January 16 to be celebrated as National Start-up Day

Tags: National News

Prime Minister Narendra Modi has announced that every year, January 16 will be celebrated as National Startup Day. On this day in 2016 the government of India launched its flagship  Startup India initiative. 

• He announced this while inaugurating "Celebrating Innovation Ecosystem", which is being hosted by the Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry, from 10th to 16th January 2022 through video conferencing. 
• He said that last year 42 Unicorns emerged in India and India has the third largest number of Unicorns in the world after the United States and China .

  Startup India is a flagship initiative of the Government of India, intended 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.

 Definition of Startup

The Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry has defined Startup on the following criteria . The startup has to fulfil all the criteria mentioned below 

Company Age : 

The date of incorporation of the company shall not be more than 10 years .

Company Type

The company shall be incorporated as a Private Limited Company,a Registered  Partnership firm or a Limited Liability Partnership firm.

Annual Turnover 

The annual sales of the company shall be not more than Rs 100 crore for any of its financial years since its started its operation .

Original Entity 

The company or Entity should have been formed originally by the promoters and should not have been formed by splitting up or reconstructing an existing business.

Innovative and Scalable 

A start-up should be “working towards innovation, development or improvement of products or processes or services, or if it is a scalable business model with a high potential of employment generation or wealth creation”.