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Centre Revises Startup Recognition Framework

  • 07 Feb 2026

On 5thFebruary 2026, the Centre revised the startup recognition framework under the Startup India Action Plan to strengthen India’s innovation ecosystem and support the next phase of startup-led growth.

Key Points

  • Policy Reform Objective: The revised framework aims to create a more predictable, inclusive and future-ready policy environment while encouraging long-term investment in high-technology and research-driven sectors.
  • Higher Turnover Threshold: The turnover limit for startup recognition has been increased from ₹100 crore to ₹200 crore, allowing more growing enterprises to continue availing government benefits.
  • Deep Tech Startup Category: A new dedicated sub-category has been introduced for deep tech startups working in advanced and breakthrough technologies.
  • Extended Eligibility for Deep Tech: For deep tech ventures, the recognition age limit has been extended from 10 years to 20 years and the turnover ceiling raised to ₹300 crore to reflect longer gestation and higher R&D needs.
  • Inclusion of Cooperative Societies: Cooperative societies, including Multi-State Cooperative Societies registered under the Multi-State Cooperative Societies Act, 2002, and those registered under State and UT laws, are now eligible for startup recognition.
  • Focus on Rural Innovation: The inclusion of cooperatives is expected to promote innovation-led growth in agriculture, allied sectors, rural industries and community-based enterprises.
  • Lifecycle-Based Support: The updated criteria are designed to support enterprises at different stages of their growth as the Startup India initiative enters its second decade.
  • Consultative Approach: The revised norms were developed after consultations with stakeholders across ministries, departments and the broader startup ecosystem.
  • Boost to Innovation Ecosystem: The government stated that the new framework will expand access to benefits for research-driven enterprises, support deep tech innovation and strengthen India’s position as a global hub for knowledge-based entrepreneurship.