Government Schemes & Policies for Entrepreneurship

Development
1. Startup- India
• Startup india is a revolution scheme that has been started to help the people,who start
their own business.
• These people have ideas and capability so govt will give them support to make
sure they can implement their idea & grow.
• The campaign was first announced by Prime Minister Modi in his 15 August 2015 address
from the Red Fort.

• Success of this scheme will eventually make india, a better economy and a strong nation.
• Start-up India in an action plan to develop an ecosystem to promote and nurture
entrepreneurship across the country.
• Start-ups and entrepreneurship are critical to India’s efforts to restart private investment
into the economy.
• The Government of India to build a strong eco-system for nurturing innovation and
empowering Start-ups in the country.
 Meaning of startup india
• Meaning of startup india “from job seeker to job creator”
• The economy of a country depends on countrymen.
• Large no. of employee & woring people better be the economy.
• The india govt. realized that india people have the potential to work hardly ,all they need is
promising startup.
• So indian govt. in the leadership of Narendra Modi has decided to offer a gift as a wise programme
“startup india
 Action plan of startup india
1. Self certification:
The start-ups will adopt self-certification to reduce the regulatory liabilities. The self- certification
will apply to laws including payment of gratuity, labour contract.
2. Start-up India hub
An all-India hub will be created as a single contact point for start-up foundations in India, which
will help the entrepreneurs to exchange knowledge .

3. Register through app

An online portal, in the shape of a mobile application, will be launched to help start-up founders to
easily register. The app is scheduled to be launched on April 1.

4. Rs 10,000 crore fund

The government will develop a fund with an initial corpus of Rs 2,500 crore and a total corpus
of Rs 10,000 crore over four years, to support upcoming start-up enterprises.
 5. No Income Tax for three years
Start-ups would not pay Income Tax for three years. This policy would revolutionise the pace
with which start-ups would grow in the future

6. Building entrepreneurs
Innovation-related study plans for students in over 5 lakh schools. Besides, there will also be an annual
incubator grand challenge to develop world class incubators.
7. Atal Innovation Mission
The Atal Innovation Mission will be launched to boost innovation and encourage talented youths.

8. Entrepreneurship in biotechnology
The government will further establish five new biotech clusters, 50 new bio incubators, 150
technology transfer offices and 20 bio-connect offices in the country.
 9.Rebate
A rebate amount of 80 percent of the total value will be provided to the entrepreneurs on
filing patent applications.
10. Faster exit
If a start-up fails, the government will also assist the entrepreneurs to find suitable solutions for
their problems. If they fail again, the government will provide an easy way out.

11.Credit Guarantee Fund for Start-ups

• To catalyse entrepreneurship by providing credit to innovators across all sections of society.
12.Tax Exemption on Capital Gains
• To promote investments into Start-ups by mobilizing the capital gains arising from sale of capital
asset.
13. Research Parks
• 7 new research parks are proposed to be set up with an initial investment of Rs.100 crore each.
• These parks shall enable companies with a research focus to set up base and leverage the
expertise of academic/ research institutions.
14. Start-up fests
• Introduction of Start-up fests to bolster the Start-ups ecosystem and provide a platform to
showcase ideas and work with a larger audience.
15. Innovation centres
• These 31 centres will include 13 Start-up centres and 18 technology business incubators to be set
up/ scaled up at IIMs/ NITs/ IITs.

16. Patent protection

• The government is also working on a legal support for fast-tracking patent examination at
lower costs.
 Job Creation and Economic
Development and to give the Indian
economy global recognition
 2. Make in India
• Make in India, a type of Swadeshi movement covering 25 sectors of the economy, was launched by the Prime Minister
of India Mr. Narendra Modi on 25 September 2014 to encourage companies to manufacture their products in India
and enthuse with dedicated investments into manufacturing.
• As a strategy it is the road map to respond to glocal (global + local) challenges through preparations for a World class
manufacturing status & knowledge infrastructure that should create further knowledge for stepping on to global
competitiveness.
• Ultimate objective is to make India a renowned manufacturing hub for key sectors.
• Companies across the globe would be invited to make investment and set up factories and expand their facilities in
India
• Using India’s highly talented and skilled manpower to create world class zero defect products.
• The purpose of Make in India Campaign-
1. Job Creation
2. Economic Development
3. Global Recognition
Mission of Campaign:-“Manufacture in India and sell the products worldwide.”
Major objective
•The major objective behind this initiative is to focus upon the heavy industries and public enterprises while generating employment in India.
•To facilitate
–Investment
–Foster innovation
–Enhance skills development
–Protect intellectual property
–To built best-in-class manufacturing infrastructure
The highlights and purpose of Come, Make in India are:
•The campaign, 'Make in India' is aimed at making India a manufacturing hub and economic transformation in India while eliminating the unnecessary
laws and regulations, making bureaucratic processes easier and shorter, and make government more transparent, responsive and accountable.

• The government emphasized upon the framework which include the time-bound project clearances through a single online portal which will be further
aided by the eight- members team dedicated to answering investor queries within 48 hours and addressing key issues including labor laws, skill
development and infrastructure.
Following sectors have been included by the Government in this campaign
New Initiatives
• Process of applying for Industrial License & Industrial Entrepreneur Memorandum made online on
24×7 basis through eBiz portal.
• Validity of Industrial license extended to three years.
• Major components of Defence products’ list excluded from industrial licensing.
• Dual use items having military as well as civilian applications deregulated.
• Services of all Central Govt. Departments & Ministries will be integrated with the eBiz – a single
window IT platform for services by 31 Dec. 2014.
• Process of obtaining environmental clearances made online.
• All returns should be filed on-line through a unified form.
• A check-list of required compliances should be placed on Ministry’s/Department’s web
portal.
 FOREIGN DIRECT INVESTMENT
•100% FDI allowed in the telecom sector.
•100% FDI in single-brand retail.
•FDI in commodity exchanges, stock exchanges & depositories, power exchanges, petroleum refining by PSUs, courier services under the government
route has now been brought under the automatic route.
•Removal of restriction in tea plantation sector.
•FDI limit raised to 74% in credit information & 100% in asset reconstruction companies.
•FDI limit of 26% in defence sector raised to 49% under Government approval route. Foreign Portfolio Investment up to 24% permitted under automatic
route. FDI beyond 49% is also allowed on a case to case basis with the approval of Cabinet Committee on Security.
•Construction, operation and maintenance of specified activities of Railway sector opened to 100% foreign direct investment under automatic route.
Concusion:
• “Make In India is a Lion’s Step.”
• Make in India has come with lots of benefits and advantages for the Indian Economy. Due to this fact companies from across the globe making a huge
investment in Make in India project, and have thrived successfully, making India a hub for the manufacturing companies,
3. Atal Innovation Mission
In Union Budget 2015-16 Government of India proposed to establish the Atal Innovation Mission (AIM) in NITI Aayog and
stated that a initially a sum of Rs.150 crores would be earmarked for this purpose. The overarching purpose of the
mission is to promote a culture of entrepreneurship and innovation in India
Objectives:
● To create umbrella structure to oversee innovation eco- system of the country
● To provide platform and collaboration opportunities for different stakeholders
● To study and suggest best and novel practices to be adopted by different stakeholders in the innovation chain
● To provide policy inputs to NITI Aayog and various Government departments and organizations
● To create awareness and provide knowledge inputs in creating innovation challenges and funding mechanism to
government and
● To develop new programmes and policies for fostering innovation in different sector of economy.
 • Creating a Problem Solving Innovative mindset in
Innovation Schools/Univ/Industry / NGOs
• Stimulating ecosystem of innovation with Innovation
Labs, infrastructure, Challenges
Innovation recognition and awards

• Creating hundreds of World Class Incubatiors

Entrepreneurship
• Fostering thousands of world class startups
• Promoting hundreds of social/commercial
innovations
• Nurturing the creation of Unicorns in India
 6

Atal Tinkering Labs

Biggest potential disruption in formal education to stimulate an
innovative mindset in school students

What are Atal Tinkering Labs?

Dedicated Work spaces to

1
learn innovation skills & develop ideas
Rapid Prototyping
Electronics
Tools (3D Printers) Development
2 Hub for innovation, making &
tinkering

3 Free space to think of new

and different ideas
Equipped with tools to
4 develop innovations across Internet of Things Robotics
& Sensors
multiple sectors
 Atal Incubators
Incubate and enable successful Startups in Diverse sectors across India

Agri-Farming, precision Power and Renewable SME / Manufacturing

Agriculture energies

Rural handicrafts & AI / Automation /Blockchain / Tourism

Textiles Robotics / Big Data

Healthcare / Biotech Education

Fintech – Microfinance
Rural Insurance
 1
Establishing and promoting
a vibrant ecosystem of 2
Atal Innovation Mission Innovation and
Creating an AIM Entrepreneurship
Innovative Problem Nationwide
solving Mindset in
school students Fostering successful startups ,
Entrepreneurs & Innovations

Applied
Atal Atal
Atal Atal New Research &
Tinkering Community
Incubation India Innovation
Labs Innovation
Centres Challenges in Small
Centers
Enterprises

ATL AIC ANIC ACIC ARISE

Societal Research
Innovative World class Product
Community and
Problem solving incubators and Innovations
Innovations to Innovation in
mindset in startups in in Industry
Unserved / MSME /
Schools Universities with
Under-served regions Startup
and Institutions Ministries
of India #AIMtoI
industry
nnovate
Collaboration with Mentors, Private & Public Sector Enterprises, Govt, Academia, Institutions
4. Stand-Up India
Start Up India program Stand Up India Program
Launched on Jan 16, 2016 Launched on April 8, 2016
Equity based financing Loan based financing
Delivery through equity funds Delivery through banking network
Target beneficiary : all, irrespective of gender or caste. Target beneficiary : SC / ST / Women

No such condition. 51% share holding should be with the target group.

No such criteria. Composite Loan

Focus on removing obstacles Focus on enabling finance
Website address : Startupindia.gov.in Website address : www.standupmitra.in
 Objective

▪ The objective of the Stand-Up India scheme is to facilitate bank loans between Rs.10 lakh and 1 Crore to at least one Scheduled Caste (SC) or Scheduled
Tribe (ST) borrower and at least one woman borrower per bank branch for setting up a green field enterprise.

▪ This enterprise may be in manufacturing, services or the trading sector. In case of non-individual enterprises at least 51% of the shareholding and
controlling stake should be held by either an SC/ST or Woman entrepreneur.

Eligibility:

▪ SC/ST and/or woman entrepreneurs, above 18 years of age.

▪ Loans under the scheme is available for only green field project. Green field signifies, in this context, the first time venture of the beneficiary in the
manufacturing or services or trading sector.
 Stand-Up India Scheme
Nature of Loan

▪ Composite loan (inclusive of term loan and working capital) between Rs.10 lakh and upto Rs.100 lakh.

Purpose of Loan
▪ For setting up a new enterprise in manufacturing, trading or services sector by SC/ST/Women entrepreneur.
Size of Loan
▪ Composite loan of 75% of the project cost inclusive of term loan and working capital. The stipulation of the loan being expected to cover 75% of the project cost would

not apply if the borrower’s contribution along with convergence support from any other schemes exceeds 25% of the project cost.
Interest Rate
▪ The rate of interest would be lowest applicable rate of the bank for that category (rating category) not to exceed (base rate (MCLR) + 3%+ tenor premium).
Security

▪ Besides primary security, the loan may be secured by collateral security or guarantee of Credit Guarantee Fund Scheme for Stand-Up India Loans (CGFSIL) as decided by
the banks.
Repayment
▪ The loan is repayable in 7 years with a maximum moratorium period of 18 months.
Stand-Up India Scheme

Working Capital
▪ For drawal of Working capital upto Rs.10 lakh, the same may be sanctioned by
way of overdraft. Rupay debit card to be issued for convenience of the borrower.
▪ Working capital limit above Rs. 10 lakh to be sanctioned by way of Cash Credit limit.
Margin Money
▪ The Scheme envisages 25% margin money which can be provided in convergence
with eligible Central / State schemes. While such schemes can be drawn upon for
availing admissible subsidies or for meeting margin money requirements, in all cases,
the borrower shall be required to bring in minimum of 10% of the project cost as own
contribution.
STAND-UP INDIA SCHEME WOULD BE OPERATED BY ALL THE BRANCHES OF SCHEDULED
COMMERCIAL BANKS IN INDIA.
 Responsibilities of Stakeholders
SIDBI:

▪ To operate and maintain the Stand-Up India web portal

▪ Arrange for handholding support for Trainee Borrowers

▪ Liaise with banks for follow up in potential cases through LDM/SLBC

▪ Coordinate with LDM for easing bottlenecks

▪ Assist the SLBC and DLCC in reviews and monitoring

▪ Participate in Stand-Up events organized by NABARD.

 Responsibilities of Stakeholders
NABARD:

▪ Training of Trainers, LDMs, Bank officers for Stand-Up India

▪ Arrange for handholding support for trainee borrowers

▪ Liaise with banks for follow up in potential cases through the LDM

▪ Coordinate with LDM for easing bottlenecks

▪ Assist the SLBC and DLCC in reviews and monitoring

▪ Organize events, as frequently as necessary and at least once in each quarter, for
experience sharing etc. amongst stakeholders.
5. TREAD

To address the critical issues of access to credit among India’s underprivileged women, the TREAD
programme enables credit availability to interested women through non-governmental organizations
(NGOs).

As such, women can receive support of registered NGOs in both accessing loan facilities, and receiving
counselling and training opportunities to kick-start proposed enterprises, in order to provide pathways
for women to take up non-farm activities
6. PMKVY

⮚ Skill India is an initiative of the Government of India It was launched by Prime

Minister Narendra Modi on 15th July 2015 with an aim to train over 40 crore people
in India in different skills by 2022.

⮚ The initiatives include National Skill Development Mission, National Policy for
Skill Development and Entrepreneurship 2015, Pradhan Mantri Kaushal Vikas
Yojana (PMKVY) scheme and the Skill Loan scheme.

⮚ Skill India won’t be just a programme but a movement. Here, youth who are
jobless, college and schools dropouts, along with the educated ones, from rural
and urban areas, all will be given value addition.
Vision & Mission

Vision - NSDC was set up as part of a national skill development mission to fulfill the
growing need in India for skilled manpower across sectors and narrow the existing gap
between the demand and supply of skills. There is a compelling need to launch a world-
class skill development program in a mission mode that will address the challenge of
imparting the skills required by a growing economy.

Mission - Upgrade skills to international standards through significant industry

involvement and develop necessary frameworks for standards, curriculum and quality
assurance. Play the role of a "market-maker" by bringing financing, particularly in
sectors where market mechanisms are ineffective or missing.
Introduction

⮚ Pradhan Mantri Kaushal Vikas Yojanais a unique initiative by the Government

of India that aims to offer 24 lakh Indian youth meaningful, industry relevant,
skill based training.

⮚ Under this scheme, the trainees will be offered a financial reward and a
government certification on successful completion of training and
assessment, which will help them in securing a job for a better future.
 Features
⮚ The emphasis is to skill the youths in such a way so that they get employment and
also
improve entrepreneurship.

⮚ Provides training, support and guidance for all occupations .

⮚ The training programmes would be on the lines of international level so that

the youth of our country can not only meet the domestic demands but also of
other countries like the US, Japan, China, Germany, Russia and those in the
West Asia.

⮚ Another remarkable feature of the Skill India programme would be to create

a hallmark called ‘Rural India Skill’, so as to standardise and certify the training
process.
 SS
(Sector Skill
Councils)

Cs
7. Department of Science and Technology

It’s aim is to strengthen national Science and capacity and capability, kept its pace to implement
planned initiatives to enable Indian S&T community to increase scientific and technological
outputs.

 Some of the specific projects and programmes are listed below:

 Formulation of policies relating to Science and Technology.
 Promotion of new areas of Science and Technology with special emphasis
on emerging areas.
 Support and Grants-in-aid to Scientific Research Institutions, Scientific Associations
and Bodies.
OBJECTIVES

 Human Capacity Building

 Institutional Capacity Building

 Technology Capacity Strengthening

 S&T Competitiveness through Alliances, Partnerships and R&D Missions

 Societal Contract of S&T

Human capacity building

 Science and Engineering Research Board (SERB), created through an Act of

Parliament, implements various programmes for strengthening the human resource
engaged in diverse fields of science and engineering.
 Cognitive Science Research Initiative (CSI) is exploring new avenues by supporting
projects in various fields of Cognitive Science like Neuroscience, Psychology,
Linguistics, Bio Engineering, Social Engineering, Education, Computer technology &
Artificial Intelligence.
 ‘Women Scientist Scheme-A (WOS-A)’ has completed a decade of support and
encouragement through S&T to women having break in their career and provide
them opportunity to come back in main stream of science by pursuing research in
Science & Engineering.
 Department of Science & Technology, initiated an ambitious project of Human
Resource Development namely “National Programme for Training of Scientists and
Technologists working in the Government sector”.
SOCIEO-ECONOMIC EMPOWERMENT THROUGH S&T INTERVENTIONS

 Science for Equity, Empowerment and Development

(SEED) Division has been playing an important role in
promotion of science and technology (S&T) for social
good. It supports such initiatives through S&T based
voluntary organizations and institutions
SOCIEO-ECONOMIC EMPOWERMENT THROUGH S&T INTERVENTIONS

❖ SCIENCE AND SOCIETY PROGRAMME (SSP) : aims at

facilitating development of promising S&T based field groups and
innovative technologies for addressing societal needs.
 Technological Advancement for Rural Areas (TARA):
Technological Advancement for Rural Areas (TARA) is a unique
scheme under societal programme mainly provides long term core
support to S&T based voluntary organizations. For transfer and
delivery of new and improved technologies for rural application
through identification of problems on the ground and converting them
to challenges for providing technological solutions.
Technology Interventions for Addressing Societal Needs (TIASN)

 This scheme aims at developing and facilitating research and

application of S&T based solutions to identified problems and societal
needs. Some specific projects are
 Rainwater harvesting for School in Rural Area : The project has
enabled students to work out the quantum of water that can be harvested
and develop rainwater harvesting structures for their own houses.
 Co-management of Fisheries along the Coromandel Coast : This
project seeks to contribute to sustainable management of marine
fisheries resources
Technology Intervention for Disabled and Elderly (TIDE)

 It aims at improving quality of life for the benefit of elderly

population and disabled people in the country through
application of S&T inputs. Outcome of some of the
interventions in this programme are as under:
Figure A, B, C, D describing sequence of convertible mechanism from flat floor to stairs
and then from stairs to flat landing space