Question : Facilities for New Start-ups

(a) whether the Government is taking any initiative or providing facilities for new start-ups in the country during the last five years and if so, the details thereof;

(b) whether these facilities have resulted in increase in the number of start-ups and if so, the reasons therefor;

(c) the number of start-ups that are still functional for three years after their respective launch;

(d) the number of start-ups that failed in three years after their launch along with the details thereof;

(e) the number of start-ups which are functional in the parliamentary constituency of Pratapgarh at present and its contribution including the date since when it is functional along with the details thereof;

(f) whether the rate at which start-ups were founded has slowed down, if so, the reasons therefor; and

(g) the details of start-ups in the last five years, both city-wise and product-wise?

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THE MINISTER OF COMMERCE & INDUSTRY
(SHRI PIYUSH GOYAL)

(a), (b) & (f): Startup India Initiative was launched on 16th January 2016. The Startup India Action Plan with 19 Action Points intends to build a strong eco-system for nurturing innovation and startups in the country that will drive sustainable economic growth and generate large scale employment opportunities. The Action Plan is divided across the following areas:

i) Simplification and Handholding
ii) Funding Support and Incentives
iii) Industry- Academia Partnership and Incubation

The incentives being provided to startups under Startup India initiative to overcome their initial hurdles are given below:

i) Self-Certification under 6 Labour Laws & 3 Environmental Laws
ii) Relaxations in Public Procurement Norms
iii) Faster exit under the Bankruptcy Code
iv) Rebates on Patent & Trademark filing fees, support from facilitators and expedited examination of Patent application
v) Income Tax exemption under Section 80 IAC of Income Tax Act
vi) Exemption from Income Tax on investments received above fair market value under clause (ii) of the proviso to clause (viib) of sub-section (2) of section 56 of the Income Tax Act
vii) Funding support under the Fund of Funds for startups
viii) Guidance and facilitation support from Startup India Hub

The details of Startups founded all over country is not compiled, however, various initiatives undertaken under Startup India initiative have resulted in increase in recognition of Startups by DPIIT since the launch of the initiative as under:
<pre>

Fiscal Year Number of startups recognized
2016-2017 746
2017-2018 7961
2018-2019 8618
2019-2020 (Till November 5, 2019) 7141
</pre>


(c) to (e) & (g): The data on number of startups which are still functional for three years or have failed in three years of their launch is not compiled. As per data self-reported by startups, a total of 3 startups from Pratapgarh have been recognized by DPIIT. List of state-wise and industry-wise startups recognized by DPIIT since the launch of the initiative in 2016 based on data self-reported by startups are at Annexure I and Annexure II, respectively. Product-based data of the recognized startup by DPIIT is not compiled.

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