NOT Easy to Do Business
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| # | Submitted | User | IP address | It was | Sector / Industry | State / UT | City(desc) | Response-time of officials | Number of documents to be submitted | Availability of information about the process | Overall Rating | It was an attempt to | Other | The problem was | Other cause | Details of experience | Advice for others | Share my story with | Name | Contact no | Privacy Policy | Contact me | Display it | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 44 | 23 Nov 2016 - 19:41 | Anonymous (not verified) | 112.110.25.51 | Not Easy to Do Business | Skill Development | Delhi | New Delhi | 1/5 | 1/5 | 1/5 | 1/5 |
Trade outside state/ country Other |
Getting due payments cleared from the Government | Delay by the department even though I completed the procedure | Central government does not pay to the states and the state government does not pay to the service provider. And eventually when this happens state government officials seek undue advantages. | Let's gather and raise our voices. It may affect our businesses temporarily buy now that Modi government at the Centre is working selflessly, things can be expected to get better. | Both | Varun Gaba | 8800394950 | Profeasion.gaba@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Keep me updated about responses to my report and experience. | Yes | |
| 47 | 28 Nov 2016 - 12:47 | Prashant | 203.122.16.122 | Not Easy to Do Business | Media | Delhi | New Delhi | 3/5 | 2/5 | 1/5 | 2/5 | Register the business | Submitting the same document to different departments |
I did not know where do we start. The whole process took me about fifteen days, just to register a sole proprietorship. Now, I know it may not sound like a lot, but it is a lot when one circles a government office for two weeks, every single day. Every other day, they would ask me for a different document. Then, they would direct me to another desk, where the same procedure was followed. I was never asked for a bribe, but in retrospect, I wouldn't have minded if I paid a few hundreds here and there, if that meant my work would get done faster. There isn't even a proper parking space outside the offices. Thank god for Uber! One of the worst things about making rounds of these offices was that you had to wait there until your number or name is called for. I remember staying hungry for the first day. From the next day, my mother sent a tiffin with me! A lot of other people brought some food as well, so it was pretty apparent that they were accustomed to such a system. Lastly, I wish the system required less paper - not only for convenience, but also as a concern for the environment. It creates unnecessary hassles and wastage. How about starting an app, on which you can scan and directly send your documents? I think it would make everyone's work a lot more easier. |
Take loads of copies of all your documents when you go. Carry food. Try not to bribe them, in spite of how alluring it may seem! | Keep it Anonymous | Anonymous | 7767021676 | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
| 50 | 5 Dec 2016 - 18:26 | Prashant | 203.122.16.122 | Not Easy to Do Business | Retail | Delhi | New Delhi | 4/5 | 2/5 | 1/5 | 2/5 |
Register the business Register property Get permits and licenses under environmental laws Get building plan approved Get electricity connection Get water connection |
Confusing laws that say different things |
I have been running this shop in Jungpura for fifteen months now, after I moved to Delhi on the recommendation of my cousin. I had a big shop in Baroda, which I sold and came here, since the profit margins are better. Buying the place itself was not much of an issue. My cousin had scouted the location beforehand, and found a nice accommodation for me. Back in Baroda, I had a bigger shop, but it was unregistered. So I wanted to get everything done properly this time. I undertook various permissions, because I had a wide list of requirements for the store. The first day, I was made to run around a little, but found the people responsible for the various departments. The next day, I got my two sons to help me out- they had to miss a couple of days of work, but then, we were looking at the long-term profit here! I am not aware of the rankings and numbers you mention [about Ease of Doing Business], but I can tell you the ground reality. Is it difficult to start a new store? Absolutely. There are a lot of documents that are required for the procedure, but thankfully Aadhar completes most requirements. The officials were really nice people, and understood my plight as a newcomer trying to establish business in this town. They always told me the precise number of documents to bring, and occasionally gave me a cup of tea. By my experience, I know that the people themselves aren't bad, but the system itself is crippled. The officials are given a bad name for being very corrupt and inefficient, but I firmly believe that they are good people, who actually want to help you out set up your business. However, they face the same issues as you - they are bound by the same system as everyone else is. |
The officials are your friends. I saw a lot of people shout at them, so I recommend you to treat them like humans. Do not go armed with hostility, and I am sure they will get work done faster. | Both | Jimit Shah | 8460748664 | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
| 58 | 12 Dec 2016 - 12:44 | Anonymous (not verified) | 42.109.43.75 | Easy to Do Business | Disaster Management | Delhi | New Delhi | 5/5 | 3/5 | 3/5 | 4/5 |
Register the business Register property Get permits and licenses under environmental laws Get registration and licenses under labour laws File returns under labour laws, environmental laws, tax laws, etc. |
Working with the government was not half as difficult as I expected, at least that was my experience. There is some kind of prejudice against the government system. The hype about inefficient government is a myth. If your documents are in place, getting the work done at any government department is very easy. | Time might be an issue. The process would take some time and patience is required when you are starting your own business. | Keep it Anonymous | Anonymous | 9999558121 | saarang.agarwal26@nmims.edu.in | I have read and I agree with the Privacy Policy mentioned below | Keep me updated about responses to my report and experience. | Yes | |||
| 67 | 15 Dec 2016 - 12:55 | Prashant | 203.122.16.122 | Not Easy to Do Business | Hospitality | Delhi | New Delhi | 2/5 | 2/5 | 1/5 | 2/5 | Register the business | Other | Time taken to register and get licenses was longer | We have a restaurant in Vijay Nagar. It was pretty much easy for us to set up this business since we had the capital. We have a shop on the ground floor and we have a house above the shop in the same building. Back then the process wasn't online. Now my son says that the process of getting a food license and registering process of Delhi has gone online. It took almost a month for us to register the business and getting license to serve food. But my guess is getting permissions would have been more difficult if we would serve alcohol. | Start a business where you have no competition or likely to have less competition. If you are in the food business and you maintain hygiene then it is likely that customers will come irrespective of the price you charge. Have patience and faith if you want to start a business. | Keep it Anonymous | Anonymous | NA | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Keep me updated about responses to my report and experience. | Yes | |
| 76 | 16 Dec 2016 - 12:25 | Prashant | 49.204.110.82 | 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. |
Don't invest in Indian companies. | Keep it Anonymous | Anonymous | - | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | ||
| 78 | 16 Dec 2016 - 13:58 | Anonymous (not verified) | 203.122.16.122 | Not Easy to Do Business | Online sales | Delhi | New Delhi | 1/5 | 1/5 | 1/5 | 1/5 | Trade outside state/ country | Confusing laws that say different things |
Amazon operates in 13 countries worldwide. However, only amazon.in requires the seller to have a company registration certificate and a VAT certificate to even register as a seller. Make In India, my foot! Decided to sell on amazon.com. I'm very idealistic too. After reading all the replies on our website, I'm depressed and shattered. I don't think I can ever get myself to bribe someone. Don't have any connections too(even if I did, I don't think I would be very comfortable using them!). Feeling helpless at the moment- it shouldn't be this difficult to start a business, should it? |
Don't pay bribes! | Senior Department Officials | Rashid Naushad | - | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
| 82 | 16 Dec 2016 - 16:26 | Prashant | 203.122.16.122 | Not Easy to Do Business | IT | Delhi | New Delhi | 3/5 | 2/5 | 1/5 | 2/5 |
Register the business Trade outside state/ country |
Can’t find information |
I started an IT firm, but it fizzled out within two months. I shortly left the country, and am currently working in San Francisco. Here are the reasons why it didn't work out, and probably never will: 1) Over-demanding yet non-competent talent pool. Bad work ethics. So many graduates, but none employable. In contrast, in Phillipines, you have technically qualified people with no degrees who have tons of freelance work to show as their experience. 2) One employee stole our circuit designs and disappears. Another faked his qualifications. Another got run over while transporting one of our items, we gave compensation to his family but couldn't find the culprit. Installed cameras in trucks where between each state- the police ended up demanding something from truckers! 3) Accounting is really confusing and messy. Border between legal and illegal is very very thin. One of my over enthusiastic employee bribed the customs official and later asked for compensation from the company - imagine what kind of accounting magics you can employ to cover it up among extremely ambiguous and contradictory laws ? Most accountants are part time money launderers. If you are an honest soul, this country isn't for you- sorry, no other way to put it! 4) We imported materials. Customs took items worth double digit lakhs as hostage for stupid reasons. Not much problems in Phillipines or Indonesia. Don't even want to begin talking about the pain we had to go through to export stuff! 5) Clients (read: Scammers) who don't pay, drying up our cash flow. Our clients were renowned businesses in India. 6) Suppliers who take money upfront and don't deliver (read: scammers 2.0). Also renowned businesses in India. 7) Government tenders - bribes, very short notice, unrealistic conditions, money hold up. They expect us to maintain their servers when they don't even have electricity, and blame us for the results of this power outage despite giving recommendations to buy a backup generator. When will babus know the difference between IT and power companies ? 9) Insurance guys who had weird clauses only found in this country. Never trust them - this includes government insurance companies who expect something for validating claims 10) Regulations, Licenses, Permits, Certificates (read: babudom and bribery). Documentation and paperwork is cumbersome and demotivating. 11) Venture Capitalists don't have much funds (compared to Singapore or Canada), inexperienced and hate anything about hardware or technology based businesses (probably they are aware of how risky it was to start in India) - will only prefer e-commerce intermediaries and IIT mafias. The amounts they are willing to invest was less than what I saved working for 3 months in the West. |
Move elsewhere, India isn't the place to do business. | Keep it Anonymous | Anonymous | - | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
| 103 | 13 Sep 2021 - 13:06 | Anonymous (not verified) | 138.36.240.170 | Easy to Do Business | Bizrwcjcgg E | Bihar | New Westminster | 3/5 | 1/5 | 2/5 | 5/5 | Trade outside state/ country |
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Keep it Anonymous | Henrietta Larcombe | Iztct bszxit | larcombe.henrietta@googlemail.com | I have read and I agree with the Privacy Policy mentioned below | Keep me updated about responses to my report and experience. | Yes | |||
| 77 | 16 Dec 2016 - 13:51 | Prashant | 203.122.16.122 | Not Easy to Do Business | Manufacturing SME | Delhi | Noida | 2/5 | 1/5 | 1/5 | 2/5 |
Register the business Pay taxes |
Confusing laws that say different things |
There are various problems if one wants to start their own business in India. Firstly, the confusion of requirements to start business. Unless you contact a broker or a CA, you cannot get required certificates done. Secondly, taxation. There are whole lot of tax procedures which are too complicated. VAT, CST, Income tax, TDS- the list is endless. There are too many loopholes and too many things to take care of. Every month, the tax clerk comes to our office and takes 300 rupees just to ensure we are compliant and in no trouble, and gives his signature on our monthly VAT returns. If we dont pay him, it would atleast take 2 days of our time to get things done properly. |
Hire a good CA or a broker. Bribes are commonplace; don't be surprised if you're asked for one. | Keep it Anonymous | Anonymous | - | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes |