Gujarat Entrepreneurial EcosystemNew Policy Initiatives

India is the 3rd Largest & Fastest Growing Startup Base

4,200+ Startups

3-4 Startups are born each day

Average age of Startup founders in India is 28 years (36 years in Silicon Valley)

110 Incubators/Accelerators (40% growth since 2014)

490 Active Investors (123% growth since 2014)

Total Funding of $5 Billion in 2015 (125% growth over 2014)

Approx. 85,000 employed in Startups

Earlier: Startups were visible mainly in areas such as technology/internet and non-tech sectors like grocery and food deliveryNow: They are increasingly visible in other sectors like manufacturing

GoI has drawn out an action plan to catalyze entrepreneurship

The pillars of support:

Simplification and Handholding

Funding Support and Incentives

Industry-Academia Partnership and

Incubation

Giving a big push to Startups, GoI in January 2016 launched the ambitious

Startup India Action Plan.

The plan lists out incentives for development and growth of Startups, comprehensive

set of structural and regulatory reforms, and collaborations between Industry and

Academia to bolster the Startup Ecosystem.

Timeline: 4 years, with incentives provided for 3 years.

Key initiatives for Startups

Central funding of Rs. 10,000 crore

‘fund of funds’

Self-certification, to reduce

regulatory burden

Mandatory 20% procurement from Startups,

by Governments and PSUs

"Startup Hub" for knowledge exchange

and funding

Mobile app for registration, single

window clearance and exit

Panel of facilitators for filing patent

applications

Credit guarantee fund with a corpus

of Rs. 500 crore

Tax exemption on capital gains

extended

Income tax exemption for 3 years

International and National startup fests

Atal Innovation

Mission

Funding support for development

of incubators (PPP)

New research

parks

Annual incubator

grand challenge

Gujarat is among the first states to roll out an incentive policy for Startups

Gujarat is known for its enterprising community and industries.

Natural choice for EntrepreneursInvestor-friendly business climate, robust infrastructure, rich natural resources, skilled manpower & supporting Government polices.

Government has been promoting start-upsby focusing on identification of business ideas & opportunities, supporting in networking, mentoring and incubation.

Ahmedabad is an “Emerging City” for Startups (NASSCOM Newsletter 2015)

1st in Ease of Doing Business, as per DIPP and World Bank

One of the top states in India for Start-ups, as per India SME Forum

Highest Investment Potential in India, as per National Council of Applied Economic Research (NCAER)

Conducive Business Environment Standout Achievements

Notable Startups in Gujarat

Gujarat has an enabling entrepreneurial ecosystem

1 Entrepreneurs

2 Mentors

3 Incubators and Accelerators

4Funding Agencies : Angel Investors and Venture Capitalists

5 Government and Regulators

Robust network of:

Gujarat based entrepreneurs have enjoyed phenomenal success in their businesses

“Entrepreneurship” is revered almost as a religion

Entrepreneurs have inherent spirit of adventure and huge appetite for risk

Entrepreneurs are respected and there in no taboo attached with it

Entrepreneurs have the right mind-set and social conditioning required to nurture entrepreneurship

Presence of mentors recognized globally for their excellence and contributions

ISRO, PRL, EDI, IIM, IIT, NIT, GTU, MICA, PDPU, DAIICT, IRMA, CEPT etc.

As part of Student Startup Support System, many institutes have incorporated Entrepreneurship in their curriculum

GTU offers specialization in Technology Entrepreneurship while EDI offers PGDM in Business Entrepreneurship.

Industry associations/organizations like TiE, CII, Gujarat Chamber of Commerce, FICCI, NASSCOM, etc. encourage entrepreneurship

Presence of Industrial Training Institutes (ITIs) in each district

Strong presence of Incubators and Accelerators

IncubatorsMany universities have taken a progressive step and setup incubation centres for promoting and nurturing the innovations of aspiring entrepreneurs in different sectors.

AcceleratorsAccelerators conceptualize and organize engaging entrepreneurial programmes for entrepreneurs to connect, share and collaborate with each other.

Events/exhibitions/seminars are organized round the year by institutions like iCreate, EDI, CIIE, TiE, SRISTI, NIF, etc.Platform for entrepreneurs to discuss, display and share products/ business ideas with others.

Approved Nodal Institutions

Sr. Name of Nodal Institute

1 Gujarat Technological University, Ahmedabad

2 MICA Incubator, Ahmedabad

3 CIIE, IIM, Ahmedabad

4 Venture Studio, Ahmedabad

5 IIT Gandhinagar

6 Innovation & Incubation Centre, PDPU, Gandhinagar

7 DAIICT, Gandhinagar

8 Lok Jagruti Kendra, Ahmedabad

Sr. Name of Nodal Institute

9 Ganpat University, Mehsana

10 GLS University, Ahmedabad

11 iCreate, Ahmedabad

12 GSBTM, Savli

13 NID, Ahmedabad

14 EDI, Bhat, Gandhinagar

15 Innovify Research Foundation

16 Kadi Sarva Vidyalaya Kelavani Mandal

Funding Agencies

Venture Capital/

Private Equity Funds

Gujarat Venture Finance Ltd (GVFL)

Infuse Ventures

Angel Funds

Gujarat Angel Investor Network (GAIN)

Ahmedabad Angel Network

Incube Ventures

Ahmedabad Venture Alliance

Rajkot Angel Investors

O2H Ventures

GVFL has supported

over 70 companies,

till date.

• Funding is provided by leading institutions such Gujarat Venture Finance Ltd (GVFL) and Gujarat Angel Investors Network (GAIN).

• GVFL: Backed by National and International Institutions like CDC–UK, HDFC, ICICI and variousState Corporations. It is one of the few Venture Capitalists (VC) to witness complete life-cycle of VC investment.

• GAIN: Focuses exclusively on start-ups and early-stage companies in smaller cities and towns.

Gujarat Startup Mission will provide a platform to support Startups

Strategic

Location

Growing

Hubs

Strong Talent

Pool

Ease of

Doing

Business

Robust

Infrastructure

Start-Up

Policy

Strong

Economic

Growth

Start-Up

Funding

Start your Entrepreneurial Journey in the emerging Startup destination of India

GujaratStartup

MissionWill be started to give concrete shape to the innovative ideas

of the youth of the State

State Government has earmarked Rs. 97 Crore for Startups

As part of Youth Development Year, the Government will assist the youth in various ways to equip them professionally and encourage their innovative ideas

Provision of funds in the Budget for 2016-17 for:

• Encouraging Startup and MSME projects• Effective implementation of the Startup policy• Corpus fund to accelerate incubation, innovation and Startup

through iCreate

Scheme for Assistance for Startups under Industrial Policy 2015

Aim is to support 2500 Startups over a period of 5 years

Government has introduced the “Scheme for Assistance for Startups/ Innovation” with start-up fund allocation of Rs. 250 Crore, with the aim of:

Developing entrepreneurial skills in youth by providing them mentoring services and range of facilities

Creating a favourable ecosystem for Start-ups, Innovation and Technology Transfer

*The scheme has come in to force from January 2015

Quantum of Assistance

Sustenance Allowance• Rs. 10,000 per month to the innovation team as

sustenance allowance for a period of 1 year, for projects recommended by the Approval Committee of the Nodal Institution

Mentoring Service• Rs. 5 Lakh to Nodal Institution for mentoring

services

Development/Prototype/Proof of Concept• Rs. 10 Lakh for development/prototype/proof of

concept. Nodal Institution may use this for purchasing materials, equipments and sources for market development

Startups/Innovators will be supported in concepts by getting them free access to:

• University Libraries • Government

Laboratories• SDC (GIDC) • Centres of Excellence• PSUs• Other Establishments

Additional assistance when idea gets approved for commercialization

Funding • Assistance in getting Angel Funding and Venture Capital

Marketing/ Publicity

• Marketing/publicity assistance of up to Rs. 10 Lakh for introduction of product/service in the market

VAT Related Incentive

• Reimbursement to the extent of 80% of Net VAT paid (excluding Additional Tax & Reduction of ITC as per GVAT Act 2003)

Other benefits as per MSME schemes will also be available

Procedure for availing assistance

THANK YOU