NOT Easy to Do Business
|20||16 Nov 2016 - 14:54||Anonymous (not verified)||184.108.40.206||Not Easy to Do Business||Development Sector||Bihar||Muzaffarpur||1/5||2/5||1/5||1/5||Other||NGO Registration (Social Enterprise)||Confusing laws that say different things||
I am from Muzzafarpur, Bihar. I recently started a new enterprise in the Development Sector. I tried to register a NGO (Social Enterprise). I would say that the services provided in terms of registering the NGO are not at all time bound. It could take any amount of time to get your NGO registered. More over, my experience was that there is no sense of accountability when it comes to the government procedures related to starting up a business or an enterprise.
My advice to other people who want to have their own start ups would be that, since it is very difficult to start a venture in Bihar or even invest in Bihar, you should get your organization registered in any other state but not Bihar.
|26||16 Nov 2016 - 17:27||Anonymous (not verified)||220.127.116.11||Not Easy to Do Business||E-Commerce||Maharashtra||Mumbai||1/5||1/5||1/5||1/5||Register the business||Confusing laws that say different things||
I tried to set up an e-commerce firm myself in Mumbai. The whole process was just a big headache. You don't understand who is going to look after your concern as people are mostly busy with their own personal schedule and they don't even listen to you or have the time for your concerns or doubts. If you have to get your work done, you have to wait for them to get free and eventually bend a little and be extra buttery to ask them to do your job. When they start doing your work, they would ask you questions in Marathi and that's the most irritating part if you have to register your start up in Maharashtra. Come on, you have to be kidding me, asking me to do something in Marathi! I got the form in English, and Marathi is never simple to comprehend. They use terms in the form and expect us to know the terms. Had we known those terms, we would have not asked for their help.
Get someone to get your work done. Take a Charted Accountant’s or a lawyer’s help. You would forget about who you are when you step into the mess they are into. The lawyer or the Charted Accountant would handle everything for you.
|44||23 Nov 2016 - 19:41||Anonymous (not verified)||18.104.22.168||Not Easy to Do Business||Skill Development||Delhi||New Delhi||1/5||1/5||1/5||1/5||
Trade outside state/ country
|55||9 Dec 2016 - 14:42||Prashant||22.214.171.124||Not Easy to Do Business||Agriculture||Maharashtra||Sangli||1/5||3/5||1/5||2/5||
Register the business
Get building plan approved
Get electricity connection
|74||16 Dec 2016 - 11:39||Prashant||126.96.36.199||Not Easy to Do Business||IT||Maharashtra||Mumbai||1/5||1/5||1/5||1/5||Register the business||Corrupt officials who asked for bribes||
1) Bribe to complete registration of proprietorship. Didn't have to give bribe for registration of private limited company thankfully.
2) No clarity on taxes. For example, when you pay someone for a service, you have to cut 10% TDS. Now, if that person is Amazon and they are a MNC with offices in India and you pay them for their servers - do you deduct TDS? Amazon wants full payment. I talked to a dozen CAs and even a friend of mine in Indian Revenue Service, all of them had no clue. But they suggested me to pay the TDS just to be safe. So I had to pay Amazon the full amount and then 10% on top of that to Dear Govt of India. 100s of scenarios like this with no clarity.
3) Investment laws are a mess. Angel investments go straight into books of account as income and are taxed. God help you if you ever receive a FDI, I finally returned the money to the investor (it was 5 lakhs), as the amount of running around I had to do was not worth it for that small amount.
4) Terrible legal system- it's effectively a joke. An acquisition for one of my products fell through because the acquirer didn't want to make disputes subject to Indian jurisdiction in the contract because, in his own words, "the Indian legal system isn't held in very high regard here (Australia)"
5) High cost of doing businesses. My gateway charges a 5% premium (so 3%+5%) for Indian businesses, because of the increased costs of operation. So, while an American company can charge only 3%, I have to settle for 8%.
So many other small little things - it's like death by a thousand cuts.
|75||16 Dec 2016 - 12:06||Prashant||188.8.131.52||Not Easy to Do Business||Steel||Delhi||Gurgaon||1/5||1/5||1/5||1/5||Register the business||Submitting the same document to different departments||
Government offices are a massive, massive pain to deal with. Even a bigger pain is dealing with the officials. Huge lines, obscure offices, forms that sometimes exist and sometimes don't, always angry and lethargic staff.
My co-founder and I spent an entire day collecting random forms, but in the end gave up and paid 5k to a clerk who got the job done within an hour.
|76||16 Dec 2016 - 12:25||Prashant||184.108.40.206||Not Easy to Do Business||Investment||Delhi||New Delhi||1/5||1/5||1/5||1/5||Other||Investment was troublesome||Confusing laws that say different things||
As an NRI, I invested 5 lakhs in 2005 in an infrastructure fund in 2005. Due to US compliance, it was very cumbersome to keep it functional. I was in India for the last two months and was not able to liquidate it due to one excuse or the other- first it was getting documents from all corners, and then demonetisation.
Excuse 1. Signature does not match.
Excuse 2. Your application does not mention what type of bank account you have. (A cancelled copy of the cheque was attached, and it clearly stated it is a savings account)
Excuse 3. ID not attached. (Copy of PAN number was filed with the application)
So my money is stuck for another year at least.