Introduction:-
The small scale sector is assuming greater importance every day. Hundredsof thousands of people start their own businesses every year, and untold moredream about the possibility of becoming their own bosses. Whileentrepreneurship has its many potential rewards, it also carries uniquechallenges. You need to understand the environment to set up an enterprise ofyour own. Setting up a business requires many things. Understanding yourself,understanding market, availing funds are certain basic things that one mustmandatorily know before making a business decision.
Startup India Stand up
Our Prime Minister unveiled a 19-point action plan for start-upenterprises in India. Highlighting the importance of the Standup India Scheme,Hon’ble Prime minister said that the job seeker has to become a job creator.Prime Minister announced that the initiative envisages loans to at least twoaspiring entrepreneurs from the Scheduled Castes, Scheduled Tribes, and Womencategories. It was also announced that the loan shall be in the ten lakh to onecrore rupee range.
A startup India hub will be created as a single point of contact for theentire startup ecosystem to enable knowledge exchange and access to funding.Startup India campaign is based on an action plan aimed at promoting bankfinancing for start-up ventures to boost entrepreneurship and encouragestartups with jobs creation.
Startup India is a flagship initiative of the Government of India,intended to build a strong ecosystem for nurturing innovation and Startups inthe country. This will drive sustainable economic growth and generate largescale employment opportunities. The Government, through this initiative aims toempower Startups to grow through innovation and design.
What is Startup India offering to the Entrepreneurs?
Stand up India backed up by Department of Financial Services (DFS)intents to bring up Women and SC/ST entrepreneurs. They have planned to support2.5 lakh borrowers with Bank loans (with at least 2 borrowers in both thecategory per branch) which can be returned up to seven years.
PM announced that “There will be no income tax on startups’ profits forthree years”
PM plans to reduce the involvement of state government in the startups sothat entrepreneurs can enjoy freedom.
No tax would be charged on any startup up to three years from the day ofits establishment once it has been approved by Incubator.
Basically this book gives you the opportunity to choose your idealproject among the 50 projects described. Some of them are: dish antennamanufacturing unit, voltage transformer, S.M.P.S unit, sanitary article shop,screen printing, computer center, detergent powder, liquid indigo, liquidphenyl, leather jacket, airbag and purse, handmade bricks, bamboo sticks, goatfarming etc.
The Standup India scheme provides handholding support for borrowers bothat the pre loan stage and during operations. This would include increasingtheir familiarity with factoring services, registration with online platformsand e-market places as well as sessions on best practices and problem solving.
Margin money of the composite loan under the Standup India scheme wouldbe up to 25%. Convergence with state schemes is expected to reduce the actualrequirement of margin money for a number of borrowers. Over a period of time,it is proposed that a credit history of the borrower be built up through CreditBureaus.
The Standup India scheme provides for refinance window through SmallIndustries Development Bank of India (SIDBI) with an initial amount of Rs10,000 crore.
Every year more than 800 tech startups are being set up in India. By2020, a projected 11,500 tech-startups are going to emerge and will employaround 250,000 people.
During 2011-13 (compound annual growth rate growth)
• Yearly growth of 22 percent in number of investment
• Yearly growth of 47 percent in total value of investment
During 2013-15 (compound annual growth rate growth)
• Yearly growth of 153 percent in number of investment
• Yearly growth of 127 percent in total value of investment
Entrepreneurship is the quality of being a businessman, i.e. one who"undertakes an enterprise". The term puts emphasis on the risk andeffort taken by individuals who both own and manage a business, and on theinnovations resulting from their pursuit of economic success.
1500 Multi Skill Training Institutes would be set up through activeparticipation of industries under Kaushal Vikas Yojana in unserved blocks andareas with emphasis on imparting technical skills to the youth.
About 43 lakhs educated youth are unemployed in the northeast as onMarch, 2008. Out of which the maximum unemployed youths are located in Assam(about 22-50 lakhs) and the lowest is in Sikkim.