Since the launch of the Startup India initiative in January 2016, the number of recognised startups has crossed 2.23 lakh as of 31 March 2026, generating more than 23.36 lakh direct jobs. In the financial year 2025–26 alone, the government recognised more than 55,200 startups, the highest number in a single year since the launch of the initiative.
Qualities for a startup
“Startup is just the beginning. Scaling up is the real game,” says Paneerselvam. He emphasises that every startup should have three basic qualities. First, it must identify a genuine problem and develop a product or solution. Second, there must be a market for that solution where people are willing to pay for it. The third, and most important, is scalability. This is where many startups struggle. Founders often try to manage every aspect of the business themselves, but sustainable growth requires knowing when to step back and bring in the right expertise. Ultimately, trust, delegation and the ability to leave specialised tasks to experts are what help transform a startup into a strong organisation.
Four M approach
But founders cannot build and scale alone. They need right guidance and that is where a supportive startup ecosystem can make a crucial difference. MeitY Startup Hub’s Four M’s fits perfectly in this place. Firstly, it provides Mentorship by connecting aspiring startup founders with experienced business professionals. Secondly, through market access, startups are able to identify customers, understand market needs, build customer relationships and eventually enter international markets.
The third crucial aspect is money. Startup Hub provides grants of up to Rs 10 lakh to students and innovators to develop their ideas into minimum viable products. For early-stage startups, the Start Hub also provides investments ranging from Rs 50 lakh to Rs 1 crore to bridge funding gaps. Finally for manpower, support is offered to connect with skilled and talented individuals through colleges and other institutions. “The first 1000 days are particularly important for a startup. Entrepreneurs can face significant financial and personal pressure during the early years, especially when they have left stable employment to build a company.” pointed out Paneerselvam and this is where the four M’s come in very handy.
Startups will be job providers
The next phase of India’s startup and technology growth will require patient capital, stronger domestic capabilities and wider adoption of emerging technologies. Deep-tech sectors such as AI and semiconductors can take seven to ten years to mature, making sustained government and private-sector support essential. “Government initiatives such as the Fund of Funds and RDI Fund offer support. This must be complemented by greater participation from large companies and private investors,” emphasised Paneerselvam. Strengthening domestic capabilities, particularly in semiconductors, will also help build supply-chain resilience, with opportunities spanning chip design, fabrication and packaging. “India’s immediate goal should be to build enough semiconductor capacity to meet domestic demand and eventually, become an exporter,” stresseds Paneerselvam.
Startups will play a larger role in Viksit Bharat 2047, not only through innovation but also by creating jobs, improving livelihoods and taking technology to underserved regions. This will require stronger startup ecosystems in Tier-2 and Tier-3 cities such as Madurai, Coimbatore and Theni. At the same time, greater collaboration among government, industry and educational institutions can ensure that students develop practical skills, problem-solving abilities and the adaptability needed for a rapidly changing workplace.
