What Are Our Indian Entrepreneurs Saying Post Budget?
Talk to any Jack and you would get to hear the word ‘budget’ at least twice in their statements. Surely, the Union Budget 2019 has given enough reasons to be talked about. While a lot of hopes have been raised, our entrepreneurs from the startup ecosystem couldn’t agree more.
Here’s a snippet:
Geetika Dayal, Executive Director, TiE Delhi-NCR, “The hope of the startups was the complete removal of Angel Tax from the system. Given that it hasn’t happened, the move to scrap the scrutiny of funds received by start-ups that do file requisite declarations is a step in the positive direction. The omission of enquiry would at least save genuine startups from unnecessary hassle. Also, the adoption of e-verification for identifying investors and their sources of funds would make the otherwise complex process more seamless. This way, the government will be able to more effectively pinpoint and target money launderers, which the angel tax was introduced to do in the first place.
The confusion continues amongst the startups who are currently impacted and the proof of the pudding will be if their concerns are indeed resolved rapidly.”
Balu Ramachandran, Sr. Vice President, Cleartrip, “The union budget has made the aviation sector more conducive for increased FDI by proposing to increase the FDI caps. This will attract increased interest in the Indian aviation space by enabling controlling stake for foreign carries and should add increased momentum to the Air India privatization process. The success of the AI privatization process is crucial to the health of the Indian aviation space as we can’t afford another airline bankruptcy after the jet airways event.
Beauty expert Shahnaz Hussain says, “The wait for the final budget is over. The government has taken several laudable initiatives, including the setting up of 1.5 lakh Health and Wellness Centres (HWCs) under the Ayushman Bharat scheme by 2022. In terms of employment and skill development, we welcome the government’s move to establish 80 livelihood business incubators and 20 technology business incubators under ASPIRE in 2019-20. It is a great initiative that has the potential to develop 75,000 skilled entrepreneurs across agro-rural industries.
Efforts to improve the skills of our youth in emerging areas like Artificial Intelligence, Big Data, Robotics, among others, is another impressive and much-needed move that is expected to make a significant impact on the beauty and wellness industry. It can lead to the generation of high-paying jobs for millennials, both in India and abroad.
Siraj Dhanani, Co-Founder and CEO, InnAccel Technologies, “The Finance Minister has addressed the vexed angel tax issue comprehensively in this budget. I hope this issue is finally put to rest, so startups can focus on creating jobs and Making FOR India, In India.”
As mentioned previously, the Union Budget has kind of upped our expectations and seems that the Indian startup ecosystem has gotten a breather. Consider relaxing the angel tax norms for startups. This is a welcome step as startups in the Indian space have been jostling hard. Also allocating a separate channel for startups is commendable indeed. While India has witnessed a lot of startups already, there are many waiting in line. With these platforms, the startups might gain a fair idea of how things function.