Startup is an entity that develops a business model based on some innovation and makes it scalable for achieving commercial success. According to Department for Promotion of Industry and Internal Trade (DPIIT), under the Union Ministry for Commerce and Industry, an entity shall be considered as a Startup upto a period of ten years from the date of incorporation/ registration, if it is incorporated as a private limited company or registered as a partnership firm or a limited liability partnership in India.
The government had introduced an assessment program for Startups, QRate Startup rating, which provides detailed assessment report on Startup’s potential and investment worthiness. The rating is based on assessment score and varies from Bronze, Silver, Gold, Platinum to Signature. The rating shall be used to grade eligible startups in order to provide differential incentives to each category as part of the policy.
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