Over 90% Indian startups fail in first five years : IBM | WeForNews | Latest News, Blogs Over 90% Indian startups fail in first five years : IBM – WeForNews | Latest News, Blogs
Connect with us

Business

Over 90% Indian startups fail in first five years : IBM

Published

on

Startups-India

New Delhi, May 17:   More than 90 per cent startups in India fail in the initial five years, due to lack of pioneering innovation and funding, according to recent study conducted by IT giant IBM.

The startup mostly faces capital problems at initial as well as exit stage study revealed.

“We believe that startups need to focus on societal problems like healthcare, sanitation, education, transportation, alternate energy management and others, which would help deal with the issues that India and the world face,” said Nipun Mehrotra, Chief Digital Officer, IBM India/South Asia, in a statement.

More than 76 per cent of Indian executives pointed to the country’s economic openness as a major business advantage, while 60 per cent identified skilled workforce and 57 per cent of the executives said that a large domestic market provides significant advantages.

Seventy three per cent of Indian business leaders surveyed believe that ecosystems can help accelerate innovation and almost 80 per cent of the executives from established companies say collaboration with startups accelerates new ideas.

Seventy per cent of the venture capitalists believe that talent acquisition is one of the biggest challenges faced by Indian startups, and limited availability of necessary skills impedes growth.

“Stakeholders’ (established businesses, startups, VCs, Government, higher education) involvement and contribution is key to creating a conducive environment for the success of the startup economy,” the study noted.

The IBM study titled “Entrepreneurial India” was based on interviews with more than 1,300 Indian executives, including 600 startup entrepreneurs, 100 venture capitalists, 100 government leaders, 500 leaders of established companies and 22 educational institution leaders.

(IANS)

Business

COVID-19: RBI offers more sops to ease compliance burden

Published

on

By

Reserve Bank of India RBI

New Delhi, April 1 (IANS) The Reserve Bank of India has announced new measures to ease the compliance burden on sectors of the Indian economy most affected by the coronavirus scare.

Accordingly, it has extended realisation period of export proceeds to give more time to exporters to comply with regulations.

Presently, the value of goods or software exports made by exporters is required to be realized fully and repatriated to the country within nine months from the date of export. The time period for exports made up to or on July 31, 2020, has been extended to 15 months from the date of export.

“The measure will enable the exporters to realise their receipts, especially from COVID-19 affected countries within the extended time period and also provide greater flexibility to them to negotiate future export contracts with buyers abroad,” the RBI said in a statement.

The apex bank has also decided to increase ways and means advances (WMA) limit by 30 per cent for all States/UTs to enable these to tide over the situation arising from the coronavirus pandemic. The revised limits will come into force with effect from April 1, 2020 and will be valid till September 30, 2020.

The RBI had set up an Advisory Committee under the Chairmanship of Sudhir Shrivastava to review the Ways and Means limits for States/UTs. The decision to increase the limit has been taken even though its final recommendations are pending.

In yet another decision, the RBI has decided not to activate countercyclical capital buffer (CCyB) for one year or earlier, as may be necessary. This would free banks from maintaining a capital buffer at a time when there is a need to boost investment climate in the economy by offering easy credit to industry.

The framework on CCyB was put in place by the RBI in terms of guidelines issued on February 5, 2015 wherein it was advised that the CCyB would be activated as and when the circumstances warranted, and that the decision would normally be pre-announced. The framework envisages the credit-to-GDP gap as the main indicator, which is used in conjunction with other supplementary indicators.

Continue Reading

Business

Govt sharply cuts small savings rates, PPF to get just 7.1% now

Interest rates on the PPF and the Sukanya Samriddhi Yojana have been cut by 0.8 per cent or 80 bps each. Post office time deposits have seen the sharpest cut of 1.4 per cent or 140.

Published

on

Rupee

New Delhi, March 31 : The government on Tuesday steeply cut interest rates on various small savings schemes in line with sharp cut in policy rates announced by the Reserve Bank of India on Friday where it reduced repo rate by 75 basis points.

Accordingly, rate on interest on small savings schemes such as the Kisan Vikas Patra, the National Savings Certificate, the Senior Citizens Savings Scheme and the Public Provident fund (PPF) scheme has been revised downwards between 70 basis points and 140 basis points for the first quarter (April-June) of FY 20 20-21.

Interest rates on the PPF and the Sukanya Samriddhi Yojana have been cut by 0.8 per cent or 80 bps each. Post office time deposits have seen the sharpest cut of 1.4 per cent or 140.

The PPF scheme that is subscribed by millions of salary earning class will get you an annual return of just 7.1 per cent as against 7.9 per cent earlier. Senior citizens will also have to do with just 7.4 per cent interest rate from the earlier 8.6 per cent. Even, the popular five year recurring deposit will get you just 5.8 per cent now.

Continue Reading

Business

Donations made to PM-CARES Fund eligible for 100% tax deduction

It also extends the last date for linking Aadhaar and PAN to June 30.

Published

on

By

Direct tax Incom

New Delhi, March 31 : In a move to encourage contributions for the fight against the coronavirus pandemic, the government has decided to make all donations towards the PM-CARES Fund eligible for 100 per cent tax deduction.

The decision was part of an ordinance promulgated on Tuesday to put into effect the decisions announced by the Finance Minister last week regarding several compliance and regulatory norms in view of the coronavirus outbreak.

Further, the limit on deduction of 10 per cent of gross income shall also not be applicable for donations made to PM-CARES Fund.

An official statement said that among the decisions, “the ordinance also amended the provisions of the Income-tax Act to provide the same tax treatment to PM-CARES Fund as available to Prime Minister’s National Relief Fund. Therefore, the donation made to the PM-CARES Fund shall be eligible for 100 per cent deduction under section 80G of the IT Act.”

Prime Minister’s Citizen Assistance and Relief in Emergency Situations Fund’ (PM-CARES Fund) has been set up for providing relief to the persons affected by the outbreak of coronavirus.

The official statement said that as the date for claiming deduction u/s 80G under IT Act has been extended up to June 30, 2020, the donations made till then shall also be eligible for deduction from income of FY 2019-20.

Hence, “any person, including corporate, paying concessional tax on income of FY 2020-21 under new regime can make donation to PM-CARES Fund up to June 30 and can claim deduction u/s 80G against income of FY 2019-20 and shall also not lose his eligibility to pay tax in concessional taxation regime for income of FY 2020-21,” it said.

The ordinance also extends the deadline for the income tax and GST return filing for the financial year 2018-19 till June 30, 2020, as announced by Finance Minister Nirmala Sitharaman last week.

It also extends the last date for linking Aadhaar and PAN to June 30.

The date for making various investment or payment for claiming deduction under Chapter-VIA-B of IT Act which includes Section 80C such as LIC, PPF, NSC, 80D (Mediclaim), 80G (Donations), among others has been extended to June 30, 2020. Hence the investment or payment can be made up to June 30 2020 for claiming the deduction under these sections for FY 2019-20.

The date for making investment, construction or purchase for claiming rollover benefit or deduction in respect of capital gains under sections 54 to 54GB of the IT Act has also been extended to June 30, 2020. Therefore, the investment or purchase made up to June 30, 2020 shall be eligible for claiming deduction from capital gains arising during FY 2019-20.

With this ordinance, the date for passing of order or issuance of notice by the authorities under various direct taxes and ‘benami’ law has also been extended till June 30. It also puts into effect the government’s decision to extend durations of the dispute settlement schemes for direct taxes (Vivaad Se Vishwas) and indirect taxes (Sabka Vishwas) till June 30.

Continue Reading
Advertisement

Most Popular