Odisha Startup Policy a dream comes true.
Odisha aims to emerge amongst the top 3 Startup Hubs in India by 2020. This startup policy would provide incentives and exemptions over and above the Startup policy of Government of India and any other existing policy in the State (Well that’s a good sign!). The Odisha Startup policy will remain in operation for a period of five years from the date of its notification or until substituted by another policy, whichever is earlier. When you read through this blog, you would find Odisha Startup Policy a dream comes true.
What is the mission behind this Startup policy?
- Odisha to become one of the top three Startup destinations in the country
- Fiscal and non-fiscal benefits to startups in a transparent and time-bound manner
- Startup friendly Rules, regulations and legislation.
- Robust governance structure that enables hassle-free, time-bound statutory clearances and monitoring of this policy
- Ecosystem: Which means: Creation of world-class physical infrastructure to support Startups; Promoting the culture of innovation through Academic Interventions; Institutionalizing the culture of entrepreneurship by providing training for the requisite Skills.
What are the Funding and Incentives covered in the policy?
A Startup Capital Infrastructure fund with an initial corpus of Rs. 25 core will be set up to support the development of hard and soft infrastructure for the startup ecosystem in the State such as physical infrastructure for incubators including testing labs, design studio, tool rooms, virtual incubators etc.
- Institution or Incubator or Industry will be supporting the innovator by providing mentor services and would allow the innovator to use facilities available to them.
- Rs. 10,000 per month will be provided to the innovator as sustenance allowance for one year whose project is certified by the Nodal Agency.
- Assistance of Rs. 5 lakhs shall be provided to the institution or Incubator or Industry for mentoring service towards each certified Startup
- Need-based assistance up to Rs. 10 lakhs will be provided to a certified Startup for cost of raw material or components and other related equipment required for the innovative process for the new product development
- Marketing or publicity assistance up to Rs. 5 lakh will be provided for the introduction of the innovated product in the market.
- VAT/CST paid in Odisha by the Startup companies shall be reimbursed as per the Industrial Policy 2015.
- The Startups shall be exempted from VAT scrutiny for 3 years from the date of certification.
- The cost of filing and prosecution of a patent application will be reimbursed to the Startup companies as per the Industrial Policy 2015.
4. Assistance for Startup Funding:
Has the government encouraged banks and other financial institutions to extend and enhance their lending facilities to Startups and set up dedicated desks for Startups in select branches for easy funding? The Government also encourages Angel InvestorsNetwork and various seed capital funding agencies to forge a strategic partnership with industry or Startup associations in the State.
- Industrial Disputes Act, 1947
- Trade Unions Act, 1926
- Building and Other Constructions Workers’ (Regulation of Employment and Conditions of Service) Act, 1996
- Industrial Employment (Standing Orders) Act, 1946.
- Other such laws are Inter-State Migrant Workmen (Regulation of Employment and Conditions of Service) Act, 1979
- Payment of Gratuity Act, 1972 g) Contract Labour (Regulation and Abolition) Act, 1970
- Employees’ Provident Funds and Miscellaneous Provisions Act, 1952
- Employees’ State Insurance Act, 1948
- All Labour Laws covered under the Voluntary Compliance Scheme of State Labour & ESI Department
- Startup-council or State Level Implementation Committee
- Task Force based review mechanism