1. Startup India: Need to strengthen domestic venture capital in India, says Jayant Sinha

Startup India: Need to strengthen domestic venture capital in India, says Jayant Sinha

Live: Hours before the launch of an action plan on 'Start-up India',the government on Saturday envisaged for itself the role of only a "facilitator" for investments, promising to cut the maze of red tape...

By: | New Delhi | Updated: January 16, 2016 6:36 PM
The launch of the event is aimed at celebrating the entrepreneurship spirit of country’s youth, and will be attended by CEOs and founders of top Start-ups from across the country and abroad.

The launch of the Startup India event is aimed at celebrating the entrepreneurship spirit of country’s youth, and will be attended by CEOs and founders of top Start-ups from across the country and abroad.

Hours before the launch of an action plan on ‘Start-up India’,the government on Saturday envisaged for itself the role of only a “facilitator” for investments, promising to cut the maze of red tape that has hampered the country’s economic growth for decades and squeezed employment opportunities.

Paytm founder Vijay Shekhar, speaking during Startup India event, said, “India will leapfrog plastic into digital money faster than any other country!”

Uber CEO Travis Kalanick, while addressing the session, gave many lessons on entrepreneurship saying one should be ‘AlwaysBeJugaading’ and added “adventure, doing the impossible is all entrepreneurship”.

“The role of the North Block (which houses the finance ministry) is finished. There are no files pending, no files to be pushed. Even the Department of Industrial Policy and Promotion is more of an enabler (of investments) now….The government will be totally at an arm’s length,” finance minister Arun Jaitley said, addressing a large gathering of angel investors and Venture capitalists from the Silicon Valley and the who’s who of Indian start-up space and entrepreneurs here.

Jaitley said the government and the banking system will try to make available the required resources for setting up start-ups. He added that an entrepreneur-friendly tax regime will be ensured, hinting at possibilities of some easing of tax rules or concessions for start-ups in the upcoming Budget.

Echoing the sentiments, commerce and industry minister Nirmala Sitharaman said the government is also working on ways to make “exits” easier for start-ups in case the business models fail.

On Friday, the Silicon valley leaders invited to inspire local start-ups asked the government to ensure the ease of not just starting but also shutting a start-up and raising money,and incentivising investments.

Most of the 40-odd angel investors and venture capitalists who will be attending the programme–including Venktesh Shukla, president of TiE, Kanwal Rekhi, partner of Inventus Capital, Ram Reddy, founder of Global Industry Analyst and Vinod Dham, managing director of Indo-US Venture Partners–met President Pranab Mukherjee on Friday and will meet Prime Minister Narendra Modi on Saturday.

As many as 14 sessions of discussions will be held throughout the day on Saturday before Modi unveils the action Plan in the evening. Interactive sessions with global business leaders, including SoftBank founder and chief executive Masayoshi Son, Uber founder Travis Kalanick and WeWork founder Adam Nuemann, will be a key part of the event.

PM's own idea was that start ups need to be encouraged. Both the banking system and Govt will make the resources available: Arun Jaitley. (ANI)

PM’s own idea was that start ups need to be encouraged. Both the banking system and Govt will make the resources available, said Arun Jaitley. (ANI)

Live updates:

5:28 pm: “We need to strengthen domestic venture capital in India. Could that change the nature of innovation in India?”, says Jayant Sinha #StartupIndia

5:17 pm: “One of the most successful countries have gone a major casualty before building an empire!”, shares Ritesh Agarwal @oyorooms #StartupIndia

5:13 pm: “The larger picture is that, India will undergo a major technology transition!”, says @_sachinbansal, founder @Flipkart #StartupIndia

5:08 pm: “In the long term, solving a real problem matters a lot in success of a #startup”, shares Ritesh Agarwal, founder, @oyorooms #StartupIndia

4.42 pm: “People with passion will eventually survive & create great things!”, @nikesharora from @SoftBank shares. #StartupIndia.

4.40 pm: “A tip for #startup founders: Stay focused on solving customer’s problem instead of money”, says @nikesharora @SoftBank #StartupIndia

4.35 pm: Fireside chat with Mr. Nikesh Arora, President & COO @SoftBank and moderated by Mr. Srivatsan Rajan. #StartupIndia.

4.32 pm: “India will leapfrog plastic into digital money faster than any other country!”, says @vijayshekhar, founder @PayTM. #StartupIndia.

4.30 pm: “We might switch to paperless money in next four years!”, suggests Sharad Sharma, co-founder @Product_Nation #StartupIndia

4.20 pm: Kabir Kumar from @WorldBank says, “India is one of the most exciting markets in the world for financial services innovation.” #StartupIndia.

4.15 pm: “We have been shocked by how fast digital payment took off!”, shares Vijay Shekhar Sharma, Founder, @Paytm #StartupIndia.

4.10 pm: Abhishek Sinha CEO, Eko Financials says “50 years of payment patterns will get disrupted by digital in India” #StartupIndia.

4.05 pm: ‘Had there been no GPS or @googlemaps, there would have been no @Uber”, shares Sharad Sharma, Co-founder @Product_Nation #StartupIndia

4.00 pm: “Lesson 8: Adventure, doing the impossible is all #entreprenership is all about!” shares @travisk, CEO @Uber #StartupIndia.

3.54 pm: “Lesson 7: Selling & Storytelling, that is #AlwaysBeJugaading!”, laughs @travisk, CEO @Uber at #StartupIndia.

3.53 pm: “Lesson 6: Make magic! Do things which astounds people & makes them talking!”, says @travisk at #StartupIndia @Uber.

3.52 pm: “Lesson 5: Perception & reality, an #entrepreneur makes them meet with innovation!”, tells @travisk, CEO @Uber #StartupIndia.

3.51 pm: “Lesson 4: Be analytic but also creative!”, shares the @Uber CEO, @travisk #StartupIndia.

3.50 pm: “Lesson 3: How bad is the problem you are solving? Ask yourself”, shares @travisk CEO @Uber at #StartupIndia.

3.49 pm: “Lesson 2: Find a problem. We wanted to get a ride in Paris but couldn’t”, says @travisk @Uber #StartupIndia.

3.48 pm: “Lesson 1: Find something broken, something that will be your passion”, shares Travis Kalanick @travisk, CEO @Uber #StartupIndia.

3.41 pm: Stage is all set for the next session of ‘Presentation on 8 lessons to entrepreneurs and Q&A’ at #StartupIndia.

3.40 pm: Cardiac Design Labs, winners of the entry to @google launchpad are felicitated by @amitabhk87 & @nsitharaman at #StartupIndia

3.36 pm: @amitabhk87 & @nsitharaman felicitate the winning #startup of @google launchpad, Guru-G at #StartupIndia

3.34 pm: Audience begins voting for the @google launchpad at the #StartupIndia, one lucky #startup will receive a $50,000 equity free.

3.24 pm: Startup Pitch 5: Cardiac Design Labs http://www.cardiacdesignlabs.com  India has 64M people w/ cardiac diseases,only 500K operated/yr #StartupIndia.

3.23 pm: Fourth competing #startup, Reap Benefit takes the stage to present their product to jury & the audience. #StartupIndia.

3.22 pm: Third #startup for the contest, Guru-G takes the stage to talk about their tool. #StartupIndia.

3.21 pm: Startup Pitch 2: SlamDunq http://www.slamdunq.com  Wearables to improve sports performance #StartupIndia.

3.20 pm: Startup Pitch 1: @Kaalink http://kaalink.sbalabs.co  Checking pollution levels in cities like Delhi #StartupIndia.

3.19 pm: #startups compete for the coveted title, innovations like making ink from polluted air & putting technology in sports coming. #StartupIndia.

3.18 pm: “We have turned our attention to mentoring early-stage companies through mentoring.”, says @RajanAnandan of Google at Startup India.

3.15 pm: Ravi Gururaj, CEO, @QikPod takes the stage to introduce, ‘Stand-up India, Launch Pad-presented by @google’ session #StartupIndia.

02.00 pm: Lunch break has been announced.

01.40 pm: The ladies sign off from the session & the lunch-break is announced #StartupIndia.

01.38 pm: “Do you fight the old, or do you build the new! And I think its time to build the new!”, shares Ms. Chahel from @SHEROESIndia #StartupIndia.

01.32 pm: “The woman consumer is underserved in India today. Good opportunity is for women who understand this gap” says Ms. Nidhi #StartupIndia.

01.27 pm: “Women need to be on all panels, not just women entrepreneur panels!”, says Ms. Shanti Mohan, founder, @letsventurein #StartupIndia.

01.26 pm: “When I started I realised that many women need clarity as to how to go about a #startup!”, says Ms. Anisha, founder @mydala #StartupIndia.

01.25 pm: “Women #entrepreneurship needs to be more immersive in nature as it grows”, says Shanti Mohan, founder @letsventurein #StartupIndia.

01.15 pm: “India produces highest number of women graduates & we have high potentials for value creation” shares Ms. Chahal @SHEROESIndia #StartupIndia.

01.12 pm: “It is the best time for India seeing the global innovations happening here!”, shares Ms. Pranshu Patni, founder @CultureAlley #StartupIndia.

01.05 pm: “It’s not economics that keep people together but camaraderie does!”, shares Vinod Dham #StartupIndia.

01.00 pm: Rather have a 100 customers that love you than a million customers that like you: @Airbnb’s @varsharao #StartupIndia.

12.56 pm: “I think getting to know new competitors help us stay on toes & keep doing good job!”, said @1kunalbahl & Bhavish Aggarwal #StartupIndia.

12.48 pm: “We wanted to solve the problems of small local sellers & the consumers”, shares @1kunalbahl, founder @snapdeal #StartupIndia.

12.40 pm: Mr Shukla, President, TiE says, “Startups are like redwood trees, Indian startups are like banyan trees. Needs focus!”

12.32 pm: “Many of the small businesses working with us don’t have resources to make a basic tech base,” said Bahl of @snapdeal #StartupIndia on problems faced by them.

12.30 pm: Bhavish Aggarwal from @Olacabs answers, “Lack of skilled manpower was one of the biggest challenges we faced.” #StartupIndia on problems faced by them.

12.24 pm: “Globalisation for a startup is exciting, you have to learn so fast about the different cultures of the world” @WeWorkAdam (Adam Neumann) #StartupIndia.

12.15 pm: “When we will come here, we will build a local brand with a global playbook!”, says Adam Neumann of WeWork at the #StartupIndia.

12.08 pm: “When we will come here, we will build a local brand with a global playbook!”, says Mr. @WeWorkAdam at the #StartupIndia.

12.05 pm: “If your business is the right business, then money will never be an issue.”, shares Neumann at #StartupIndia.

12.02 pm: “Success is not just making money. Success is happiness, success is fulfillment, it’s the ability to give.”, says Adam Neumann.

12.00 pm: “India has the power of community which defines the strength of this country”, says Adam Neumann from We Work.

11.58 am: “The good thing about India is that they believe about something great about themselves.”, says Adam Neumann at #StartupIndia.

11.42 am: Vijay Raghavan, Secretary, Biotechnology says, “Startups should address domestic market; keep an eye on genomics and IP” at Startup India.

11.35 am: “We are looking forward to develop a system which will help #startups register within 24 hrs.” said Tapan Ray of Corporate Affairs at Startup India.

11.28 am: Mr Saran from SEBI says “We have done away with many problems of #startups, the documentations have been made simple” at Startup India.

11.24 am: “In next few months, we will bring out the support in small towns which is much needed.” answers Mr Oberoi from @HRDMinistry when asked what will govt do to ensure that #startups don’t just come up in big cities but also in small towns?

11.22 am: Shaktikanta Das, Secretary, #DEA says, “we are very positive about #StartupIndia & have something really nice in the package.”

11.20 am: “We have been able to launch funds with the help of #GOI & #RBI”, said K Shivaji, Chairman & MD, SIDBI at #StartupIndia’s third session.

11.15 am: The second session is nearing its end. Third session will begin in short while.

11.04 am: “You can’t burn money mindlessly, make smart investment”, said SoftBank CEO Masayoshi Son.

11.00 am: “Infrastructure, mobile connectivity and electricity need maximum attention for India’s growth!”, said SoftBank CEO Masayoshi Son.

10.56 am: “Trends to watch in future: artificial intelligence will surpass human intelligence in many domains”, shares Masayoshi Son at ‘Startup India’.

10.54 am: “This is the beginning of Big Bang of innovation in India”, says Masayoshi Son.

10.48 am: “5-10 Years after starting up the focus should be on customer satisfaction, said Masayoshi Son at #StartupIndia.

10.47 am: Softbank founder &a CEO Masayoshi Son said, we will accelerate “seriously” our investments in India.

10.45 am: “Everytime I visit India I become more convinced. This is the country!”, said Masayoshi Son, Japanese businessman and CEO of SoftBank Mobile.

10.32 am: The Vigyan Bhawan hall is completely occupied with entrepreneurs. First session ended and second session is about to start.

10.30 am: Startup friendly tax measures will be announced in the forthcoming Budget: Arun Jaitley.

10.28 am: Govt, RBI in next few months will add to banks’ ability to lend more: Finance Minister Arun Jaitley.

10.23 am: “Amongst the potential entrepreneurs we have some world-beaters and we will create the environment for them,” said Arun Jaitley.

10.22 am: “We are fully conscious of the adverse situation in which we are struggling to keep respectable growth rates in Indian economy,” said FM Jaitley.

10.21 am: “Government has to explore new areas. The Mudra scheme is one of the new areas; to target 25% of bottom of India,” said Jaitley.

10.20 am: “The world recognizes us as the fastest growing economies but we have our own challenges,”, said Jaitley.

10.18 am: PM’s own idea was that start ups need to be encouraged. Both the banking system and Govt will make the resources available: Arun Jaitley

10.16 am: Standup India to be launched separately, said FM.

10.14 am: “We have increased the public spending and foreign investment has also increased,” said FM Jaitley.

10.12 am: The traffic (Queue of businesspersons) to the North Block has reduced drastically, said Finance Minister. “We will end license raj for startups”, said Arun Jaitley.

10.10 am: “Startup India is a program where the government will be at an arm’s length to entrepreneurs,” said Jaitley.

10.08 am: “With very little or negligible interventions, govt. will be a facilitator for the #StartupIndia campaign!”, says Arun Jaitley.

10.06 am: Finance Minister Arun Jaitley addressing the entrepreneurs now.

10.03: “Financing Has Become A Lot Easier In India Now,”, said Nirmala Sitharaman.

10.00 am: Commerce Minister Nirmala Sitharaman addressing the gathering now.”We will understand the issues & recognize you for what you are,” said Sitharaman.

Also read

  1. V
    Vazid ali
    Jan 25, 2016 at 4:28 am
    You are great .thanks for start up india.but how find out benifit of this.
    Reply
    1. R
      rockstar
      Jan 17, 2016 at 3:38 am
      Want the returns of equity mutualfunds with risk of debt funds? Risk allocation can make it possible. Refer prudentcap dot in to explore more .
      Reply
      1. Hemen Parekh
        Jan 17, 2016 at 3:49 am
        TEN MILLION START- UPS IN ONE YEAR ? Thank you , Narendrabhai , for the Start Up Action Plan announced last evening I am glad that some of my suggestions ( sent to Ministers / Secretaries ) over the past 2 years , have been incorporated in the ACTION PLAN , in respect of : * Self Certification * Simplified Registration thru Mobile App * Tax Exemption for Capital Gains * Entrepreneurship Program for 10 lakh students * No Corporate Income Tax for 3 years You will find my detailed suggestions covering these points in following blogs at , : * A New Economic Order - Start Up Act 2015 / 12 Sept 2015 * From Job Seekers to Job Creators / 15 Sept 2015 * Back Up Factory of the World / 09 Sept 2015 * Blue Print for a Start Up Nation / 27 Dec 2015 * Creating Jobs Vs Creating Self Emplo ? / 10 Dec 2015 * Get Out of the Way / 01 Dec 2015 * Ten Million Entrepreneurs ? / 19 Oct 2015 * Start Up Eco System / USA vs India / 01 Oct 2015 * Treading the Beaten Path / 25 Sept 2015 * Second Industrial Revolution / 21 Sept 2015 * From Single Window to a Single Day ? / 19 Sept 2015 * Myth of Job Creation / 12 Sept 2015 * Killing Many Birds with One Stone / 07 Sept 2015 * If Mohamed cannot go to Mountain / 26 July 2015 * Ditch Historical Baggage / 24 Dec 2015 * Create Self Employment / 21 Feb 2015 Very likely , your initiative may see the birth of ten thousand new start-ups in 2016-17, which , together , might generate one lakh jobs In itself, this will bring a new dynamism to India's Economy But that will still fall far short of 12 Million ( 120 lakh ) youth joining the work-force each year Can all of these youth become Start Ups ? It is entirely possible All you need to do is to implement my following suggestion, described in , " A New Economic Order / Start Up Act - 2015 " / 12 Sept 2015 " : SUGGESTION * Although all Start Ups will need to file annual Income Tax returns ( with full disclosure of income / expenses / profits / sources of funds etc ) , it will not be required to pay any Corporate Income Tax for the first 10 years of its existence * A Start Up will be free to raise funds from any source ( Individuals / Companies / PE funds / VCs / Angel Investors / Religious Trusts etc ) * 100 % FDI will be permitted in Start Ups * A Start Up can receive loans or equity and be able to accept fixed deposits . It can also give loans to individuals or other Start Ups or invest in other Start Ups by way of equity * There will be no restrictions on what interest ( on loans / FDs ) that a Start Up may pay nor any restrictions on dividends it may declare The dividends declared by Start Ups will not attract any Income Tax * As far as the persons / companies etc providing funds to Start Ups ( by way of loans or equity ) is concerned , no questions will be asked re their source of funds WHAT WILL HAPPEN , IF IMPLEMENTED ? * Billions of rupees worth Black Money will flow into these Start Ups - money which is currently lying unutilized or locked up in unproductive ets * Within 3 months , thousands of Venture Capital Funds will be born , exclusively for funding of Start Ups ( You know who will set up these VCs ! ) * With NO Income Tax to be paid , Start Ups will conduct all transactions through cheques ( receipts / payments ) * GST collections will go up * Domestic Savings Rate will go up * Since millions of ( Black Money holding ) individuals / businesses will come forward to fund these Start Ups , lending pressure on banks will go down * Who knows , Start Ups may get into the business of ets Reconstruction and relieve banks of NPAs ! * With locally / domestically stashed Black Money flowing into the economy , our dependence on FDI will go down * Corruption will decline drastically Dear Shri Narendrabhai : It is still not late to incorporate my suggestion in forthcoming Union Budget on 29 Feb 2016 This is your opportunity to * Dream BIG * Enable millions to dream big * Unleash the Entrepreneurial Genome of India's Youth * Make 21st Century , an Indian Century * notwithstanding the opposition in Rajya Sabha ------------------------------------------------------------------------------------------------------- hemen parekh 17 Jan 2016
        Reply
        1. R
          Ravinder Singh
          Jan 16, 2016 at 8:16 am
          Subject : lllegal Constructions cause : Because Town Planning & PMRDA not allowing sanctioning for plots less than 2000 sq. mtr. in PMRDA area( Outside PMC & PCMC ), Pune, Maharashtra even if plots are in Residential Zone. Dear Sir, There is a very big issue of Illegal Construction and buildings outside PMC & PCMC area ( The area covered under PMRDA - Pune Metropolitan Region Development Authority ). The Big Cause of Illegal Construction because of BJP Govt. is not rectifying the clause 13.3.1 , which was mistakenly written in the MRTP DCR which was revised in November 2013. The Building byelaws which was published on 21st November 2013 by GOVERNMENT OF MAHARASHTRA, URBAN DEVELOPMENT DEPARTMENT, MUMBAI, has mistake in clause no. 13.3.1 Recreational open spaces ( which states that : If such sub-divided holding in revenue/city survey record admeasures less than 0.4 or 0.8 Ha., then 10% open space shall be left which shall not be in any case less than 250 sq.mt. ). That means if a plot is 500 sq. mt. than the land owner have to leave 250 sq. mt.area for open space with minimum width of 10 meter. And only 250 sq.mt. plot is left and after deducting side margins , only small house shall be constructed. And if a plot is 250 sq.mt / 2.5 Guntha nothing can be constructed. **** IF YOU WILL ASK PMRDA OFFICIALS TO SANCTION SMALL PLOTS LESS THAN 2000 SQ. MT./ 20 GUNTHA - They will straight away say no. **** A very BIG ISSUE BJP Govt. is creating by not sanctioning small plots which are in Residential Zone. And hence Illegal Construction / Buildings are in large no. 1) Problem in Clause No. 13.3.1 - Page No. 29 ( In 21st November 2013 DCR - ABC Munil Corporation ) 2) No Problem in Clause No. 3.4.1 - Page No. 57 ( In - D Cl Munil Corporations ) 3) No Problem in Clause No. 13.3.1 - Page No. 193 ( In DC Rules Old Limit PMC ) As stated in No. 1) there is problem for the area which comes under PMRDA. ( For all the land / plot which are outside the PMC & PCMC limits.) Ravinder Singh Rajpurohit Cell No. 09960008880
          Reply

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