Hi Friends,

Even as I launch this today ( my 80th Birthday ), I realize that there is yet so much to say and do. There is just no time to look back, no time to wonder,"Will anyone read these pages?"

With regards,
Hemen Parekh
27 June 2013

Now as I approach my 90th birthday ( 27 June 2023 ) , I invite you to visit my Digital Avatar ( www.hemenparekh.ai ) – and continue chatting with me , even when I am no more here physically

Saturday, 25 June 2016

Start Ups Need Wooing ?


Economic Times ( 22 June 2016 ) , carries a report , which says :

#  In last 5 months , since launch of Start Up India initiative , only 200 applications have been received

#  Of these , only 30 got " short-listed "

#  Of these 30 , only  ONE  got approved  !


Not surprising if you consider the " ELIGIBILITY  CRITERIA " laid down for approval ( see my blog below ) !

The news report goes on to list a few " measures " that DIPP is planning to take to encourage many more Start Ups to come forward and apply

These are unlikely to make much of an impact !

It is not yet too late to consider my following blog / suggestion :

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Wednesday, 20 January 2016

 

START UP RE-DEFINED
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No doubt , you have read the " DEFINITION of a START UP " in the " Start Up Action Plan Document "


I have tried to envisage below, how that might look on that Mobile App for Registration :


*   Is yours a Private Ltd Co / LLP / Partnership  ?...........................................  Yes  /  No


*   Is your Company more than 5 years old ?....................................................Yes  /  No


*   Is your Start Up formed by splitting an existing business ?............................ Yes  /  No


*   In last 5 yrs, has your turnover exceeded Rs 25 Crores ?.............................  Yes  /  No


*   Is your product/service " DIFFERENTIATED "  ?............................................ Yes  /  No


*   Is your product / service " COMMERCIAL "  ?............................................... Yes  /  No


*  Is your product / service " INNOVATIVE "  ?................................................  Yes  /  No


*  Is your product / service driven by ,
    " TECHNOLOGY  / INTELLECTUAL PROPERTY "  ? ............................................Yes /  No


*  Is your product/service ,
   " NEW / SIGNIFICANTLY IMPROVED "  version "  ?.................... ...................... Yes / No

  
*  Does your product/service add " VALUE " to customers  ?................................ Yes / No


*  Does your product/service add " VALUE " to " WORKFLOW " ?.........................   Yes / No


*  Have you got certification  from Inter-Ministerial Board ?................................  Yes /  No


*  Have you got recommendation from Incubator in Post Grad Indian College ?....... Yes / No



MY  TAKE :

#  Each year 12 million persons join India's work force

#  Of these , 3.5 million are Graduates

#  Rest ( 8.5 million ) are 10th / 12th Standard pass or less

#  No more than 1,000  persons will fulfill above mentioned " ELIGIBILITY CRITERIA " for Start Up

#  There will be endless debates on the correct meaning of words in CAPITAL letters above !


WHY  SUCH  STRINGENT  " ELIGIBILITY  CRITERIA "  ?

#  At Rs 2.5 cr loan per Start Up, Govt Fund of Rs 2500 Cr can help only 1,000 Start Ups !

#  Any relaxation in " Eligibility Criteria " , may result in MILLIONs of persons queue-up !


WHAT  IS  THE  IMPLICATION  ?

#  Funds are just insufficient to help 12 million persons to become " Self Employed "


MY  SUGGESTION :

In India , we are talking of getting " Unemployed " to launch " Start Ups "

Anywhere between 100 million to 400 million " Unemployed " for whom neither Public Sector nor Private Sector , is in any position to create jobs

We want them to become " Self Employed " - what Shri Narendra Modi described in USA , as our " PERSONAL  SECTOR "

They are unlikely to launch technology driven , Web-based businesses , even if their businesses require them to have a Smart phone , on which , their customers can reach them !


They aspire to become ( list can run into 200 trades ! ) :


*  Street-side Vendors ( Vegetables / Shoes / Purses / Fruits / Trinkets )

*  Craftsmen ( Plumber / Electrician / Carpenter / Repairer  )

*  Dhobi / Barber / Pan Beedi shop-owner / Tailor / Mochi

*  Doodh-wala / Ruddi Paper-wala / Gajra-wala / Delivery Boy

*  Cook / Maid / Courier / Tuition Teacher / Beautician / Taxi Driver

*  Home-cooked Tiffin Service /  Car wash  /  Gardening ......



How can we help millions of  JOBLESS  to set up such  MICRO - BUSINESSES  ?

By Government ( Central / State / Municipal ) getting out of their way !


HOW  ?

*  No licenses / permits / approvals / conditions / criteria

*  Simple online registration on proposed Web site of DIPP for Start Ups

*  No personal Income tax for Individuals

*  No Corporate Income tax for Start Ups for 10 years ( no chance of profit in first 3 years )

*  Amnesty Scheme for enabling Rs 10 million*crores of BLACK MONEY to flow into such
   Self Employment


It is still not too late for our  Policy Makers will think " Out of Box " and implement :

www.hemenparekh.in > Blogs > A New Economic Order - Start Up Act - 2015

Anything less just won't make much of a difference !

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26  June  2016
www.hemenparekh.in / blogs


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