A private body to provide funding for a start-up venture or budding business to overcome their financial needs and financial shortages for their operations,i.e, a funding body for budding/developing firms is known as VENTURE CAPITALIST.Budding startups with latest and innovative ideas are being assisted by Venture Capitalists at their initial stages in exchange of equity & possession stake.Sprouting startups with risky operations are the eligible ones for this seed funding.Who all are Venture capitalists : rich depositors, investment banks and any other monetary organisations.Why are Venture capitalists needed?The capitalist providing money will in return acquire an equity position.This equity financing mainly happens where the business is not established and which can’t access business loans from financial bodies due to shortage of cash incomes,deficit of security e.t.cThe Controlling Authority:The Venture capitalists will have an active participation in the business operations and thus a controlling power in such firms.In case of selling of shares or any such cases due to the well organised investment structure,the Venture Investors are eligible for rewards.There will be an individual who will be the board member and take part in all the key decision making and administrational & managerial operations and even funding & financing.Usually the managerial layout will be as a partnership firm,where each individual will have the responsibility and authority according to the equity share and receive the profit according to the equity share.Do you need VENTURE CAPITALIST assistance?Let's check the documents.Details of unsecured loan,if any raised by the company.Moa, Aoa,Incorporation Certificate.Letter proving no past Venture Capitals have been utilised.Investor rights agreement,Voting agreement e.t.c.
Prior Bank’s Inspection Report.Updated Term Loan account statements & Cash Credit account statements.Bank’s acknowledgement assuring that they will not absolve any primary or collateral security without the venture capitalist acknowledgement.How to APPLY?To register and request for a venture funding the primary procedures are: Idea Generation & proposal preparation of the Business: The initial step is to submit your idea with a well prepared proposal including:Executive Business SummaryRequirements for the management of the company.The financial and investment calculations.Current and future situations.The market trends and scenarios and value of the idea in the market.Detailed analysis & decision making whether to provide funding, or not.
Initial Meeting: After proposal submission, if the Investor is interested in the project and is ready to fund,then they conduct an initial meeting to discuss the project in detail.After this meeting the final decision to proceed or not will be made.
Deep Research-Due Diligence Varying from business categories and business natures, due diligence fluctuates.The procedure is done after a series of client communications,operational questionnaire and analysis of goods & services methodologies.
Terms and conditions-Funding If the due diligence is satisfactory then, the investor submits a letter “ term sheet” mentioning the terms and conditions of the investment.These should be acceptable and approved by both the parties,and after the legal procedures and due diligence the fund will be released.
Prime Minister Narendra Modi on February 26 insisted on raising corporate credit to meet the needs of a deficit economy.
He also stated that financial products will need to be adapted to fintechs and startups.
Despite the government's efforts to promote the private sector, the public sector still needs its presence in banks and insurance to support the poor.
The prime minister promised to help many small businesses during the pandemic where a credit of Rs 2.4 trillion was granted to ninety lakh MSMEs.
As our economy grows and grows rapidly, so too has the credit flow become just as important.We must look at how credit reaches new sectors, new entrepreneurs.Now, we are going to have to focus on creating new and better financial products for startups and fintech.Declaring that Kisan Credit has assisted small-scale farmers and ranchers in taking over informal credit,the prime minister said the private sector will now need to think about innovative financial products for this part of society.
He believes that the government has a clear vision of the financial services sector and is taking steps to make it dynamic, proactive and strong.The experience, trust and transparency of individual depositors and investors is the government's top priority.
According to the Trademark Act 1999,the validity of Trademark is 10 years,after which it has to be renewed with renewal charges if the applicant wants to extend the validation.The period of validity (10 years) may vary according to the state.Renewal After the validity of trademark,if the applicant needs to extend the trademark he/she should renew the application.The renewal request should be submitted before 6 months of the end of validity.There will be a notification from the registrar of trademarks reminding you to renew.The notification letter will specify the conditions of the termination & charges for renewal.If the renewal is not done then the trademark will be removed from the official Trademark Register, called Trademark Journal.Fro renewal,a TM-R should be filed.An authorised agent/body can do this without the applicant to be involved.There are two opportunities for renewal: Application for renewal without any changesApplication for renewal with changes and alteration to any sign or words in the existing trademark.
The renewal application for a trademark is made in the TM-12 form.
Even though the applicant itself can do the procedure it is advised to consult an expert for the process.Once the application is approved the trademark will be published again & will be noted in the official Trademark Journal.This will provide the owner further trademark rights for the regional validity time to his/her intellectual property.ProceduresRenewal can be an online procedure(e-filing) or an offline procedure (in-person).
Trademarks can be renewed or restored.Renewal charges:MSME and individual startups - Rs 5000 ( offline / in-person ) - Rs 4500 ( online / e-filing )Under section 25 for each class - Rs 10,000 ( offline / in-person ) -Rs 9000 ( online / e-filing )Most people prefer online filing due to : Quick and faster renewal than in-personConvenient filing with easy stepsRegular online tracking of your trademark status Missed out DeadlineEven Though you missed out to file before the deadline,you will have an option to apply after 6 months of expiry adding up a late filing fee.The period of validity can be extended by paying extra charge.This will vary according to your consultant.So its important to approach the right expert for the process.
The Initial procedure of your Startup is Depicting your idea as a Business Proposal.This proposal may contain all the prime factors of your venture like business goals & policies,Target time for the goal,marketing schemes,Profit & Loss calculations, Capital, etc.Some Business Proposals may also include in detail about:Business Summary including prime factors.Business Outline including Legal Outline,Business nature & purpose,Business location,e.t.cFinancial framework.Operational Structure and the Product & Service details.Details of the management wing.Market analysis and scrutinisation of the market competition.Ultimate output and gains.Need a striking start?A venture can have a striking start with a striking name.Its a prime priority.What all should we consider while drafting such a name?Choose a name suiting your business.Consider the keywords and avoid long names.Choose an easier and understandable one with a meaningful psychology.Initially building a startup idea & startup venture is a very complex task.But not only this idea building matters.The individuals who are there to support you and your venture should also be keenly choosed.How to Fix your Great Co-Founder?The prime factor is that such a person should have an opposite skill set compared to you.This will give best outputs in different sectors as you both can yield a combined effort.If your Co-founder and you are efficient enough in different sectors then count of staffs can be reduced and thus the expenses will be less.Factors to be considered for choosing a Co-Founder is:Talent:The individual’s talent is a prime factor.If it is complementary to yours then it is more beneficial to reduce the staff count.Character:The Co-founder’s character should match and work out well with yours.Owning & managing a business is a hectic job including ups and downs.So it is important to have a smooth and supporting relationship with your co-founder.Faith & confidence:For a successful end you both must have a strong relationship built with faith & confidence.
Morality:Morality is an important factor,which you and your partner should maintain.Without moral values great losses can occur to each other. How to find your Co-Founder?After analysing the required characteristics of a partner/co-founder,you will be doubtful about how to choose them.Let us see how can we find it:Figure out from your contact circle.Search for co-founders at commonly conducted events , summits or groups as you do for investors .Especially Startup India Hub is a right platform.Social Media Platforms,websites e.t.c also can help you out for finding an appropriate individual.What about having your friends as your Co-founder?It's an exciting matter to have your friend as your co-founder.But there are some hidden risks in it.Initially you believe that you can understand your partner very well and work smoothly.But when the work proceeds,complex situations encounter and there may arise conflicts.You may then rethink your decision.Discussions with your friend may turn into a friendly conversation.This may lead to considering situations lightly,even money or business matters may be taken lightly and yield drastic losses.After Co-founder?Build your wings!!
!Success lies in each and every individual putting effort for the purpose.So its a keen procedure to build your wing.How to perform this complex procedure of building your wing?Let’s check:Analyse yourself:It's better to analyse yourself before moving to build a perfect wing of individuals.Self analysis can reveal your strengths & weaknesses and help you to build your wing accordingly.
Sketch out the Required Roles:Apart from the individual and their skills,it is important to know that the role is required or not.Interns are a perfect recommendation.Accept a Startup culture:Accepting a Startup culture is a required factor.
As startups in India face shortage of money or limited amount of income it is obvious that payments may not be prompt and will be delayed.Hiring skilled candidates with low remuneration is a vibrant task.Recruiting and staffing:From a wide range of candidates it is important to draw a hiring strategy and maintain the recruitment and staffing procedure stably.Visit : https://gspustartup.com/blog/how-to-initiate-and-build-your-startup-wing/
A funding body for budding/developing firms is known as VENTURE CAPITALIST.How can we build such a fund in India?Let’s check: Ensure the eligibility benchmarks:The initial step is to apply for the venture capital fund.The SEBI board checks all the norms and ensures whether the eligibility benchmarks are achieved t0 permit the “Venture Capital Fund”.The considering eligibility benchmarks are: For TRUST: should be registered properly under the registration Act provisions.For LLP:should be registered properly under the Limited Liability Partnership Act 2008.
For BODY CORPORATE: The VCF activities are handled by the Memorandum of company.Apply to SEBI Submit your application to SEBI through appropriately filled, numbered, duly signed and stamped Form A, along with the required documents.An application fees of Rs.1 lakh should be submitted through bank draft.Online application are also acceptable under the specified rules.
Application status Review If the board approves the application,then the approval will be informed to the applicant.Compliance for applicant/sponsor/managerThere should not be any offence charged against the Director or any prime individual for moral turpitude or they must not be part of any lawsuit connected with the share bazaar which will affect the business.VFC should be efficient and effective to handle the operations.A clear report of the investing purpose,aimed investors,proposed body,investment structure,and details of fund return should be submitted at the registration time.The individuals under the Schedule II of SEBI Regulations are only acceptable.Registration fee payment:After the SEBI approval,an amount of Rs 10 lakh must be released as mentioned in Part A of the Second Schedule as per mentioned in the Part B in considering the Securities and Exchange Board of India.
Issuing Registration Certificate:After the payment the SEBI will issue the certificate as ‘Venture Capital Fund’ in Form B.
Compliance filing:After registration, monitor the SEBI website regularly,to know the instant VCF updates.If any material change occurs,inform the SEBI instantly.VENTURE SCHEME for FARMERSVenture Scheme for farmers is an interest free loan from SFAC (Small Farmers’ Agri-Business Consortium - society for farming, collaboration and farmers welfare, ministry of farming ).Government of India are already facing many financial shortages so venture scheme will be a relaxation.The need for Venture Scheme in Agriculture is that:To financially support agripreneurs to make reserves in setting agroindustry ideas.Set up interest free credit to the start-up.Eligible Applicants for Venture CapitalCompany/ AgripreneursPartnership or proprietary firmsFarmersUnits in agri-export regionsSelf-help groupsProducer assembliesRequired Documents: Request a letter to the Chief management of SFAC(Small Farmer’s Agri-Business Consortium )by the promoter.Authority approved sanction note,addressed to specific departments.An agreement supporting farmer’s list/backward linkage.A bank's permission note signed by the authorised authority mentioning the terms of sanction of term loan.
A Bank’s acknowledgement assuring, they will not absolve any primary or collateral security without the venture capitalist acknowledgement.
Running a food truck business is a great opportunity for businessmen if they are passionate about serving the best food.In contrast to opening a restaurant, there is no need to buy or rent expensive spaces so you get to start with a small investment.Some food truck owners prefer to park their vehicles in apartment buildings, private areas, schools or company offices.
There are also a couple of food streets in large cities where you can start.Indeed, given that the threat of COVID-19 follows us everywhere, a food truck is a safer option.People can wait for food in their car's security or can queue, keeping social distance.The benefit of mobility in a food truck allows owners to access several locations.The outbreak has changed the food truck industry:vehicles no longer operate in the streets, but have changed their business strategy.
Clients hire food trucks for special events such as business meetings, weddings or shoots for films.Some also carry ads and banners for various brands, providing a different source of revenue for the owner.SETTING UP OF FOOD TRUCK Initially you should have a business plan that outlines the program for growth in future.
A description of the product : List the food offer or, specifically, provide the details of the menu.Starting a restaurant truck business will require an investment in - Truck for the businessInsurance Promotion Interior decorationIngredients for cookingDisposable itemsSystems for the process of cookingPOS software systemUniform for all staffsCertification of food safetyThere are also recurring expenses such as - Staff payrollFuelProper permits and licenses In India, the average start-up cost of a food truck business would range between 15 lakhs and 25 lakhs.It depends on what you're going to sell and the type of vehicle.To start a restaurant truck business, follow these steps - PROPER RESEARCH - You need to look up your city's food truck scene for the following Preference of taste by peopleWhat they want to eat on the run.Existing enterprises and their USPs.DemographicsPremises to sell food.Crowded offices where to find potential customers.Inquiry for the type of product you wish to sell.OPT FOR AN EXCLUSIVE DESIGN - Choose a concept that blends your unique style sensitivity with the interests of your target clients.You are required to choose a name and logo that represents your company.
The name of the company , logo , and concept should be exclusive , memorable and give a clear idea about what you are planning to deliver.An interesting concept and a well-conceived logo can encourage a passerby to become a customer.PICK THE RIGHT TRUCK - The vehicle is expected to be at least 18 feet in length, and a new one may cost between 7-8 lakhs INR.Food trucks are of various sizes and are personalised.The cost of the decor may range from Rs 1 lakh to Rs 5 lakhs.
If you want to save expenses, you can buy a used one that will be about half the price of a new one.LICENSES - Food License : FSSAI is the relevant governmental body which issues licences for all types of food enterprises.
In the 2021-2022 union budget , the government allotted Rs 830 crore for the fund of funds for startups , higher than the revised estimate amount of Rs 430 crore.
The government had established a Fund of Funds for Startups ( FFS) , the corpus being 10,000 crores.
The operating agency for the FFS is the Small Industries Development Bank ( SIDBI).
Initially the allotment for the fund of funds in 2021-2022 budget was Rs 1,054.97 and later it was revised to 429.99 crore.
The allotment for the Startup India programme has been increased marginally to 20.83 crore for 2021-2022 from the Rs 20 crore revised estimate in 2020-2021.
Focusing on the growth of promising entrepreneurs , the Startup India initiative is directed at nurturing and promoting innovation by creating an environment that is productive for them.
Some of the country's most well-known tech companies are launching a slew of programmes to assist workers and their families in dealing with medical emergencies .
During the second phase of the pandemic, there was financial upheaval due to untimely deaths and the need for Covid-19 vaccine.Although Paytm's founder Vijay Shekhar Sharma has stated that the online payments company will keep paying salaries to the families of deceased employees for the remainder of the fiscal year, Zomato, a food delivery service, said it will pay the family 100% of the deceased employee's earnings for the next two years.Employee support funds have been developed by both the home and personal services marketplace Urban Company and the ed tech giant Byju's.Byju's has arranged a Rs 20-crore CEO's fund for its 10,000+ employees to cover Covid-19-related health expenses, in an email sent to employees a week ago by founder Byju Raveendran.Vaccination campaigns are a major priority for a number of other businesses.Unacademy, an edtech startup, has established a $1 million Covid fund to provide funding and free vaccination to its employees and educators.Startups primarily adopted measures to ensure a smooth transition to working from home during the first phase of the pandemic in 2020, and provided psychological help.However, the second wave's ferocity and increased casualties prompted a flurry of interventions in April.along with Covid-19 emergency and insurance helpdesks, medical supply delivery, and job intensity reduction to prevent burnout.As more people become infected in clusters on a regular basis, more people are experiencing acute stress, grief, emotional duress, and burnout.
Many workers are taking on the role of caregivers for their friends and families.
Cred, a credit card repayment network, based its efforts last year on infrastructure support and infrastructure for remote workers.
Cred launched a policy in April that allows staff to request up to six months' pay in advance for medical emergencies.Visit : https://gspustartup.com/blog/startups-stand-up-to-be-counted-in-the-face-of-adversity/
Thursday's market regulator eased startup access to the Indian market as it shifted towards a potential exodus from local businesses to foreign financial markets.
SEBI has approved a number of changes to the rules for listing on the Innovators growth platform , including the two-year reduction at a time when early-stage investors are required to hold 25% of the pre-issue capital, and enabling IPO bound startups to allocate up to sixty percent of the size of the issue to any eligible investor with an approximately 30-day lockin on these shares.Right now, start-ups are not allowed to make discretionary allocations.The regulator has also lowered the threshold for triggering open bids from 25% to 49% of start-ups, except when there is a change in the management control over the target corporation.
The delisting will be considered a success if the acquiring or promoting shareholder,as well as the shares deposited and accepted, reaches 75% of the total issued shares of this category , and a minimum of 50 percent of the public share ownership is available and accepted.
Moreover, the reverse book building mechanism will not be applicable to start-ups looking to become private.In order to calculate the price of the offer, the floor price will be determined in terms of take-over regulations, in addition to the delisting price as warranted by the purchaser or promoter.
SEBI has also agreed to relax the rules for companies wishing to migrate to the main board of directors from the Innovation Growth Platform.Start-ups wishing to be listed on the main board are now able to do so , through the allocation of 50% of the capital to skilled institutional purchases.
This SEBI move intends to encourage successful Indian startups to enter domestic markets rather than foreign offices.
From the scrutinisation of the Budget for 2021-22, by the Department for Promotion of Industry and Internal Trade we can conclude that the Budget can provide beneficials for STARTUPS which will be effective from 01 April 2021.
Recently there are startups emerging in Tier II and III cities of India.The anytime conversion of a one-person company (OPC) into a public/private company is the foremost advantage.We can save 2 years of waiting period.Removal of the present limitation of paid-up share capital of ₹50 lakh and an average annual turnover of ₹2 crore, imposed on OPCs will flourish OPCs.Allowing NRIs also, to be a part of OPCs in India is advantageous.The reduction of residency period from 182 days to 120 days will also welcome numerous overseas Indians to explore trade opportunities in India.Introduction of Credit Guarantee Fund under CGSS to provide the portfolio a promise to provide an incentive to financial intermediaries to lend to startups.
This will act as a funding source for the startups, further inviting more ideas & entrepreneurship trades.Currently,startups builded between April 1, 2016 and April 1, 2021 are only eligible for tax exemptions under section 80-IAC of the IT Act provided to the profits earned by startups for 3 years out of 10 years.Now it is also applicable for startups builded till March 31, 2022.Introduction of SEED fund :On the basis of phase-by -phase(like development of a prototype, product testing, building a product ready for market launch, etc.
) installments, upto ₹20 Lakhs will be granted for Proof of Concept, or prototype development, or product trials.For market entry, commercialization, scaling up through convertible debentures or debt or debt-linked instruments ;upto Rs.
50 Lakhs will be granted.visit : https://gspustartup.com/blog/budget-2021-22-beneficials-for-startups/
The pandemic year has made startups undergo remarkable challenges.
According to a NASSCOM report, the funds dried up and nearly 40% startups ceased to operate in May 2020.
Now in the Union Budget 2021, startups are looking for relief and policy changes which will bring a hike in their working capital, retain top talent, and make it easier for the inflow of rupee capital into this sector effortlessly.
Now take a look at the budget expectations of India’s startup industry ESOP Taxation : In the previous budget the government had reduced the tax burden on employees by holding off tax on employee stock ownership plan ( ESOP) by five years , or when they choose to leave the company or while selling their stocks , it is approximated that just 400 startups have been cleared to reap benefits from this regulation so far.
Now startups are requesting a broadening of range for tax exemptions and suggest that the government impart this benefit for all 40,000 startups registered with the Department for Promotion of Industry and Internal Trade.
IMB Certification removal : Startups seeking income tax exemptions under Section 56 / Angel Tax provisions require an evaluation from an Inter - Ministerial Board set up by the DPIIT but this has been taking a long time.
Wondering how to craft a successful idea for your Startup?Let's check how to do so:Search for troubles:Search for troubles around you.Small or Big, just note them and prepare a checklist of those troubles.This will be the successful start for your Startup idea.Match your passion & interest with that checklist of troubles:It's more of interest than the business tactics to make your venture successful.So match your passion & interest with the checklist of troubles and pick the most appropriate and needed one.Build a practical and victorious solution:If you already have a solution for a problem then go ahead with it.Or else have e research,grab more findings and output a victorious solution.How to build such an idea?Analyse the Product/Service : Analyse the product you are offering to the public.Be careful to make your product unique from other similar ones.This can only make your product victorious.Is your product market demandable?
: The important part is after all the developments if your product is not market demandable,then the effort will be a failure.Are you satisfied with your invention?
: The initiation will be very instant and active,but many individuals drop the idea after half way.This is due to lack of interest & passion.To avoid such a tragedy it is always better to move forward only if you are satisfied with your invention.Evaluate how your Solution works in the industry:After building the solution or product its time to analyse how it works in the industry.How this analysis can be made?Market Study:Market study helps you to analyse whether your product or service in the market is new and unique.Craft a brief layout of your product.Surf for similar products if any,compare with their features and check whether any similarities.Monitor client suggestions to improve your output.Audience Interaction:Audience interaction can let you know the customer response of your solution.Check through online websitesConduct online surveys.Utilise social media & social circle.Produce a MVP:MVP(Minimum Viable Product) is a basic version of your solution,to let us know whether it is market and audience demandable.MVP is different from Prototype.Prototype is just a draft of your idea whereas,MVP is the actual product used by the audience.Visit : https://gspustartup.com/blog/how-to-craft-your-startup-idea/
Now they have their own checklist to assess their potential investors.
A recent report by Innoven Capital shows that the ability of an investor to track with more funding was the number one priority for the founders.
This appeared to be a more important requirement than the conditions set by the investor in place of the money offered.
The pandemic caused several startups to abruptly shut down for months and the liquidity left in their banks suddenly started to shrink.
Thus, the founders want to know that the investors on their capitalization table are prepared to pay more money in the event of a crisis.
This year, the capacity to monitor funding has increased and the reason was COVID-19.
For the next 4 years starting from 2020-2021 Startup India Seed Fund Scheme (SISFS) has been approved.Implementing from 1st April 2021 ,Rs.
945 Crore corpus will be divided over the next 4 years for providing seed funding to eligible startups aiming to provide financial assistance to startups as proof of concept, prototype development, product trials, market entry and commercialization.The scheme is expected to support about 3600 startups.Numerous proposals made under Atmanirbhar Bharat Package are supportive for many Startups.Those proposals are: RBI(RESERVE BANK OF INDIA) PAYMENT SCHEDULE for Term Loans and Working Capital FacilitiesAll co-operative banks, all commercial banks (including regional rural banks, small finance banks and local area banks) & all-India Financial Institutions, and NBFCs (including housing finance companies) (“lending institutions”)was permitted to grant a moratorium of three months on payment of all instalments falling due between March 1, 2020 and May 31, 2020 in respect of all term loans (including agricultural term loans, retail and crop loans).All lending institutions were permitted to extend the moratorium by another three months i.e.
from June 1, 2020 to August 31, 2020 for payment of all instalments in respect of term loans in consideration with the of the extension of lockdown and continuing disruption on account of COVID-19.Lending institutions were permitted to defer the recovery of interest applied in respect of all such facilities during the period from March 1, 2020 up to May 31, 2020 in respect of working capital facilities sanctioned in the form of cash credit/overdraft .Furthermore extension for this was granted until 31st August 2020.Kamath Committee: Under the chairmanship of Shri K.V.
Kamath an expert committee formed by the Reserve Bank of India (RBI) to prepare suggestions & solutions on the required financial parameters to be factored in the resolution plans under the ‘Resolution Framework for Covid19-related Stress’ along with sector specific benchmark ranges for such parameters.
With their recommendations RBI has specified five specific financial ratios and the sector-specific thresholds for each ratio in respect of 26 sectors to be taken into account while finalising the resolution plans.
Easing of Working Capital Financing The lending institutions may recalculate the ‘drawing power’ by reducing the margins and/or by reassessing the working capital cycle in concern of the borrowers facing stress on account of the economic fallout of the pandemic,for their sanctioned working capital facilities.With respect to the economic fallout from COVID-19 further accounts will be provided relief under these instructions with subject to authorised analysis.Parameters for Businesses & MSME’s Rs 50,000 crore Equity infusion for MSMEs through Fund of Funds.Rs 3 lakh crore Emergency Working Capital Facility for Businesses, including MSMEs.Rs 20,000 crore Subordinate Debt for Stressed MSMEs.New definition of MSME: The financial structures are reshaped for Micro manufacturing and services unit as Rs.
Their main focus is on capitalizing upon a discerned market demand by developing a suitable product, service, or platform.
It’s the founding members of the team that provide funds during early stages.STARTUPS ARE COMPANIES AT INITIAL STAGESStartups are new companies who are at the early stages of branding, hiring as well as sales.
In this space, the employees have to do different jobs without potential outcomes and no proper planning compared to big and successful companies.
One might encounter a bunch of what if’s when the startup is new, and GSPU startup provides assistance and help in all stages.
STARTUPS ARE FOCUSED ON GROWTH Everyone can equally agree on the fact that startups are indeed growth focused.
Unlike small businesses where they don’t have to pursue for big capitals, a startup cannot stay the same.
Some of the country's most well-known tech companies are launching a slew of programmes to assist workers and their families in dealing with medical emergencies .
During the second phase of the pandemic, there was financial upheaval due to untimely deaths and the need for Covid-19 vaccine.Although Paytm's founder Vijay Shekhar Sharma has stated that the online payments company will keep paying salaries to the families of deceased employees for the remainder of the fiscal year, Zomato, a food delivery service, said it will pay the family 100% of the deceased employee's earnings for the next two years.Employee support funds have been developed by both the home and personal services marketplace Urban Company and the ed tech giant Byju's.Byju's has arranged a Rs 20-crore CEO's fund for its 10,000+ employees to cover Covid-19-related health expenses, in an email sent to employees a week ago by founder Byju Raveendran.Vaccination campaigns are a major priority for a number of other businesses.Unacademy, an edtech startup, has established a $1 million Covid fund to provide funding and free vaccination to its employees and educators.Startups primarily adopted measures to ensure a smooth transition to working from home during the first phase of the pandemic in 2020, and provided psychological help.However, the second wave's ferocity and increased casualties prompted a flurry of interventions in April.along with Covid-19 emergency and insurance helpdesks, medical supply delivery, and job intensity reduction to prevent burnout.As more people become infected in clusters on a regular basis, more people are experiencing acute stress, grief, emotional duress, and burnout.
Many workers are taking on the role of caregivers for their friends and families.
Cred, a credit card repayment network, based its efforts last year on infrastructure support and infrastructure for remote workers.
Cred launched a policy in April that allows staff to request up to six months' pay in advance for medical emergencies.Visit : https://gspustartup.com/blog/startups-stand-up-to-be-counted-in-the-face-of-adversity/
A private body to provide funding for a start-up venture or budding business to overcome their financial needs and financial shortages for their operations,i.e, a funding body for budding/developing firms is known as VENTURE CAPITALIST.Budding startups with latest and innovative ideas are being assisted by Venture Capitalists at their initial stages in exchange of equity & possession stake.Sprouting startups with risky operations are the eligible ones for this seed funding.Who all are Venture capitalists : rich depositors, investment banks and any other monetary organisations.Why are Venture capitalists needed?The capitalist providing money will in return acquire an equity position.This equity financing mainly happens where the business is not established and which can’t access business loans from financial bodies due to shortage of cash incomes,deficit of security e.t.cThe Controlling Authority:The Venture capitalists will have an active participation in the business operations and thus a controlling power in such firms.In case of selling of shares or any such cases due to the well organised investment structure,the Venture Investors are eligible for rewards.There will be an individual who will be the board member and take part in all the key decision making and administrational & managerial operations and even funding & financing.Usually the managerial layout will be as a partnership firm,where each individual will have the responsibility and authority according to the equity share and receive the profit according to the equity share.Do you need VENTURE CAPITALIST assistance?Let's check the documents.Details of unsecured loan,if any raised by the company.Moa, Aoa,Incorporation Certificate.Letter proving no past Venture Capitals have been utilised.Investor rights agreement,Voting agreement e.t.c.
Prior Bank’s Inspection Report.Updated Term Loan account statements & Cash Credit account statements.Bank’s acknowledgement assuring that they will not absolve any primary or collateral security without the venture capitalist acknowledgement.How to APPLY?To register and request for a venture funding the primary procedures are: Idea Generation & proposal preparation of the Business: The initial step is to submit your idea with a well prepared proposal including:Executive Business SummaryRequirements for the management of the company.The financial and investment calculations.Current and future situations.The market trends and scenarios and value of the idea in the market.Detailed analysis & decision making whether to provide funding, or not.
Initial Meeting: After proposal submission, if the Investor is interested in the project and is ready to fund,then they conduct an initial meeting to discuss the project in detail.After this meeting the final decision to proceed or not will be made.
Deep Research-Due Diligence Varying from business categories and business natures, due diligence fluctuates.The procedure is done after a series of client communications,operational questionnaire and analysis of goods & services methodologies.
Terms and conditions-Funding If the due diligence is satisfactory then, the investor submits a letter “ term sheet” mentioning the terms and conditions of the investment.These should be acceptable and approved by both the parties,and after the legal procedures and due diligence the fund will be released.
Thursday's market regulator eased startup access to the Indian market as it shifted towards a potential exodus from local businesses to foreign financial markets.
SEBI has approved a number of changes to the rules for listing on the Innovators growth platform , including the two-year reduction at a time when early-stage investors are required to hold 25% of the pre-issue capital, and enabling IPO bound startups to allocate up to sixty percent of the size of the issue to any eligible investor with an approximately 30-day lockin on these shares.Right now, start-ups are not allowed to make discretionary allocations.The regulator has also lowered the threshold for triggering open bids from 25% to 49% of start-ups, except when there is a change in the management control over the target corporation.
The delisting will be considered a success if the acquiring or promoting shareholder,as well as the shares deposited and accepted, reaches 75% of the total issued shares of this category , and a minimum of 50 percent of the public share ownership is available and accepted.
Moreover, the reverse book building mechanism will not be applicable to start-ups looking to become private.In order to calculate the price of the offer, the floor price will be determined in terms of take-over regulations, in addition to the delisting price as warranted by the purchaser or promoter.
SEBI has also agreed to relax the rules for companies wishing to migrate to the main board of directors from the Innovation Growth Platform.Start-ups wishing to be listed on the main board are now able to do so , through the allocation of 50% of the capital to skilled institutional purchases.
This SEBI move intends to encourage successful Indian startups to enter domestic markets rather than foreign offices.
Prime Minister Narendra Modi on February 26 insisted on raising corporate credit to meet the needs of a deficit economy.
He also stated that financial products will need to be adapted to fintechs and startups.
Despite the government's efforts to promote the private sector, the public sector still needs its presence in banks and insurance to support the poor.
The prime minister promised to help many small businesses during the pandemic where a credit of Rs 2.4 trillion was granted to ninety lakh MSMEs.
As our economy grows and grows rapidly, so too has the credit flow become just as important.We must look at how credit reaches new sectors, new entrepreneurs.Now, we are going to have to focus on creating new and better financial products for startups and fintech.Declaring that Kisan Credit has assisted small-scale farmers and ranchers in taking over informal credit,the prime minister said the private sector will now need to think about innovative financial products for this part of society.
He believes that the government has a clear vision of the financial services sector and is taking steps to make it dynamic, proactive and strong.The experience, trust and transparency of individual depositors and investors is the government's top priority.
From the scrutinisation of the Budget for 2021-22, by the Department for Promotion of Industry and Internal Trade we can conclude that the Budget can provide beneficials for STARTUPS which will be effective from 01 April 2021.
Recently there are startups emerging in Tier II and III cities of India.The anytime conversion of a one-person company (OPC) into a public/private company is the foremost advantage.We can save 2 years of waiting period.Removal of the present limitation of paid-up share capital of ₹50 lakh and an average annual turnover of ₹2 crore, imposed on OPCs will flourish OPCs.Allowing NRIs also, to be a part of OPCs in India is advantageous.The reduction of residency period from 182 days to 120 days will also welcome numerous overseas Indians to explore trade opportunities in India.Introduction of Credit Guarantee Fund under CGSS to provide the portfolio a promise to provide an incentive to financial intermediaries to lend to startups.
This will act as a funding source for the startups, further inviting more ideas & entrepreneurship trades.Currently,startups builded between April 1, 2016 and April 1, 2021 are only eligible for tax exemptions under section 80-IAC of the IT Act provided to the profits earned by startups for 3 years out of 10 years.Now it is also applicable for startups builded till March 31, 2022.Introduction of SEED fund :On the basis of phase-by -phase(like development of a prototype, product testing, building a product ready for market launch, etc.
) installments, upto ₹20 Lakhs will be granted for Proof of Concept, or prototype development, or product trials.For market entry, commercialization, scaling up through convertible debentures or debt or debt-linked instruments ;upto Rs.
50 Lakhs will be granted.visit : https://gspustartup.com/blog/budget-2021-22-beneficials-for-startups/
According to the Trademark Act 1999,the validity of Trademark is 10 years,after which it has to be renewed with renewal charges if the applicant wants to extend the validation.The period of validity (10 years) may vary according to the state.Renewal After the validity of trademark,if the applicant needs to extend the trademark he/she should renew the application.The renewal request should be submitted before 6 months of the end of validity.There will be a notification from the registrar of trademarks reminding you to renew.The notification letter will specify the conditions of the termination & charges for renewal.If the renewal is not done then the trademark will be removed from the official Trademark Register, called Trademark Journal.Fro renewal,a TM-R should be filed.An authorised agent/body can do this without the applicant to be involved.There are two opportunities for renewal: Application for renewal without any changesApplication for renewal with changes and alteration to any sign or words in the existing trademark.
The renewal application for a trademark is made in the TM-12 form.
Even though the applicant itself can do the procedure it is advised to consult an expert for the process.Once the application is approved the trademark will be published again & will be noted in the official Trademark Journal.This will provide the owner further trademark rights for the regional validity time to his/her intellectual property.ProceduresRenewal can be an online procedure(e-filing) or an offline procedure (in-person).
Trademarks can be renewed or restored.Renewal charges:MSME and individual startups - Rs 5000 ( offline / in-person ) - Rs 4500 ( online / e-filing )Under section 25 for each class - Rs 10,000 ( offline / in-person ) -Rs 9000 ( online / e-filing )Most people prefer online filing due to : Quick and faster renewal than in-personConvenient filing with easy stepsRegular online tracking of your trademark status Missed out DeadlineEven Though you missed out to file before the deadline,you will have an option to apply after 6 months of expiry adding up a late filing fee.The period of validity can be extended by paying extra charge.This will vary according to your consultant.So its important to approach the right expert for the process.
The pandemic year has made startups undergo remarkable challenges.
According to a NASSCOM report, the funds dried up and nearly 40% startups ceased to operate in May 2020.
Now in the Union Budget 2021, startups are looking for relief and policy changes which will bring a hike in their working capital, retain top talent, and make it easier for the inflow of rupee capital into this sector effortlessly.
Now take a look at the budget expectations of India’s startup industry ESOP Taxation : In the previous budget the government had reduced the tax burden on employees by holding off tax on employee stock ownership plan ( ESOP) by five years , or when they choose to leave the company or while selling their stocks , it is approximated that just 400 startups have been cleared to reap benefits from this regulation so far.
Now startups are requesting a broadening of range for tax exemptions and suggest that the government impart this benefit for all 40,000 startups registered with the Department for Promotion of Industry and Internal Trade.
IMB Certification removal : Startups seeking income tax exemptions under Section 56 / Angel Tax provisions require an evaluation from an Inter - Ministerial Board set up by the DPIIT but this has been taking a long time.
The Initial procedure of your Startup is Depicting your idea as a Business Proposal.This proposal may contain all the prime factors of your venture like business goals & policies,Target time for the goal,marketing schemes,Profit & Loss calculations, Capital, etc.Some Business Proposals may also include in detail about:Business Summary including prime factors.Business Outline including Legal Outline,Business nature & purpose,Business location,e.t.cFinancial framework.Operational Structure and the Product & Service details.Details of the management wing.Market analysis and scrutinisation of the market competition.Ultimate output and gains.Need a striking start?A venture can have a striking start with a striking name.Its a prime priority.What all should we consider while drafting such a name?Choose a name suiting your business.Consider the keywords and avoid long names.Choose an easier and understandable one with a meaningful psychology.Initially building a startup idea & startup venture is a very complex task.But not only this idea building matters.The individuals who are there to support you and your venture should also be keenly choosed.How to Fix your Great Co-Founder?The prime factor is that such a person should have an opposite skill set compared to you.This will give best outputs in different sectors as you both can yield a combined effort.If your Co-founder and you are efficient enough in different sectors then count of staffs can be reduced and thus the expenses will be less.Factors to be considered for choosing a Co-Founder is:Talent:The individual’s talent is a prime factor.If it is complementary to yours then it is more beneficial to reduce the staff count.Character:The Co-founder’s character should match and work out well with yours.Owning & managing a business is a hectic job including ups and downs.So it is important to have a smooth and supporting relationship with your co-founder.Faith & confidence:For a successful end you both must have a strong relationship built with faith & confidence.
Morality:Morality is an important factor,which you and your partner should maintain.Without moral values great losses can occur to each other. How to find your Co-Founder?After analysing the required characteristics of a partner/co-founder,you will be doubtful about how to choose them.Let us see how can we find it:Figure out from your contact circle.Search for co-founders at commonly conducted events , summits or groups as you do for investors .Especially Startup India Hub is a right platform.Social Media Platforms,websites e.t.c also can help you out for finding an appropriate individual.What about having your friends as your Co-founder?It's an exciting matter to have your friend as your co-founder.But there are some hidden risks in it.Initially you believe that you can understand your partner very well and work smoothly.But when the work proceeds,complex situations encounter and there may arise conflicts.You may then rethink your decision.Discussions with your friend may turn into a friendly conversation.This may lead to considering situations lightly,even money or business matters may be taken lightly and yield drastic losses.After Co-founder?Build your wings!!
!Success lies in each and every individual putting effort for the purpose.So its a keen procedure to build your wing.How to perform this complex procedure of building your wing?Let’s check:Analyse yourself:It's better to analyse yourself before moving to build a perfect wing of individuals.Self analysis can reveal your strengths & weaknesses and help you to build your wing accordingly.
Sketch out the Required Roles:Apart from the individual and their skills,it is important to know that the role is required or not.Interns are a perfect recommendation.Accept a Startup culture:Accepting a Startup culture is a required factor.
As startups in India face shortage of money or limited amount of income it is obvious that payments may not be prompt and will be delayed.Hiring skilled candidates with low remuneration is a vibrant task.Recruiting and staffing:From a wide range of candidates it is important to draw a hiring strategy and maintain the recruitment and staffing procedure stably.Visit : https://gspustartup.com/blog/how-to-initiate-and-build-your-startup-wing/
Wondering how to craft a successful idea for your Startup?Let's check how to do so:Search for troubles:Search for troubles around you.Small or Big, just note them and prepare a checklist of those troubles.This will be the successful start for your Startup idea.Match your passion & interest with that checklist of troubles:It's more of interest than the business tactics to make your venture successful.So match your passion & interest with the checklist of troubles and pick the most appropriate and needed one.Build a practical and victorious solution:If you already have a solution for a problem then go ahead with it.Or else have e research,grab more findings and output a victorious solution.How to build such an idea?Analyse the Product/Service : Analyse the product you are offering to the public.Be careful to make your product unique from other similar ones.This can only make your product victorious.Is your product market demandable?
: The important part is after all the developments if your product is not market demandable,then the effort will be a failure.Are you satisfied with your invention?
: The initiation will be very instant and active,but many individuals drop the idea after half way.This is due to lack of interest & passion.To avoid such a tragedy it is always better to move forward only if you are satisfied with your invention.Evaluate how your Solution works in the industry:After building the solution or product its time to analyse how it works in the industry.How this analysis can be made?Market Study:Market study helps you to analyse whether your product or service in the market is new and unique.Craft a brief layout of your product.Surf for similar products if any,compare with their features and check whether any similarities.Monitor client suggestions to improve your output.Audience Interaction:Audience interaction can let you know the customer response of your solution.Check through online websitesConduct online surveys.Utilise social media & social circle.Produce a MVP:MVP(Minimum Viable Product) is a basic version of your solution,to let us know whether it is market and audience demandable.MVP is different from Prototype.Prototype is just a draft of your idea whereas,MVP is the actual product used by the audience.Visit : https://gspustartup.com/blog/how-to-craft-your-startup-idea/
A funding body for budding/developing firms is known as VENTURE CAPITALIST.How can we build such a fund in India?Let’s check: Ensure the eligibility benchmarks:The initial step is to apply for the venture capital fund.The SEBI board checks all the norms and ensures whether the eligibility benchmarks are achieved t0 permit the “Venture Capital Fund”.The considering eligibility benchmarks are: For TRUST: should be registered properly under the registration Act provisions.For LLP:should be registered properly under the Limited Liability Partnership Act 2008.
For BODY CORPORATE: The VCF activities are handled by the Memorandum of company.Apply to SEBI Submit your application to SEBI through appropriately filled, numbered, duly signed and stamped Form A, along with the required documents.An application fees of Rs.1 lakh should be submitted through bank draft.Online application are also acceptable under the specified rules.
Application status Review If the board approves the application,then the approval will be informed to the applicant.Compliance for applicant/sponsor/managerThere should not be any offence charged against the Director or any prime individual for moral turpitude or they must not be part of any lawsuit connected with the share bazaar which will affect the business.VFC should be efficient and effective to handle the operations.A clear report of the investing purpose,aimed investors,proposed body,investment structure,and details of fund return should be submitted at the registration time.The individuals under the Schedule II of SEBI Regulations are only acceptable.Registration fee payment:After the SEBI approval,an amount of Rs 10 lakh must be released as mentioned in Part A of the Second Schedule as per mentioned in the Part B in considering the Securities and Exchange Board of India.
Issuing Registration Certificate:After the payment the SEBI will issue the certificate as ‘Venture Capital Fund’ in Form B.
Compliance filing:After registration, monitor the SEBI website regularly,to know the instant VCF updates.If any material change occurs,inform the SEBI instantly.VENTURE SCHEME for FARMERSVenture Scheme for farmers is an interest free loan from SFAC (Small Farmers’ Agri-Business Consortium - society for farming, collaboration and farmers welfare, ministry of farming ).Government of India are already facing many financial shortages so venture scheme will be a relaxation.The need for Venture Scheme in Agriculture is that:To financially support agripreneurs to make reserves in setting agroindustry ideas.Set up interest free credit to the start-up.Eligible Applicants for Venture CapitalCompany/ AgripreneursPartnership or proprietary firmsFarmersUnits in agri-export regionsSelf-help groupsProducer assembliesRequired Documents: Request a letter to the Chief management of SFAC(Small Farmer’s Agri-Business Consortium )by the promoter.Authority approved sanction note,addressed to specific departments.An agreement supporting farmer’s list/backward linkage.A bank's permission note signed by the authorised authority mentioning the terms of sanction of term loan.
A Bank’s acknowledgement assuring, they will not absolve any primary or collateral security without the venture capitalist acknowledgement.
Now they have their own checklist to assess their potential investors.
A recent report by Innoven Capital shows that the ability of an investor to track with more funding was the number one priority for the founders.
This appeared to be a more important requirement than the conditions set by the investor in place of the money offered.
The pandemic caused several startups to abruptly shut down for months and the liquidity left in their banks suddenly started to shrink.
Thus, the founders want to know that the investors on their capitalization table are prepared to pay more money in the event of a crisis.
This year, the capacity to monitor funding has increased and the reason was COVID-19.
Running a food truck business is a great opportunity for businessmen if they are passionate about serving the best food.In contrast to opening a restaurant, there is no need to buy or rent expensive spaces so you get to start with a small investment.Some food truck owners prefer to park their vehicles in apartment buildings, private areas, schools or company offices.
There are also a couple of food streets in large cities where you can start.Indeed, given that the threat of COVID-19 follows us everywhere, a food truck is a safer option.People can wait for food in their car's security or can queue, keeping social distance.The benefit of mobility in a food truck allows owners to access several locations.The outbreak has changed the food truck industry:vehicles no longer operate in the streets, but have changed their business strategy.
Clients hire food trucks for special events such as business meetings, weddings or shoots for films.Some also carry ads and banners for various brands, providing a different source of revenue for the owner.SETTING UP OF FOOD TRUCK Initially you should have a business plan that outlines the program for growth in future.
A description of the product : List the food offer or, specifically, provide the details of the menu.Starting a restaurant truck business will require an investment in - Truck for the businessInsurance Promotion Interior decorationIngredients for cookingDisposable itemsSystems for the process of cookingPOS software systemUniform for all staffsCertification of food safetyThere are also recurring expenses such as - Staff payrollFuelProper permits and licenses In India, the average start-up cost of a food truck business would range between 15 lakhs and 25 lakhs.It depends on what you're going to sell and the type of vehicle.To start a restaurant truck business, follow these steps - PROPER RESEARCH - You need to look up your city's food truck scene for the following Preference of taste by peopleWhat they want to eat on the run.Existing enterprises and their USPs.DemographicsPremises to sell food.Crowded offices where to find potential customers.Inquiry for the type of product you wish to sell.OPT FOR AN EXCLUSIVE DESIGN - Choose a concept that blends your unique style sensitivity with the interests of your target clients.You are required to choose a name and logo that represents your company.
The name of the company , logo , and concept should be exclusive , memorable and give a clear idea about what you are planning to deliver.An interesting concept and a well-conceived logo can encourage a passerby to become a customer.PICK THE RIGHT TRUCK - The vehicle is expected to be at least 18 feet in length, and a new one may cost between 7-8 lakhs INR.Food trucks are of various sizes and are personalised.The cost of the decor may range from Rs 1 lakh to Rs 5 lakhs.
If you want to save expenses, you can buy a used one that will be about half the price of a new one.LICENSES - Food License : FSSAI is the relevant governmental body which issues licences for all types of food enterprises.
For the next 4 years starting from 2020-2021 Startup India Seed Fund Scheme (SISFS) has been approved.Implementing from 1st April 2021 ,Rs.
945 Crore corpus will be divided over the next 4 years for providing seed funding to eligible startups aiming to provide financial assistance to startups as proof of concept, prototype development, product trials, market entry and commercialization.The scheme is expected to support about 3600 startups.Numerous proposals made under Atmanirbhar Bharat Package are supportive for many Startups.Those proposals are: RBI(RESERVE BANK OF INDIA) PAYMENT SCHEDULE for Term Loans and Working Capital FacilitiesAll co-operative banks, all commercial banks (including regional rural banks, small finance banks and local area banks) & all-India Financial Institutions, and NBFCs (including housing finance companies) (“lending institutions”)was permitted to grant a moratorium of three months on payment of all instalments falling due between March 1, 2020 and May 31, 2020 in respect of all term loans (including agricultural term loans, retail and crop loans).All lending institutions were permitted to extend the moratorium by another three months i.e.
from June 1, 2020 to August 31, 2020 for payment of all instalments in respect of term loans in consideration with the of the extension of lockdown and continuing disruption on account of COVID-19.Lending institutions were permitted to defer the recovery of interest applied in respect of all such facilities during the period from March 1, 2020 up to May 31, 2020 in respect of working capital facilities sanctioned in the form of cash credit/overdraft .Furthermore extension for this was granted until 31st August 2020.Kamath Committee: Under the chairmanship of Shri K.V.
Kamath an expert committee formed by the Reserve Bank of India (RBI) to prepare suggestions & solutions on the required financial parameters to be factored in the resolution plans under the ‘Resolution Framework for Covid19-related Stress’ along with sector specific benchmark ranges for such parameters.
With their recommendations RBI has specified five specific financial ratios and the sector-specific thresholds for each ratio in respect of 26 sectors to be taken into account while finalising the resolution plans.
Easing of Working Capital Financing The lending institutions may recalculate the ‘drawing power’ by reducing the margins and/or by reassessing the working capital cycle in concern of the borrowers facing stress on account of the economic fallout of the pandemic,for their sanctioned working capital facilities.With respect to the economic fallout from COVID-19 further accounts will be provided relief under these instructions with subject to authorised analysis.Parameters for Businesses & MSME’s Rs 50,000 crore Equity infusion for MSMEs through Fund of Funds.Rs 3 lakh crore Emergency Working Capital Facility for Businesses, including MSMEs.Rs 20,000 crore Subordinate Debt for Stressed MSMEs.New definition of MSME: The financial structures are reshaped for Micro manufacturing and services unit as Rs.
In the 2021-2022 union budget , the government allotted Rs 830 crore for the fund of funds for startups , higher than the revised estimate amount of Rs 430 crore.
The government had established a Fund of Funds for Startups ( FFS) , the corpus being 10,000 crores.
The operating agency for the FFS is the Small Industries Development Bank ( SIDBI).
Initially the allotment for the fund of funds in 2021-2022 budget was Rs 1,054.97 and later it was revised to 429.99 crore.
The allotment for the Startup India programme has been increased marginally to 20.83 crore for 2021-2022 from the Rs 20 crore revised estimate in 2020-2021.
Focusing on the growth of promising entrepreneurs , the Startup India initiative is directed at nurturing and promoting innovation by creating an environment that is productive for them.
Their main focus is on capitalizing upon a discerned market demand by developing a suitable product, service, or platform.
It’s the founding members of the team that provide funds during early stages.STARTUPS ARE COMPANIES AT INITIAL STAGESStartups are new companies who are at the early stages of branding, hiring as well as sales.
In this space, the employees have to do different jobs without potential outcomes and no proper planning compared to big and successful companies.
One might encounter a bunch of what if’s when the startup is new, and GSPU startup provides assistance and help in all stages.
STARTUPS ARE FOCUSED ON GROWTH Everyone can equally agree on the fact that startups are indeed growth focused.
Unlike small businesses where they don’t have to pursue for big capitals, a startup cannot stay the same.