Page 39 - Banking Finance December 2017

ARTICLE

INSTITUTIONAL

FUNDING AND

INCENTIVES TO

STARTUP

COMPANIES IN

INDIA

ABSTRACT

India is a country of many great legends who were famous all over the world because of their works, sharp mind and
high skill. However our country is still on the developing track because of the lack of financial support, encouragement
to the innovative youth entrepreneurs. By this reason the Prime Minister Narendra Modi launched a scheme i.e. "Startup
India and Standup India" on 16th January 2016. This scheme also aims to help the poor, backward classes, women,
tribes and economically weak categories will get financial funding in terms of small loans and other incentives. To en-
courage youth and innovative entrepreneurs the government aims to fund 10,000 crore rupees, 80% reduction in patent
registration fee and freedom from capital gain tax for 3 years. By this startup India initiative the youth will not have to
depend on others for their food, clothes and shelter. They keep their heads high, standup and sustain independently.

I. Introduction
About the author
Startup Company or start-up is an entrepreneurial venture
Dr. A. Amruth Prasad Reddy or a new business in the form of a company, temporary orga-
Associate Professor nization designed to search for a repeatable and business
Dept. of Management Studies
Yogi Vemana University, Kadapa model. These companies, generally newly created, are inno-
Andhra Pradesh vative in a process of development, validation and research
Dr. S. Subba Reddy K. Maddileti for target growth. The term became world widespread be-
Associate Professor Research Scholar cause of this history, startups are often assumed to be solely
Dept. of Management Studies Dept. of Management Studies technology based companies, but this is not necessarily true,
Yogi Vemana University, Kadapa Yogi Vemana University, Kadapa the essence of startups is generally related to the concepts
Andhra Pradesh Andhra Pradesh
of ambition, innovation, scalability and growth.

BANKING FINANCE | DECEMBER | 2017 | 39

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