Business Startup Guidance In India

As we already know, all the schemes and changes which are had already taken place or going through change or proposed to be changed are pointing toward making in India self-reliant.

Self-reliant or say Make in India can be attained when not just with change and execution by government policies but by proper acceptance by citizens and their involvement on increasing Gross Domestic Product (GDP). Self-reliant word also focuses that more and more citizens of India start their own business irrespective of their level of project.

Any business first start as a start-up, which is most difficult task as setting up business, marking up the base and customers for business is taxing and cumbersome process. Generally its, the period when that start-up fails and this can be due to many reasons like lack of reading the market needs to lack of knowledge about government assistance. Whatever your entity type of start-ups, it is to have full knowledge of assistance from Government through various department.

There are many types of entities for doing business in India, which I have already covered in my article published on 27^th January, 2020. (for knowing same, you can also visit:- https://taxguru.in/corporate-law/types-entities-business.html). The question arises what are important aspects and points which are to be kept in mind while starting up a business. I have tried to covered all the relating queries in this article. Let us go though them step by step:-

• Idea Realisation:- Founder first need to bring the idea of business in reality that whether the idea is going to be fruitful or serve the society. As any business is successful only when it is able to serve and generate the revenue for the society at large and not just one small group. Intense brooding, follow up from specific customers helps here a lot. It is the time when the idea is brought up to reality and its impact on large. For example:- Uber founder knew that if they start app based business it going to succeed. It is important with invention of one technology, many other opportunities are opened.

Also pay attention to innovative business idea, as there are many benefits are given to startup which is innovative in nature after acquiring startup certificate from Government of India.

• General Information:- Business can easily be set up for self-employment. One can choose an activity depending upon your interest and suitability not only to become self-employed but also to generate employment for others. Now here more emphasis should be given whether, one is going to start business as Small business, so that in future business can get benefits after registering under MSME.
• Financial Assistance:- Any business requires initial capital, so that business can be started. Here it can be divided into two parts i.e. a) Owned fund or b) Borrowed fund. There is no issue when one starts business with owned fund but borrowing has some pros and cons. However, Government of India has given many benefits to startups and existing business who are registered under MSME like, low interest rates, no collateral securities etc. The more profitable project report for return on investment, more chances of getting loan easily.
• Project Report:- The project report is a document, which gives an account of the project proposal to ascertain the prospects of the proposed plan/activity. The project report contains detailed information about
  • Land & building required
  • Manufacturing Capacity per annum
  • Manufacturing Process
  • Machinery & equipment along with their prices and specifications
  • Requirements of raw materials
  • Power & Water required.
  • Manpower needs.
  • Cost of the project and production.
  • Financial analyses & economic viability of the project.

It is one of the most important pilot document on whose basis the whole project present as well as future relies. There are many agencies as well professionals involved in preparation of project report.

• Marketing:- This is an era of globalization and liberalization. The manufacturers have to offer goods and services of desired quality at optimum cost. Select the right market/consumers identified at the time of planning the unit. Establish Direct marketing channels or a network of dealers as per requirement of the product based upon initial survey. Highlight strengths of the product. one might create awareness among the buyers or consumers about your product’s strong points in order to convince them of the utility of the product. After this point, depending upon your business strategies, marketing, product utility, pricing and other factors would takeoff business.

I hope by reading this article, your major basic questions have been solved regarding how to start business. There are other important aspects which varies from industry to industry depending upon your business and its related areas.

Disclaimer:– The above article inclusive list and short brief of Business Start-up guidance in India . One need to consults professionals before taking such huge step, who will guide them well so that one start their business with ease. The author shall not liable for any direct, indirect, special or incidental damage resulting from, arising out of or in connection with the use of the information.

(The Author is Corporate Consultant and provides varied array of services including Start-ups mentor, Secretarial, Legal, Trademark, taxation, Audit, GST, Book keeping and other ancillary advisory service in Delhi, Chandigarh as well as The National Capital Region (NCR) and can be contacted through email id:- [email protected] and Contact Number: 91-8178515005)