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PRIOR EXPERIENCE, TURNOVER LIMITS EARNEST MONEY DEPOSITS SOURCING POLICIES IMPEDE OPPORTUNITIES FOR INDIAN STARTUPS COMPANIES

 
 
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PRIOR EXPERIENCE, TURNOVER LIMITS EARNEST MONEY DEPOSITS SOURCING POLICIES IMPEDE OPPORTUNITIES FOR INDIAN STARTUPS COMPANIES
by System Administrator - Thursday, 18 April 2019, 8:28 PM
 

By: M.S.Yatnatti: Editor and Video Journalist Bengaluru: Digital transformation that the Indian Government has opened up on technology automation front both budget and complexities of adoption and great news for IT industry and its stakeholders. But it is trauma of IT Industry that Government tenders aremore towards vendors and principals and gives little opportunities to partners and they get eliminated in fist stage itself and predetermined companies only get tenders and also payment cycle is so designed that only vendors with deeper pocket and working capital coming from their overseas parent companies . it is time to think how Indian SMEs and start up take up Government tenders .Reportedly almost all states and Union territories are showing a friendlier approach to startups -- extending incubation facilities, facilitating early-stage funding, or even formulating policies for them. However, sourcing from these startups is still only on paper and not in practice. Requirements like prior experience, turnover limits to engage startups, earnest money deposits and other "archaic” sourcing policies impede opportunities for these newgeneration businesses. An analysis of Startup India's report that ranks states shows that the 27 states and 3 Union territories assessed fell short when it comes to providing an equal platform for startups vis-à-vis experienced companies in public procurement."Overall, performance of majority states is below average in this (ease of procurement) pillar as 26 states scored between 0% to 25% of the maximum marks,” the report said. The national average score under this particular criterion was 1.27 out of 14 marks, with performance of majority states defined as 'below average'."While at the policy level exemptions have been declared for startups in many of these aspects, the procedures followed by the states are sometimes not in alignment with the Centre,”. "It would be helpful to introduce easier bid eligibility, especially in the case of newer technologies like IOT and smart grids, which would aid infrastructure development,”. "Yes, there is more to be done to move away from age-old tendering procedures, but the open API policy under Digital India is a huge boon for tech entrepreneurs,” noted an expert

Angel tax is reportedly haunting startups again. Over the past few weeks, several early stage startups have received notices from the I-T department to clear taxes on angel funding raised by them. Some have also got letters levying penalty on the tax not paid. In certain cases, the taxes-cum-penalty amount accounts for almost 50% of the funds raised.The government had previously assured a resolution of this problem. In February, the Central Board of Direct Taxes (CBDT) had issued a circular saying that "no coercive measure” would be taken to recover outstanding demands.But the letters are once again putting enormous pressure on startups, which typically don't have resources or time to follow them up with tax authorities. Some founders of early-stage companies are now banding together to meet the secretary of the department of industrial policy & promotion (DIPP), Ramesh Abhishek, to try and sort out the issue next week.They plan to point out the huge contradiction between the government's Startup India campaign and the "heavy handed actions” of the I-T department against startups."If they ask us to pay almost Rs 45-50 lakh as tax on an investment of Rs 1 crore, which investor will put money in a startup?” wondered a Bengaluru based founder who recently got a notice from the CBDT.Starting a business is a multi-step process that can feel overwhelming when you're on your own, but it is better to stay organized and be on track while you start your business and achieve success. Whether you're refining your business idea, filing for permits and licenses, drafting your business plan, or looking for funding, you need different tools to do it right and get it done. SWOT is an acronym that stands for Strengths, Weaknesses, Opportunities, and Threats. As the name implies, it is an organized list of your business's greatest strengths, weaknesses, opportunities, and threats.The purpose of a SWOT Analysis is to help you develop a strong business strategy by making sure you've identified and considered all of your business's strengths and weaknesses, as well as the opportunities and threats it faces in the marketplace.Be different startup .Find unsolved problems of customers and solve it, everybody has problems. Many have many problems .Few problems are universal. Few problems are local few are national and few are international .Find unsolved problems. Companies succeed because they solve and understand the unsolved problem and come up with solutions that are very different from what others do. Put yourself in the customer's position; perhaps you would have experienced a pain point yourself. You may not fully understand the difficulty unless you experience it yourself .Develop deep customer insights. Secret of your success is in Passion, determination, vision, agility, team play, fund-raising skills.What exactly defines the DNA of a booming startup? What do some of the biggest names in the investment community look for in startups and entrepreneurs Clarity of vision Domain expertise? What key factors do successful entrepreneurs attribute to their triumph? Need to be understood diligently.Many venture capitalist look for startups addressing larger customer base scaling up large, interesting markets. It's important not only that startups succeed, but that the the co sequences of that success are large. Startup investment is based on the premise that you the premise that you can make hundred times your money, and that's not possible if the markets are small.