Leading Technology Start-ups Reacts Positively To Budget 2016
With core highlights in tech start-ups industries getting 100% tax exemption for three years Stand-Up India scheme allocating Rs.500 crore for SC, ST and women entrepreneurs,the leaders from technology start-ups has reacted positively to this budget.
Ambika sharma, Founder, Instappy expressed, “Government has recently been focusing a lot on the growth of woman Entrepreneurs in the country, cheering them to establish themselves. Allotting funds of Rs. 500 crores especially for them will encourage the startup ecosystem to reach another level. Furthermore, since last budget, service tax has been the topic of discussion and by giving 100% exemption; the Finance Minister has done his bit to act as an enabler. Startups can now more effectively and efficiently concentrate on establishing their businesses and weave their path.”
“We appreciate the Finance Minister’s move on Tax holiday for startups as every startup takes minimum three of five years to setting up the company. We welcome the effort by Indian government for startup industry. It will give a strategic boost to the current ratio of Indian entrepreneurs and will support the Startup India campaign by Modi Government.” said Soumitra Gupta, CEO, Togofogo.
Mr. Puneet Gupta, CEO, Buzzmeeh commented,“We welcome the Budget 2016-17 as it’s a well strategized move for Indian startup industry. 100 % deduction on profits for 3 out of first 5 years will definitely strengthen the base as it will assist in setting the right pace for the company. Additionally, the amendment to the Companies Act in order to ensure speedy registrations of fresh startups will also lend a positive boost to the startup ecosystem. These positive moves will surely encourage the entrepreneurs wanting to establish themselves as a key part of the economy.”
“It is a comprehensive budget covering various sectors and is focused on growth. With regards to IT sector to be more specific, few positive aspects are – thrive on innovation and patents from India, extension of SEZ deduction, increased focus on digital initiatives spend including rural areas are few things to mention. Though we will have to wait for more specifics, overall I think it is balanced budget. If government can emphasize on implementation of various schemes announced, it can be a real boost to our economy.” said Padmanabha Krishnamurthy CFO, Paladion Networks.
Apart form leading tech startups, Pankaj Bansal, Co-Founder and CEO, PeopleStrong HR Services Pvt. Ltd., a leading HR outsourcing, recruitment process outsourcing, and HR technology company has also welcomes budget 2016 saying, “The government’s nine pillars of budget are very interesting, especially the fourth pillar which talks about education, skill development and job creation.The government has hit the nail in the head by providing 8.33% employee provident fund (EPF) contribution towards new employees for three years and INR 1000 cr have been allocated towards it, This will not only promote employer to generate more jobs, but will also encourage employers to move towards professional employment. In India, approximately 85% workforce works in unorganized sector, this move from the government will hopefully reduce this number drastically.
It is amply clear that the government is serious about job creation as the Finance Minster, Mr. Arun Jaitley, announced the objective to skill one crore youth in the next three years . There is allocation of INR. 1,700 crore for 1500 multi-skill development centers across the country.
According to India Skill Report 2016 (released recently by PeopleStrong, Wheebox, and Linkedin in association with Confederation of Indian Industries (CII) and Association of Indian Universities (AIU)), which found out that tier two cities in India have a more employable population then urban cities, the announcement on skill development centers will be a great move in getting the youth employed. PeopleStrong along with CII, Wheebox and LinkedIn would soon make the first three centers live. It is a great pleasure to see that government is highly focused on skill development schemes.”