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CSE332 Lecture 12

The document discusses two major initiatives aimed at promoting startups in India: Start-up India and NASSCOM's 10,000 Startups. Start-up India, launched in 2016, provides financial support, tax exemptions, and simplified compliance for eligible startups, while NASSCOM's initiative focuses on mentoring and scaling 10,000 startups across various sectors. Both initiatives face challenges such as funding constraints and regulatory hurdles but have significantly impacted the startup ecosystem, with thousands of startups incubated and billions raised in funding.

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0% found this document useful (0 votes)
15 views

CSE332 Lecture 12

The document discusses two major initiatives aimed at promoting startups in India: Start-up India and NASSCOM's 10,000 Startups. Start-up India, launched in 2016, provides financial support, tax exemptions, and simplified compliance for eligible startups, while NASSCOM's initiative focuses on mentoring and scaling 10,000 startups across various sectors. Both initiatives face challenges such as funding constraints and regulatory hurdles but have significantly impacted the startup ecosystem, with thousands of startups incubated and billions raised in funding.

Uploaded by

snehakohli01
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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CSE332

Unit3:- Government Funding and


startup schemes
Topics: Start-up India, 10000 startups
-A NASSCOM Initiative
Start-up India

1. Start-up India, launched on January 16, 2016,


2. Aims to promote entrepreneurship, innovation, and job
creation
3. Through financial support, legal simplifications, and
mentorship.
Examples : Benefiting startups like BYJU’S, Zomato, and Paytm.
Benefits & Incentives for Startups

• Simplified Compliance: Self-certification for


labor and environmental laws.
• Tax Exemptions: 3-year income tax holiday for
eligible startups.
• Funding Support: ₹10,000 crore Fund of
Funds for startups.
• Fast-Track Patent Process: 80% reduction in
patent filing fees.
Example: Ather Energy (EV Startup) leveraged
government incentives to scale its business.
Eligibility & Registration Process

• Must be incorporated as a Private Limited


Company, LLP, or Partnership Firm
• Should be less than 10 years old
• Annual turnover should not exceed ₹100
crore
• Must be working on innovation,
development, or improvement of
products/services
Example: Zerodha (Fintech Startup) registered under Start-up India and
grew into a market leader.
Funding & Investment Opportunities
• Fund of Funds Scheme (FFS): Invests in startups
through SEBI-registered VC firms.

• Start-up India Seed Fund Scheme (SISFS): ₹945 crore


to support early-stage startups.

• Government Grants & Incubation Centers: Provides


infrastructure, networking, and financial support.

Example: Cure.fit (HealthTech Startup) received funding through various


government and private investors.
Challenges Faced by Indian Startups
• Funding Constraints: Many startups struggle to
secure investment.
• Regulatory Hurdles: Compliance and legal
formalities take time.

• Market Competition: High competition from global


and local players.

• Scaling Issues: Difficulties in expanding due to


operational challenges.
Example: Kirana King (Retail Startup) overcame scaling
challenges through digital transformation.
Impact & Future of Start-up India
• Over 100,000 startups recognized by the DPIIT (Department for
Promotion of Industry and Internal Trade).
• India is the 3rd largest startup ecosystem globally.
• Focus Areas for Growth: DeepTech, AI, Green Energy, FinTech,
Agritech.
• Government’s Next Steps: Improving ease of doing business,
increasing startup funding, and promoting exports.

Example: Nykaa (Beauty Startup) started as a small business and became a


publicly traded company.
.

10000 startups -A
NASSCOM Initiative
• .

Introduction & Launch – NASSCOM initiated in 2013 for startups.


•Objective & Vision – Support, mentor, and scale 10,000 startups.
•Key Focus Areas – AI, FinTech, HealthTech, SaaS, EdTech.
•Startup Support – Funding, mentorship, global expansion,
acceleration.
•Impact Created – Thousands incubated, billions in funding.

Example Success – Freshworks scaled, India’s first SaaS unicorn


Key Features of 10,000 Startups

 Startup Incubation & Acceleration Programs


 Funding Support via Investor Connects
 Mentorship from Industry Experts
 Global Expansion & Market Access
 Corporate & Government Partnerships

Example: Razorpay – Grew rapidly through startup mentorship


and funding.
Impact of 10,000 Startups

 Over 7,500 startups incubated

 300+ startups scaled globally

 50+ Accelerator programs conducted

 $4 billion+ funding raised

Example: Unacademy – Benefited from NASSCOM’s ecosystem and became


a leading EdTech platform.
Challenges Faced by Startups
 Funding & Investment Barriers

 Market Competition & Scalability Issues

 Regulatory & Compliance Challenges

 Talent Acquisition & Retention

• Example: Many AI-based startups struggle with


data privacy regulations and funding gaps.
Future of 10,000 Startups Initiative
 Expanding to Tier-2 & Tier-3 Cities

 Focus on AI, DeepTech, and Sustainability

 More Collaboration with Government & Enterprises

 Scaling Indian Startups for Global Markets

Example: Digit Insurance – A startup that leveraged


NASSCOM’s network to expand in the InsurTech sector.
Conclusion & Key Takeaways

 10,000 Startups is driving India’s startup ecosystem

 Provides funding, mentorship, and global


opportunities

 Helps startups overcome challenges & scale efficiently

 Continuous support for emerging technologies &


entrepreneurs
Final Thought: India’s future as a global startup hub depends on
initiatives like NASSCOM’s 10,000 Startups!

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