Last Updated: 17 Oct 2025

Startup India

The scheme promotes innovation and startups by fostering a strong, inclusive entrepreneurial ecosystem. It is implemented by DPIIT and excludes entities formed through splits or reconstructions of existing companies.

Quick facts

  • Type: Central Sector Scheme
  • Purpose: Nurturing innovation and startups
  • Implementing agency: Department for Promotion of Industry and Internal trade (DPIIT)
  • Exclusion: An entity formed by splitting up or reconstruction of an existing

 

Objectives

  • To catalyse startup culture and build a strong and inclusive ecosystem for innovation and entrepreneurship in India.

Salient features

 

  • Benefits to startups: Tax incentives including capital gains tax exemption, Governments' assistance in funding, prioritisation of startups in public procurement, etc.
  • Key Pillars of Support for Start up
    • Simplification and Handholding
    • Self-certificate to reduce the regulatory burden
    • Easier compliance, easier exit process for failed startups, legal support, fast tracking of patent applications 
    • A website to reduce information asymmetry
  • Incubation & Industry-Academia Partnerships
    • Creation of numerous incubators and innovation labs, events, competitions and grants.
    • Launch of Atal Innovation Mission (AIM) with Self Employment and Talent Utilization (SETU) Program of NITI Aayog

NOTE: Fund of Funds means government participates in the capital of SEBI registered Alternate Investment Funds (AIFs), known as daughter funds, who in turn invest in Indian startups through equity/equity-linked instruments.

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