Q.Explain the concept of a start-up and the procedure for obtaining DPIIT recognition.

A start-up is a specific kind of new business, and DPIIT recognition is the formal government process that certifies it as one.

Concept: A start-up is a young, newly established business, typically built around an innovative idea, new technology, or a scalable business model, with the potential for rapid growth, high-value job creation, and wealth creation -- not simply any new business that copies an existing model.

In India, DPIIT formally recognises entities as start-ups, broadly subject to the following conditions (exact figures fixed by notification and periodically revised): incorporation as a private limited company, or registration as a partnership firm or LLP; not more than a specified number of years (currently up to 10) since incorporation; annual turnover not exceeding a specified ceiling (currently ₹100 crore) in any year since incorporation; genuine innovation, improvement, or a scalable business model with potential for employment or wealth creation; and the entity must not have been formed by splitting up or reconstructing an already existing business.

Procedure for DPIIT recognition:

1. Incorporate the business as a private limited company, partnership firm, or LLP under the relevant Indian law.
2. Register on the Startup India portal / DPIIT's recognition system, entering details of the entity, its directors or partners, and the nature of the business. …

Treating incorporation (forming the company/LLP/partnership under company or partnership law) and DPIIT recognition (the separate government certification that unlocks start-up benefits) as the same step -- a busi …