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.
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.
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.
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/
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.
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.
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.
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.
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.