Startup Assam

Budget 2025 Updates:

• Revision of classification of MSMEs to include more businesses and companies under the purview of MSMEs.
• Micro-enterprises on the Udyam portal will get credit cards with a Rs. 5 lakh limit; 10 lakh cards will be issued in the first year.
• A new Rs. 10,000 crore Fund of Funds will be launched with an expanded scope.
• A scheme for 5 lakh women and SC/ST first-time entrepreneurs will offer term loans up to ₹2 crore over five years, along with online capacity building.

The Assam Government launched the ‘Startup Assam’ initiative to boost employment and drive economic growth. It aims to position Assam as Northeast India’s startup hub by fostering a strong entrepreneurial ecosystem.

Under the Assam Startup Policy 2017, the state established incubation centers to support 1,000+ startups in the coming years. The policy focuses on early-stage startup growth, job creation, and promoting a startup culture.

Objectives of Startup Assam

• To provide the required funding to enable incubators and startups in Assam.
• To develop a culture of entrepreneurship and problem-solving mechanism in the state.
• To enable the citizens to associate with startups and have a higher quality of life.
• To establish or set up state-owned business incubators.
• To facilitate the growth of a minimum of 1,000 new startups over five years.

Components of Startup Assam

Digital Startup Ecosystem

The Startup Assam portal and app create a digital ecosystem, providing entrepreneurs with easy access to infrastructure, incentives, and startup resources while connecting key ecosystem components.

State Owned Incubator

This initiative includes a state-owned incubator and supporting infrastructure to nurture entrepreneurship, offering startups access to mentorship, investment, and infrastructure support.

Funding and Other Incentives 

It provides funding support through various incentives encouraging entrepreneurs to transform their ideas into fully-fledged ventures.

Academic Intervention

It provides academic intervention to stimulate and inculcate the culture of innovation amongst the next generation of entrepreneurs by creating an environment for learning and experimentation from the early phases of education.

Benefits of Startup Assam

Under Startup Assam, the below benefits are provided to the eligible startups registered on the Startup Assam portal and have the My Assam Startup ID (MASI) recognition.

Digital Upgradation Subsidy

The government will provide a 50% subsidy subject to a maximum of Rs.1 lakhs for the purchase of computers, related software and hardware when the following conditions are fulfilled:

• The startup has the legal bill as proof of purchase.
• The purchase date in the bill should be after this policy notification.
• The self-attested note must be enclosed stating the use of purchased items and assuring items purchased will not be resold for a minimum period of one year from the purchase date.

Lease Rental Reimbursement

The government will provide a subsidy of up to 50% of the rental cost subject to a maximum of Rs.5 lakhs for a maximum of three years when the following conditions are fulfilled:

• The startup should employ a minimum of five people on a full-time basis.
• The startup has rented property for official purposes. It may cover rent paid to co-working spaces, incubators or shared spaces.
• The lease/rent agreement should be in the name of one of its directors or a startup.
• The startup is heaving the proof of rent paid through bank statements or receipts.

Power Subsidy

The government will provide a subsidy of up to 50% for electricity subject to a maximum of Rs.1 lakh for five years when the following conditions are fulfilled:

• The startup has received the electricity bill in the name of one of its directors or startup.
• Only the electricity bills generated after the notification of the Startup Assam policy are considered. A bill beyond 12 months will not be considered.
• The startup should have proof of payment of the electricity bill.

Startups operating out of co-working spaces, incubators or shared spaces are not eligible for this benefit.

Patent Filing Cost reimbursement

The government will reimburse 100% cost incurred for filing the patent, including filing fees, search fees, attorney fees and maintenance fees, subject to a maximum of Rs.1 lakh for filing a domestic patent and Rs.5 lakhs for filing an international patent. The startup can avail of this benefit only if it has MASI recognition and the following conditions are fulfilled:

• 75% cost is reimbursed after filing for the patent when the startup has a copy of Form 1, Form 18, Form 5, Application Filing Report (AFR) or other invoice receipts.
• 25% cost is reimbursed after the patent is granted when the startup has a copy of the patent certificate issued to it.

One-Time Incentives for Hiring Women, Transgender and Differently abled

The one-time incentive for hiring women, transgender and differently-abled persons of Rs.5,000 per person hired is granted subject to a maximum of Rs.1 lakhs for three years when the following conditions are fulfilled:

• The employee must be transgender, a woman, or a differently abled individual.
• The employee can be a director or founder of the company.
• The employee must be employed for a minimum of one year before the startup applies for the benefit.

Incentive for Entrepreneurs 

The government will provide a sustenance allowance of Rs.20,000 per month for entrepreneurs who float startups for one year. The entrepreneurs must fulfil the following conditions to claim sustenance allowance: 

• Entrepreneurs should not have an alternate source of income. 
• All entrepreneurs’ combined family income should not exceed Rs.1 lakh per month. 

Marketing and Promotion Assistance

The government provides 50% of the marketing and promotion costs incurred by startups for travel, listing fees for online and offline advertising, publishing marketing collaterals, in-store promotion, providing discounts, trade show participation, digital marketing, market research, etc., subject to a maximum of Rs.5 lakhs. The startups should fulfil the following conditions to claim reimbursement: 

• A detailed expenditure statement with copies of invoices/receipts of all expenses, including names, dates, events, etc., must be presented. 
• Regarding travel expenses, tickets or boarding passes must be presented.

My Assam Startup ID (MASI)

The eligible startups can apply on the Startup Assam portal to obtain My Assam Startup ID (MASI) recognition. The MASI is a unique ID granted to startups duly approved by the concerned authority. Startups with valid MASI are eligible to apply for Assam Startup benefits.

Eligibility For Startup Assam

The following companies/firms are eligible to apply and obtain MASI recognition from the Startup Assam portal:

• The company should be registered as a Limited Liability Partnership (LLP), One Person Company (OPC), private limited company or partnership firm.
• It should be a new company/firm or an existing firm not older than seven years.
• The annual turnover of the company/firm should not exceed Rs.25 crores.
• The company/firm must work towards development, innovative schemes, deployment or commercialisation of new products.
• The company/firm should be incorporated in Assam or employ at least 50% of its workforce in Assam.
• The company/firm should not be an extension or expansion of an existing business.

Startup Assam Registration

The application process for MASI recognition and Startup Assam registration is as follows:

• Startups will have to submit the application online on the Startup Assam portal.
• The Nodal Agency will recommend the application within 2-4 weeks and forward it to the Startup Council. The Nodal Agency can schedule a meeting or call with the startup if necessary. 
• The application will be presented to the Startup Council with recommendations for final approval and consideration. 
• The result will be published online and emailed to the respective startup.

Documents Required for Startup Assam

The startups have to submit the following documents while registering for startup MASI recognition:

• Certified copy of incorporation.
• Proof of innovation must be enclosed according to any one of the following:
  • Certificate of DIPP Startup India recognition.
  • The patent filed by the startup in the entity name, published in the Journal by the India Patent Office and the nature of the business being promoted.
  • The assurance letter or sanction of grant or funding by the government to the startup as part of a specified scheme to promote innovation.
  • Letter of funding issued by a private equity fund, angel fund, incubation fund,  angel network or accelerator duly registered with the Securities and Exchange Board of India (SEBI) that endorses the innovative nature of business.

When a startup does not have the proof of innovation mentioned above, it can submit a one-page note or write-up explaining the innovative nature of the business. The applicant may share the business plan with the letter on innovation.