Amar is a young entrepreneur willing to establish an incubator set up in the space of IT, software development, cloud computing or hardware/software maintenance. Advise Amar regarding the benefits available to entreprene

It is not an exaggeration to say that Government provides numerous benefits to start-ups in order to promote economic growth. Some of the key benefits offered are as under: Simple process: Anyone interested in setting up a start-up can fill up a simple form on website or mobile app launched by Government of India and upload certain documents online. Reduction in cost: The government also provides lists of facilitators of patents and trademarks. They provide high quality intellectual property rights services including fast examination of patents at lower fees. The government will bear all the facilitator fees and the startups have to bear only statutory fees. Consequently, start-ups may avail around 80% reduction in cost of filing the patents. Easy access to funds: ₹10000 crore fund (generally called as Fund of Funds) is set up by government to provide funds to the startups as venture capital. The government is also giving guarantee to the lenders to encourage banks and other financial institutions for providing venture capital. ₹1,285 crore has been committed towards startups since the launch of the ₹10,000-crore fund in January 2016. It is also projected that "When the fund of funds completes its fund-raising, the corpus will touch almost ₹14,000 crore. Tax holiday for 3 years: Startups will be exempted from income tax for 3 years, provided they get a certification from Inter Ministerial Board (IMB). Apply for tenders: Startups can apply for government tenders. They are exempted from the "prior experience / turnover" criteria applicable to normal companies while responding to government tenders. R&D facilities: Around Seven new research parks are in schedule to set up to provide facilities to startups in the R&D sector. No time consuming compliances: Various compliances have been simplified for startups to save time and money. Startups shall be allowed to self-certify compliance with 9 labour and 3 environmental laws. Tax saving for investors: People investing their capital gains in the venture funds set up by government will get exemption from capital gains. This will help startups to attract more investors. There are certain other tax exemptions available for start-ups. Choose your investor: The startups will have an option to choose between the Venture Capital, giving them the liberty to choose their investors. Easy exit: In case of exit, a start-up can close its business within 90 days from the date of application of winding up. Meet other entrepreneurs: Government has proposed to hold 2 startup fests annually both nationally and internationally to enable the various stakeholders of a startup to interact and share business ideas. This will provide huge networking opportunities Therefore, Amar is advised to establish an incubator set up in the space of IT, software development, cloud computing or hardware/software maintenance in order to get the maximum benefits.