The Government has incorporated the definition of “start-up” into consulting and other service contracting processes.
“The Office of Industry and Promotion of Internal Trade (DPIIT) has revised the definition of” startup “. Therefore, it was decided to make some changes … Manual for the Hiring of Consultants and Other Services, 2017”, said the Department of Expenditures in the Office’s Memorandum of Understanding (OM).
On February 19, 2019, DPIIT revised the definition. As a result, the legal entity is considered a “startup” for 10 years from the date of establishment / registration, and sales in any fiscal year do not exceed 100 colors for the legal entity / registration.
OM’s expense department said that for startups (as defined in DPIIT), the terms of previous sales and previous experience could be relaxed, as long as they meet technical and quality specifications. rice field.
“The technical and quality parameters should not be diluted,” said Hacienda. The entity is recognized as a startup with a useful life of up to 10 years and sales of up to Rs 100. Previously, it had a useful life of 5 years and a sales cap of Rs 25.
Another change is that start-ups must “work towards innovation, development or improvement of products, processes or services, or on a scalable business model that can create jobs or wealth. Is there? The previous requirement was” work towards innovation and commercialization of new products, processes or services driven by technology or intellectual property “.
Definition of “start-up” incorporated in the public procurement process