Shri
Ramesh Abhishek ,
Secretary
- DIPP
---------------------------------------------------------------
Dear
Shri Abhishek ,
Just
came across a news report " Centre to
launch portal for Start-ups " ( DNA , 05 March 2016 )
The
report quotes you as follows :
"
In another week's time, we are going to start the
start-up portal and the process of registration of startups also "
You
may find some relevance to my following blog of 20 Jan :
hemen
parekh
www.hemenparekh.in>Blogs
Marol
, Mumbai , India
(
M ) +91 - 98,67,55,08,08
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START UP RE-DEFINED
No doubt , you have read the definition
of a Start Up in the Start Up Action Plan document
I have tried to envisage below,
how that might look on that Mobile App for
Registration :
* Is yours a Private Ltd Co / LLP / Partnership
?........................................... Yes / No
* Is your Company
more than 5 years old
?....................................................Yes / No
* Is your Start
Up formed by splitting an existing business
?............................ Yes / No
* In last 5 yrs,
has your turnover exceeded Rs 25 Crores
?............................. Yes / No
* Is your
product/service " DIFFERENTIATED " ?............................................
Yes / No
* Is your product
/ service " COMMERCIAL " ?...............................................
Yes / No
* Is your product /
service " INNOVATIVE "
?................................................ Yes / No
* Is your product /
service driven by ,
" TECHNOLOGY
/ INTELLECTUAL PROPERTY " ?
............................................Yes / No
* Is your
product/service ,
" NEW /
SIGNIFICANTLY IMPROVED " version " ?....................
...................... Yes / No
* Does your
product/service add " VALUE " to customers
?................................ Yes / No
* Does your
product/service add " VALUE " to " WORKFLOW
" ?......................... Yes / No
* Have you got certification from Inter-Ministerial
Board ?................................ Yes / No
* Have you got recommendation from Incubator in Post Grad
Indian College ?.......Yes / No
MY
TAKE :
# Each year 12 million
persons join India's work force
# Of these , 3.5
million are Graduates
# Rest ( 8.5 million )
are 10th / 12th Standard pass or less
# No more than 1,000 persons will fulfill above
mentioned " Eligibility Criteria " for Start Up
# There
will be endless debates on the correct meaning of words in CAPITAL letters
above !
WHY
SUCH STRINGENT " ELIGIBILITY
CRITERIA " ?
# At Rs 2.5 cr loan per
Start Up, Govt Fund of Rs 2500 Cr can help only
1,000 Start Ups !
# Any relaxation in
" eligibility criteria " , may result in MILLIONs of persons queue-up
!
WHAT
IS THE IMPLICATION ?
# Funds are just
insufficient to help 12 million persons to become " Self Employed "
MY
SUGGESTION :
In India , we are talking of
getting " Unemployed " to launch " Start Ups "
Anywhere between 100 million
to 400 million " Unemployed " for whom neither Public Sector nor
Private Sector , is in any position to create jobs
We want them to become "
Self Employed " - what Shri Narendra Modi described in USA , as our "
PERSONAL SECTOR "
They are unlikely to launch
technology driven , Web-based businesses , even if their businesses require
them to have a Smart phone , on which , their customers can reach them
They aspire to become ( list
can run into 200 trades ! ) :
* Street-side
Vendors ( Vegetables / Shoes / Purses / Fruits / Trinkets )
* Craftsmen
( Plumber / Electrician / Carpenter / Repairer )
* Dhobi
/ Barber / Pan Beedi shop-owner / Tailor / Mochi
* Doodh-wala
/ Ruddi Paper-wala / Gajra-wala / Delivery Boy
* Cook
/ Maid / Courier / Tuition Teacher / Beautician / Taxi Driver
* Home-cooked
Tiffin Service / Car wash / Gardening ......
How can we help millions of
JOBLESS to set up such MICRO - BUSINESSES ?
By Government ( Central /
State / Municipal ) getting out of their way !
HOW ?
* No licenses / permits
/ approvals / conditions / criteria
* Simple online registration
on proposed Web site of DIPP for Start Ups
* No personal Income tax for individuals
* No Corporate Income
tax for Start Ups for 10 years ( no chance of profit in first 3 years )
* Amnesty Scheme for
enabling Rs 10 million*crores of BLACK MONEY to flow into such
Self Employment
It is still not too late for
our Policy Makers will think " Out of Box " and implement :
www.hemenparekh.in > Blogs > A New
Economic Order - Start Up Act - 2015
Anything less just won't make
much of a difference !
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