A startup is a company or project initiated by an entrepreneur to seek, validate and effectively develop a scalable business model. Startups refer to the new businesses that intend to grow beyond the solo founder, have employees, and intend to grow large.
Startup Business mainly includes:
- Private Limited Company – Most common and popular in India, requires minimum 2 Director and 2 shareholder. Most Trusted Entities in India.
- OPC – Less common but popular now a days, can be started with one director and shareholder only.
- LLP– A partnership with limited liability. First Choice for all legal and professional service providers.
At ComplyPartner, we provide services related to Registrations, Accounting, Payroll, Legal, Intellectual Property, Financing, Taxation, Secretarial and other compliances.
Startup Registration Requirement:
- The firm has to be a Private Limited Company or a Limited Liability Partnership, OPC and Registered Partnership Firm.
- The company remains a startup for the first ten years, post the date of registration.
- The company remains a startup if the turnover per year does not cross the Rs 100 crore mark in any of the 10 years.
- The firm must come up with innovative ideas and schemes.
Documents Required for Startup Registration:
- A letter of recommendation/support.
- Incorporation/Registration Certificate – You need to upload the certificate of incorporation of your company/LLP (Registration Certificate in case of partnership)
- Description of your business in brief – A brief description of the innovative nature of your products/services.
Procedure for Registering a Startup:
- Incorporate Your Business – Firstly, you need to incorporate your business as a Private Limited Company or a Limited Liability Partnership or a Partnership firm by filling up a form to get the registration.
- Register under Startup India – Than, you need to register your firm or company as a startup in the Startup India scheme of the government by filling the form available for you on the Startup India website.
- Documents to be uploaded in PDF Format
- Mention if Tax exemption needed – In India, startups do not have to pay income tax for the first three years but to avail such benefits, the company must be certified by the Inter-Ministerial Board (IMB).
- Self-Certification of the following Conditions –
- You are a Private limited company, an LLP or a partnership firm.
- Your business must be incorporated or registered in India, not before 5 years.
- Your company’s turnover must not be more than Rs 100 crore.
- The company has to keep innovating something new or making the existing system better in its own way.
- Your business must be a fresh idea and not splitting up or reconstruction of an existing business.
- Get your Recognition Number – On application of this registration, you will get a recognition number with immediate effect. You get the certificate of registration or incorporation only after the authority goes through all your uploaded documents.