The start -Up india scheme launched to create a favourable start-up ecosystem in india can be a possible game changer for indian economy.
Highlights of the scheme:
1) A sum of 10000 crore rupee to facilitate funding for next four years.
2) Self certification for compliance.
3) No Labour-law inspection for next three years.
4) Relaxation in norms for public procurement.
5) More Incubators and 500 new laboratories with 3D printing facilities.
2) Self certification for compliance.
3) No Labour-law inspection for next three years.
4) Relaxation in norms for public procurement.
5) More Incubators and 500 new laboratories with 3D printing facilities.
Problems and challenges:
1.) To be eligible for the scheme they have to show that their innovation "Significantly Improved " the existing one. But government is not equipped to define the "Significant ", which can be misused and leads to Corruption, Crony capitalism, Red tapism and Deliberate Delays.
2.) There are no safeguards to ensure that Indian start-ups are not overtaken by foreign companies.
3.) De-domiciling of Indian startups, for example Flip-kart is registered in Singapore
4.) The scheme as again opened the doors for Bureaucrats to enter the process.
1.) To be eligible for the scheme they have to show that their innovation "Significantly Improved " the existing one. But government is not equipped to define the "Significant ", which can be misused and leads to Corruption, Crony capitalism, Red tapism and Deliberate Delays.
2.) There are no safeguards to ensure that Indian start-ups are not overtaken by foreign companies.
3.) De-domiciling of Indian startups, for example Flip-kart is registered in Singapore
4.) The scheme as again opened the doors for Bureaucrats to enter the process.
overall business climate in India still demands reforms.
However, the if the scheme is implemented properly there can be a paradigm shift in the business environment and the Brain-Drain of India could be checked creating more employment and avenues for Innovation and research.
However, the if the scheme is implemented properly there can be a paradigm shift in the business environment and the Brain-Drain of India could be checked creating more employment and avenues for Innovation and research.
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