Action plan to handhold new entrepreneurs: Sitharaman

New Delhi: The government has prepared an action plan for 22 sectors under ‘Make in India’ initiative to promote new entrepreneurs in the country, parliament was told on Monday.

"An investor facilitation cell has been created in Invest India to assist and handhold investors," Commerce and Industry Minister Nirmala Sitharaman told the Lok Sabhain a written reply.

She also said that the central government rolled out a start-up action plan to create a conducive environment for budding entrepreneurs (start-ups) in the country.

The start-up action plan includes simple compliance regime for them based on their self-certification. A mobile app and portal for compliance and information exchange was also launched.

Sitharaman said that a Start-up India Hub was set up to handhold new entrepreneurs during various phases of their development along with legal support and fast-tracking patent examination at reduced costs. The government relaxed norms of public procurement and faster exit for startups.

The minister said start-ups would be provided funding support through a fund of funds with a corpus of Rs.10,000 crore. Tax exemption will also be allowed on capital gains invested in fund of funds.

She also said there will be credit guarantee fund available for start-ups and they will be allowed to enjoy tax exemption for three years.

Apart from this, the central government will be organising start-up fests to showcase innovations and providing collaboration platforms, the minister said.

The commerce minister also sought harnessing private sector expertise for setting up incubators.

Seven new research parks modeled on the Research Park at IIT Madras have been set up, she said.