Gujarat Government announced new policy for IT-based start-ups

Gujarat Chief Minister Anandiben Patel has initiated the Information Technology and Electronics Start Up policy to support and provide financial assistance to 2,000 start ups in the state over next five years.

Estimated Investment: Rs. 7000 Crore

Focus: Technology-based startups

Aimed to lower down the unemployment and create lot of employment opportunities.

Outline of the Policy:                                      

Information Technology and Electronics based start-ups would get Incentives and Financial Assistance for two years

After the successful initiation of the start-ups, they will continue to receive the Incentives and benefits under the policy

Installation of Incubators:

• Incubator is a company that helps new and startup companies to develop by providing services such as management training or office space
• 50 incubators to be installed which includes incubators already installed by various institutions like in Indian Institute of Management Ahmedabad (IIMA), Gujarat Technological University (GTU), Entrepreneurship Development Institute (EDI), IIT-Gandhinagar, National Institute of Design (NID)
• Incubators are maintaining by the Institutions would be awarded with financial assistance uptoRs. 1 crore for procurement ofsoftwares
• Sanctioned around 10 lakh sqft of land for development of 50 incubators.

Features of Policy:

• Start-Ups would get the concession on power tariff of Re 1 per unit
• 50% Electricity Duty returns for 5 years
• 100% exemption in Stamp duty and registration fees
• Financial assistance of 2 Lakh and Rs. 5 Lakh to receive National and International patents respectively.
• Registered Start-ups would be provided with 5-10 % work in Government’s E-Governance project.
• In order to enhance the technical skills and standards, the Government ensuring the Employment opportunities and mandate experience to the new Start-ups.