The Scheme for Facilitating Start-ups Intellectual Property Protection (SIPP) endows start-ups with a lot of benefits. To begin with, the SIPP has recognized facilitators who are to assist start-ups in gaining intellectual property protection. The cost of the Facilitators will be borne by the Government. In a notice dated 08.06.2016 the Government issued guidelines to the start-ups with regard to the way in which they can choose a facilitator. For more information on how to choose a facilitator and the benefits of SIPP please refer to our earlier blog post.
The most important requirement to avail the benefit of SIPP is to first gain recognition as a start-up.
How to register as a Startup?
Determine if your entity meets the criteria set out for being recognized as a startup. The following entities can claim recognition as a start-up:
*An entity registered under the Companies Act, 2013.
*An entity registered under Section 59 of the Partnership Act, 1932.
*An entity registered under the Limited Liability Partnership Act, 2002
(Please note that a public limited company does not qualify as a start-up)
Determine if your entity meets the following requirements-
*Has a turnover of lesser than 25 crores in the last 5 financial years.
*Is working towards innovation, development, deployment, and commercialization of new products, processes or services driven by technology or intellectual property.
*Lastly, a legal entity will be identified as a startup only until 5 years from the date of incorporation.
Procure any of the following documents:
1.A recommendation in a format specified by DIPP from an incubator established in a post-graduate college in the country; or
2.A letter of support from any central or state government-funded incubator to promote innovation; or
3.A recommendation in a format specified by DIPP (with regard to innovative nature of business) from any incubator recognized by the Central Government; or
4.A letter of funding of not less than 20 percent in equity by any incubation or angel fund/PE fund/accelerator or angel network duly registered with Securities and Exchange Board of India that endorses its innovative nature of business; or
5.A letter of funding by the Central or State government as part of any scheme to promote innovation; or
After procuring the required above documents, you can claim benefits under the SIPP Scheme for filing patents, trademarks, designs of your start-up, and you can easily approach Intepat for pro-bono services.
Further, you may also interested to read Intellectual Property Scheme for Startups.
In addition to the SIPP scheme, you may also consider filing an application for start-up recognition here: https://www.startupindia.gov.in/content/sih/en/startup-scheme.html to obtain a certificate from the Inter-Ministerial Board of Certification for Tax benefits.