Start-up certification to be privatized to increase the pace of start-up incubation

Department of Industrial Policy and Promotion (DIPP) is all set to issue a notification which would enable private incubators certify start-ups as part of its Startup India plan. Certified start-ups stand eligible for tax benefits and other facilities from the government.

"We are in the process of finalising the eligibility norms for an incubator. This will widen our base of incubators in the country," an official told ET requesting anonymity.

As of now, the only incubator certifying start-ups is the one funded by the government. Other than this, the one established in a post-graduate college is also permitted to certify start-ups.

The DIPP has already put in place strict norms for a start-up to become certified. However, looking at the scarcity of incubators, the government has now decided to allow private incubators to be able to certify start-ups.

To become eligible, incubators would need to have specified physical infrastructure as well as mentors enrolled with the organisation, as per sources.

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