The definition of a Startup for the purpose of various support initiatives under the PRIME (Promotion and Incubation of Market-Driven Enterprises) programme is as follows.
- The date of incorporation, registration, or date of commencement of commercial production/operation is not prior to seven years.
- Its annual turnover does not exceed INR 25 crore, for any preceding financial year.
- The Startup should be working towards innovation/ improvement of existing products, services and processes and should have the potential to generate employment/ create wealth.
- It is registered in Meghalaya or employs at least 60 percent of its total qualified workforce from Meghalaya which shall not include contract employees.
- Such an entity is not an extension of the existing family business or formed by splitting up or reconstruction of a business already in existence.
- Startups can have the form of any registered or unregistered entity, as long as the entrepreneur has the intention to formalize and incorporate the business in a reasonable timeframe so in order to adhere to the recent eligibility criteria for Startup recognition under Startup India (Invest India).