The state cabinet approved the MP Startup Policy and Implementation Plan 2022 comprising methodology and guidelines at its meeting on Friday to foster entrepreneurs in the state. Women entrepreneurs will benefit from a 20% boost under the policy.

Startups founded by women would receive an additional 20% financial and non-financial assistance, according to Chief Minister Shivraj Singh Chouhan. Women in start-ups and innovation are encouraged.

P Narahari, Commissioner of Industries, said that special facilities such as job creation and skill development assistance, as well as exemption from electricity duty and rate concessions, will be provided to them in order to enhance the number of product-based start-ups.

Key government agencies will be linked with the Reserve Bank of India-authorized Platform Trade Receivable Discounting System (TReDS) to fight the lack of cash liquidity issue in start-ups, he added.

Assistance is provided in accordance with policy:

Investment, program planning, lease rental, enlargement, patent, exemption from electricity duty, and power rate concessions are only a few of the services available. Marketing and branding collaboration (for national and international markets).

 Innovation Challenges Program:

Selected candidates will receive the following benefits:

•         A special incentive of Rs 1 crore.
•         All the assistance as per policy.
•         A separate startup centre in Bhopal.
•         Support from finance, project management, marketing, and legal specialists.

A brand new merged Laghu Udyog Nigam
Madhya Pradesh Enterprise Finance Restricted and Madhya Pradesh Enterprise Finance Trustee Restricted have been merged with Madhya Pradesh Laghu Udyog Nigam in order that in future a particular enterprise capital fund might be created for funding help to startups.

Online Portal for startups 

For start-ups, an internet portal would be created to operate as a link between all stakeholders. It will be linked to the Indian government’s startup portal.

Exemption from government tenders

Startup businesses that participate in government tenders for up to Rs 1 crore will be excluded from the following:

-Experience conditions, turnover

-Advance deposits, security fund

What’s more, the policy includes the following:
-Developing startup ecosystem

-Events at high school and colleges to promote incubation

-Support will be obtained from national and state-level technical establishments

-Permissions will be provided to the startups, incubators under Ease of Doing Business

-Arrangements for post-facto approval for consents will also be made

-Approval under Madhya Pradesh Public Service Guarantee Act, 2010