Delhi government rolls out support for start-ups

NEW DELHI : The Delhi government cabinet on Thursday approved a policy to make the National Capital Territory a global start-up hub by offering a host of incentives for entrepreneurship, Chief Minister Arvind Kejriwal said in a statement. communicated.

The incentives offered include collateral-free loans that will be interest-free for one year, free service of accountants and experts, and reimbursement of certain fees, according to the statement.

“I hope Delhi will be home to unicorns and giant corporations that the whole world will admire,” the statement quoted Kejriwal as saying. level too.

The Business Blasters program provided seed capital for students in grades 11 and 12 to start their businesses.

The idea of ​​the policy is to make Delhi the preferred destination for start-ups by 2030.

The tax incentives offered under the scheme include reimbursement of rents of 50% up to 5,000,000 per year and reimbursement of rental/exhibition stand costs of 100% for women, the disadvantaged and disabled and 50% for others up to 5 lakh once a year.

Allowance for operating or staff costs 30,000 per month for a year is also offered under the program. Financial support for the purchase of key software up to 50% and reimbursement of Internet costs of 50% up to a maximum of 2.5 lakh per year for 3 years is also offered under the scheme. It also offers several non-tax incentives such as facilitating ties between startups and industry associations and easing the public procurement process for startups, according to the release.

Kejriwal said in the statement that the future of the country is in the hands of its youth. He said young people are talented, capable, hardworking and smart, but the country’s system has not let them thrive. “Whether it is the education system, the employment system or the political system, they have all hindered the growth of the country. Today, our children run from pillar to post applying for jobs. On the contrary, the Delhi government is eradicating this problem by promoting a business-friendly environment,” the statement quoted Kejriwal as saying.

Kejriwal said the state budget for this year focuses on business and job creation. “We are revamping the markets, setting up the Dilli Bazaar portal, hosting the Delhi Shopping Festival and doing much more to help boost the economy. We teach entrepreneurship to school students from grades 9 to 12. We give students seed capital, as seen in the Business Blasters program. Thousands of students have become businessmen through this initiative,” said Kejriwal.

This initiative will now also be replicated at the college level, he said. The minister said the startup policy was developed after studying policies around the world and incorporated global best practices.

“The Delhi government will provide tax and non-tax incentives to young people who want to set up their startups. For example, the Delhi government will pay up to 50% of the rent for a startup’s office lease,” Kejriwal said.

Similarly, we will participate for a portion of the salaries that these startups will pay to their employees, he said. The state will reimburse their patent, copyright and trademark costs and help pay their internet bills. “We will also offer collateral-free loans, interest-free loans and encourage incubation centers and manufacturing labs,” the minister said.

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