Startup Definition
Startup means an entity, incorporated or registered in India :
• Not prior to five years,
• With annual turnover not exceeding INR 25 crore in any preceding financial year, and
• Working towards innovation, development, deployment or commercialization of new products, processes or services driven by technology or intellectual property
Provided that such entity is not formed by splitting up, or reconstruction, of a business already in existence. Provided also that an entity shall cease to be a Startup if its turnover for the previous financial years has exceeded INR 25 crore or it has completed 5 years from the date of incorporation/ registration. Provided further that a Startup shall be eligible for tax benefits only after it has obtained certification from the Inter-Ministerial Board, setup for such purpose.
Get the Candour Legal Support
If you are a Startup that has been incorporated or have a disrupting idea and are in the planning stage, it is advisable to consult a lawyer in the initial stages itself as there are many legal aspects like the founders’ legal rights, govt. and domain licenses, local laws, agreements with users and vendors, terms of use, privacy policies and many other related legal processes that should be addressed to avoid conflicts and legal hassles later on.
Consult Candour Legal a top rated Startup lawyer’s Law Firm in India and focus on running your startup business while your lawyer takes care of all the legal compliances.
Candour Legal is known in the Startup Ecosystem as the best law firm around country offering complete legal solutions for the Startups.