment refers to a payment made from one bank account to another using
electronic methods and forgoing the direct intervention of bank employees. Narrowly defined
electronic payment refers to e-commerce—a payment for buying and selling goods or
services offered through the Internet, or broadly to any type of electronic funds transfer.
Modern payment systems use cash-substitutes as compared to traditional payment systems.
This includes debit cards, credit cards, electronic funds transfers, direct credits, direct
debits, internet banking and e-commerce payment systems.

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 2. Digital wallets

A digital wallet also known as "e-Wallet" refers to an electronic device or online service that
allows an individual to make electronic transactions. This can include purchasing items on-
line with a computer or using a smart phone to purchase something at a store. Money can be
deposited in the digital wallet prior to any transactions or, in other cases an individual's bank
account can be linked to the digital wallet. Users might also have their driver's license, health
card, loyalty card(s) and other ID documents stored within the wallet. The credentials can be
passed to a merchant's terminal wirelessly via near field communication (NFC). Increasingly,
digital wallets are being made not just for basic financial transactions but to also authenticate
the holder's credentials. For example, a digital wallet could verify the age of the buyer to the
store while purchasing alcohol. The system has already gained popularity in Japan, where
digital wallets are known as "wallet mobiles". A cryptocurrency wallet is a digital wallet
where private keys are stored for cryptocurrencies like bitcoin.

3. Mobile payments

Mobile payment (also referred to as mobile money, mobile money transfer, and mobile

wallet) generally refer to payment services operated under financial regulation and performed
from or via a mobile device. Instead of paying with cash, cheque, or credit cards, a consumer
can use a mobile to pay for a wide range of services and digital or hard goods. Although the
concept of using non-coin-based currency systems has a long history, it is only in the 21st
century that the technology to support such systems has become widely available.
Mobile payment is being adopted all over the world in different ways. The first patent
exclusively defined "Mobile Payment System" was filed in 2000.

4. Online shopping

Online shopping is a form of electronic commerce which allows consumers to directly

buy goods or services from a seller over the Internet using a web browser. Consumers find a
product of interest by visiting the website of the retailer directly or by searching among
alternative vendors using a shopping search engine, which displays the same product's
availability and pricing at different e-retailers. As of 2016, customers can shop online using a
range of different computers and devices, including desktop computers, laptops, tablet
computers and smart phones.
An online shop evokes the physical analogy of buying products or services at a
regular "bricks-and-mortar" retailer or shopping center; the process is called business-to-
consumer (B2C) online shopping. When an online store is set up to enable businesses to buy
from another business, the process is called business-to-business (B2B) online shopping. A
typical online store enables the customer to browse the firm's range of products and services,

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view photos or images of the products, along with information about the product
specifications, features and prices.
Online stores usually enable shoppers to use "search" features to find specific models, brands
or items. Online customers must have access to the Internet and a valid method of payment in
order to complete a transaction, such as a credit card, an Interac-enabled debit card, or a
service such as PayPal. For physical products (e.g., paperback books or clothes), the e-tailer
ships the products to the customer; for digital products, such as digital audio
files of songs or software, the e-tailer usually sends the file to the customer over the Internet.
The largest of these online retailing corporations are Alibaba, Amazon.com, and eBay.

Benefits of PhonePe

 Safe to use
 User-friendly
 Available in many local Indian languages such as Hindi, Kannada, Tamil, Malayalam,
Assamese, Gujarati, etc
 Available round the clock
 Immediate money transfer
 Instant discounts and cash backs on transactions
 No hassle of remembering bank account details such as IFSC code

Features of PhonePe

 Recharge and pay bills: Just like other mobile wallet apps in the market, it is
possible to pay utility bills and recharge your mobile number through PhonePe. It is
very easy to recharge your phone using this app. To do so, go to the ‘Recharge’ tab,
enter the amount, choose the bank account and pay for the same at the click of a
button.
 Split a bill with a friend with PhonePe: Going for dinner, the movies, or a trip and
wondering how to split the bill? This feature is available on PhoenPe. To split a bill,
go to the ‘Split a bill’ option. This is a very easy and convenient option to split
expenses when you go out as a group.
 Send, transfer funds using QR code: One of the other features of the PhonePe app
is the option to send and receive money using a QR code option. You can simply scan
the QR code using the camera of your smartphone.
 Single app for UPI: The main advantage of the app is that it is one stop solution for
all UPI transactions. This means that you can have a bank account with any bank and
still use the PhonePe app to link multiple bank accounts in the same app. This
eliminates the need to install multiple apps.

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How does PhonePe Work

This mobile application works on the UPI system that has been developed by the National
Payments Corporation of India (NCPI). The service as of now is powered in collaboration
with Yes Bank. When a user downloads PhonePe, he/she will have to key their registered
mobile number to register. Once this is done, all information necessary for a transaction
becomes live and a user will have a UPI ID, through which all transactions can be carried out.
The money will get deducted per transaction through the UPI interface. This app allows users
to transact up to Rs.1 lakh in one go.

Here is a list of what you can do with PhonePe:

 Shop online on a list of e-commerce platforms and pay through UPI
 Pay utility bills
 Send and receive money from your phone contact list using UPI
 Recharge mobile and DTH connections
 Check bank account balance
 Register beneficiary
 Handle more than one bank account
 Become eligible for cashbacks
 Split bills

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3. CONCLUSION

Startups are the future growth engines of our country and Government should do all it can to
foster the growth of entrepreneurship culture in India. Already FB,Googleand Yahoo have
acquired startups based in India and the likes of Flipkart,Inmobi,MuSigmashow us that world
class companies can have origins in India also. It just needs a little push in the right direction.
The recent Government initiatives like the $1.6B fund,”Makein India campaign” and the new
companies’ law are a step in right direction. Just a little more needs to be done to bring the
archaic Indian laws up-to-date with 21stgeneration technology. This is a most effective
campaign which will create more job opportunities to the Indian youths. This scheme will
directly help people in opening their own successful entrepreneurship. It will help our country
to show the talent of youths through their innovative businesses all across the world. This
initiative is the necessity to lead India in right direction.

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4. REFERENCES

 https://en.wikipedia.org/wiki/PhonePe
 https://www.phonepe.com/en/

 https://www.slideshare.net/AbhishekMundra3/public-policy-for-entrepreneurs-and-
startups