NOT Easy to Do Business
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# | Submitted | User | IP address | It was(desc) | Sector / Industry | State / UT | City | 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 | |
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20 | 16 Nov 2016 - 14:54 | Anonymous (not verified) | 203.122.16.122 | 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. |
Both | Krishna Gopal Singh | 9538540985 | socialworksocietyindia@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 | |
21 | 16 Nov 2016 - 15:07 | Anonymous (not verified) | 203.122.16.122 | Not Easy to Do Business | Travel & Tourism | Maharashtra | Mumbai | 2/5 | 2/5 | 2/5 | 2/5 | Register the business | Delay by the department even though I completed the procedure | I started my Travel and Tourism business in Mumbai, Maharashtra. It wasn’t easy for me start the business. I made an attempt to register my business and my experience of registering it was not at all a good experience. The information regarding the processes involved in registering the business is not at all lucid and clear. I had to wait in the queue for more than two hours until my number was called. And there was a coupon system in place and the coupons were available only until 11.00 am. To sum it up, getting my business registered wasn’t an easy task at all. | My advice to other entrepreneurs would be that please make sure you carry all the possible documents so that the process becomes simpler for you and you don’t have to go again and again or run from pillar to post to get your business registered or for any other procedures. | Both | Akshata Jathar | 9920331347 | akshatajathar57@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 | ||
25 | 16 Nov 2016 - 17:18 | Anonymous (not verified) | 203.122.16.122 | Not Easy to Do Business | Social Sector,Non-profit | Karnataka | Bengaluru | 2/5 | 2/5 | 1/5 | 2/5 |
Register the business Trade outside state/ country |
They keep asking me to submit some new document every time |
I helped to register a non-governmental organisation in the social sector in Bengaluru, Karnataka. The number of documents required to do the work was boggling, and very troublesome. It was quite a task to get a VAT certificate for our social enterprise. It took close to a year, as the process was lengthy and the officials kept asking for newer documents at every visit. |
An advice to younger entrepreneurs would be that if you are not ready to bribe the officials, you should be ready to go through a lengthy process to get necessary certificates and documents. | Keep it Anonymous | Anonymous | 9916967853 | nitin.anjaneya@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 | ||
26 | 16 Nov 2016 - 17:27 | Anonymous (not verified) | 203.122.16.122 | 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. |
Keep it Anonymous | Anonymous | 9820933429 | ramesh.joshi65@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
28 | 16 Nov 2016 - 17:39 | Anonymous (not verified) | 203.122.16.122 | Not Easy to Do Business | Media | Maharashtra | Mumbai | 4/5 | 3/5 | 1/5 | 3/5 | Register the business | Other | Requirement of a Broker | I registered my business in the media sector. Though the response time was pretty decent, I was surprised at the lack of information available anywhere on the internet about the steps you need to take to register a company. One of my main issues with the system is that it is essential to have a broker to speed up the process. I could not have done it myself without going through party. | My advice would be you will need a legal expert or some sort of broker who is well versed with the procedure of registering your company or business. | Both | Punit | 8080222210 | punit@mediasolutions.com | I have read and I agree with the Privacy Policy mentioned below | Yes | ||
29 | 16 Nov 2016 - 17:44 | Anonymous (not verified) | 203.122.16.122 | Not Easy to Do Business | Branding | Gujarat | Ahemdabad | 2/5 | 1/5 | 1/5 | 2/5 | Register the business | Other | Didn't know anything about bureaucracy |
In my opinion, it is absolutely not easy to conduct business in India. I tried to establish a brand that produces sunglasses in Ahemdabad, Gujarat. Aside from the total lack of information, I had to submit completely unnecessary documents. I fail to understand as to why my phone bill was required, when I’m already submitting another documents for address proof? I still don't know why they need so many documents. I did not have any foresight, and it was made worse by the bureaucracy at the government offices, where nobody really knew anything. I had to go to various offices and stand in the queue to figure out which document is required by which window. I also did not have a team, and thought I could do everything by myself - one can't fight the bureaucracy alone! |
I acted a bit prematurely in terms of starting a business, but I advise other budding entrepreneurs to establish a team from the start, and trust them. I thought I could run around and do the paperwork myself, but one requires legal help in establishing a business in this country for sure. You cannot do everything on your own even if you are of the idea that you know the procedures. If you want to excel in a certain sector, you need to know the sector in and out. | Media | Siddhant | 9033227176 | sjgupta010@yahoo.in | I have read and I agree with the Privacy Policy mentioned below | Yes | ||
30 | 16 Nov 2016 - 17:47 | Anonymous (not verified) | 203.122.16.122 | Not Easy to Do Business | Restaurant | Maharashtra | Mumbai | 2/5 | 1/5 | 1/5 | 1/5 |
Register the business Get registration and licenses under labour laws |
Can’t find information |
I had a lot of problems starting my restaurant in Mumbai. It was not easy for me to start my business. I tried to register the property, get permissions and licenses under the labour laws. My restaurant serves alcohol and even has hookah. So for me it was all the more difficult. I had to run from pillar to post to get my permits in place. I also had to pay bribe in order ‘to get things done’ at a faster pace. Apart from that once my restaurant started, I had to tip off the policemen in order to keep my business going. Or else for whatever stupid reason and probably an invalid one, my restaurant would have been shut down permanently. This is my experience in Mumbai and I am not aware of other cities in India. The customers, vendors and clients are also at times indifferent. They don’t feel any remorse in wasting someone’s time, energy and indulge in petty cheating at the cost of others. I am sure such instances take place abroad as well but the magnitude would definitely be significantly lesser. |
Be ready to grease the officials’ palms if you do not want any hindrances in the procedure of getting your business set up, registered and inspected. | Keep it Anonymous | Anonymous | - | rayleigh17@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
31 | 16 Nov 2016 - 17:52 | Anonymous (not verified) | 203.122.16.122 | Not Easy to Do Business | Financial Advisory | Maharashtra | Pune | 2/5 | 1/5 | 2/5 | 2/5 | Other | Filing tenders | Can’t find information |
I was told it would take five years for me to get a permanent certificate for my financial services company and until then a temporary certificate would be issued. I bribed Rs. 6,000 and got the registration certificate in three days. My father already had one manufacturing business and intended to open a new business. Since he did not have the time to run around for completing the formalities, we had to hire an accountant and he charged us Rs. 40,000. Like most of the other entrepreneurs, even I had experienced what it really meant to go to bureaucrats and experienced red tape. I had to go various people for ‘n’ number of signatures and stamps. There were so many corrections I had to make in multiple documents to get my company registered. I don’t think there is anything called as – ‘single window clearance’. My father had to set up a chemical plant and had to wait for a year to get environmental clearances. He also had to pay bribes along the way and despite wait for a year. How do we make in India if we are not allowed to make in India? There is no clear knowledge about how to start a company. Most of the people are of the opinion that a lot of money is required to start a company. I started my company with Rs. 8,000 out of which Rs. 6,000 was a bribe. Even if people have some really fascinating ideas, they don’t start a company because they think that it will cost them a lot. The tendering process of the government is flawed and corrupt. It is always given to people who are ‘known’ to the government officials. Once when we managed to get a contract on a fair basis because we really did quote low prices, we were called and blasted by an official. He asked us how we could take up the project when we had no clue about the place where the project was going to start. He finally introduced us to an agent who had taken care of all the previous people who had managed to get the contracts. This is my experience of Pune, Maharashtra. I have no clue how does it work anywhere else in the country. |
It doesn’t take a lot of money to start up a business. So don’t be hesitant if you are thinking about the money and finances are your only concern. | Senior Department Officials | Jason Richardson | - | slamdunk2003@yahoo.com | I have read and I agree with the Privacy Policy mentioned below | Yes | ||
32 | 16 Nov 2016 - 17:56 | Anonymous (not verified) | 203.122.16.122 | Not Easy to Do Business | Software | Delhi | Delhi | 3/5 | 2/5 | 2/5 | 3/5 |
Register the business Pay taxes File returns under labour laws, environmental laws, tax laws, etc. Other |
Acquiring another business | Submitting the same document to different departments |
I had a difficult time starting my software business in Delhi. I didn’t have to pay a bribe to register a Pvt. Ltd Company but had to pay a bribe to complete the registration of a proprietorship. There is no clarity on taxation. For example, when you pay someone for their services you have to deduct 10% TDS. I had no idea of any sorts if that person is Amazon or a MNC who have their offices in India and if I had availed their services did I need to deduct 10% TDS. Amazon demanded a full payment. I contacted a dozen charted accountants and even a friend of mine who is in the Indian Revenue Service. None of them had a clue. But all of them suggested paying TDS to be on a safer side. So I had to pay the full amount to Amazon and on the top of that 10% to the dear Government of India. There are so many scenarios where there is no clarity at all. Investment laws are a total mess. God help you if you ever receive a FDI. I received it once only to the return the amount of Rs. 5 lakhs. This is because the amount of running about I would have to do was not worth the amount. The legal system is terrible. If I may say, it is effectively a joke. An acquisition of one my products fell through because the acquirer did not want to make disputes subject to the Indian jurisdiction in the contract. In the acquirer’s own words – “the Indian legal system isn’t held in very high regard here” (in Australia). There are high costs involved in doing business especially in India. My gateway charges a 5% premium (so a 3% + a 5%) for the Indian Businesses because of the increased cost of operations. So an American Company charges only 3% whereas I have no option but to settle at 8%. There are innumerable other hassles as well. It is like a death by giving thousand cuts. |
Even in the software industry, regulations are very high. Be patient and prepared to wait for a while to get through. |
Keep it Anonymous | Anonymous | 02026634513 | director@siu.in | I have read and I agree with the Privacy Policy mentioned below | Yes | ||
33 | 16 Nov 2016 - 17:59 | Anonymous (not verified) | 203.122.16.122 | Not Easy to Do Business | Financial | Delhi | Delhi | 3/5 | 4/5 | 2/5 | 3/5 | Register the business | Other | Registration of name |
I did not find it easy to set up my financial enterprise in Delhi. It took us a couple of months only to get the name of my company registered. Every time I submitted a name, it used to get rejected without any known reasons. It was very time-consuming, taxing and unnecessary. Only this step set me back by three months at least. Getting the trademark registered was a problem because I had to go through a lawyer. I fail to understand why couldn’t I find all the information myself and do it independently without involving extra costs. An entrepreneur abroad can do these things independently without taking anyone’s help. I could have saved a lot of money if I knew the procedures. |
Consult some expert who will help you out legally and also in financial matters. I think that’s the only way out because I couldn’t do everything on my own. |
Keep it Anonymous | Anonymous | 9649860773 | ishan.techwiz@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | ||
34 | 16 Nov 2016 - 18:01 | Anonymous (not verified) | 203.122.16.122 | Not Easy to Do Business | Marketing | Maharashtra | Pune | 2/5 | 4/5 | 4/5 | 3/5 | Register the business | Can’t find information |
I tried to register a marketing firm in Pune, in order to kick-start my career. The process itself took hardly two weeks from when I applied, but it involved a lot of running around for my family. Since I am a resident of Delhi, most of my documents were back at home. Thus, my family had to post them. Fortunately, they arrived on time. But I had to submit two identification proofs, so I had to get a driving licence made within a month solely for the purpose of identification, since I did not possess an Aadhar or a voting card – I just had a my passport. One of the main issues I had was the lack of information that was available- which office do I go to. Can I register a name in Pune and use it later in Delhi? Which desk was I supposed to go to? What are the working hours? None of the information was available online, so my father suggested that I hire a CA to register it for me. After hiring the CA, the process was very smooth. I don’t understand why I had to hire the CA, though. This is the problem with our country- the requirement of middlemen to conduct business. I think this is the worst problem that hampers the conduct of business in our country- it should definitely be made easier for citizens to start a business if we wished to! |
Hire a CA or legal experts so that your processes of registering the business and other formalities are faster and smoother. | Media | Tushar | 8860456044 | tushar.madan@tmad.co.in | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
35 | 16 Nov 2016 - 18:03 | Anonymous (not verified) | 203.122.16.122 | Not Easy to Do Business | E-Commerce | Maharashtra | Mumbai | 3/5 | 3/5 | 1/5 | 3/5 |
Register the business Trade outside state/ country |
Submitting the same document to different departments |
The biggest problem is the lack of clarity in the process. I went to the company registrar's office and took a form, filled it and submitted it to the officer. He gave me 'n' number of reasons explaining why they cannot accept the form, and I was given a long list of documents needed for my form to be accepted. Now to get each of these documents, I had run around to different departments of the government. No one offered help at the government office, because they expected a bribe to solve my queries. I collected all my documents from all the offices to submit these documents to the same officer only to know another set of reasons why my form won’t be accepted and another set of documents to be submitted. At this point, I was so frustrated that I asked the officer why he didn’t tell me about these reasons and documents earlier. And he simply smiled and said, I forgot. There will be lot more things you experience when you visit a government office. The officer was busy with some government work, which he was not supposed to be given in the first place. So this is used as an excuse to not meet you but the real reason is that he somehow wants to extract bribe from you. The more frustrated you are, the more he earns. Government employees could find a million reasons to not deal with you or your issue, and there is nothing you can do about it. According to the standard government procedure one can complain to his higher officers but the higher officers are equal partners in taking bribe. All have defined what charges will be taken as a bribe when you want something from them. How do I know about this? I am a son of a government officer (not company's registrar, but another government department) and despite that I tried to register my company honestly. I know both the sides of the coin. My dad tried to fight this as an honest officer when he was young. He has to visit courts till this date because some senior officers framed him in the wrong case. The last case has been running for last 2 years. My dad tried to contact everyone he can above his officers but all told him to shut up and be part of the system or else he will be in jail for sure. If you ask me for a solution, then it's done already in passport offices. TCS is running that department amazingly. The process is exactly described on their website. No local laws affect that procedure. And your turn is decided once you register online. You will surely be able to finish with the procedure in 1 or 2 hours. You know exactly what is needed before going to that department. |
Don't plan on doing business in India. Move abroad! |
Senior Department Officials Keep it Anonymous |
Sanjay Gedam | 8652786590 | gedamsanju@yahoo.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
36 | 21 Nov 2016 - 12:10 | Prashant | 203.122.16.122 | Not Easy to Do Business | Passport | Maharashtra | Palghar | 3/5 | 2/5 | 3/5 | 3/5 | Other | Obtaining a passport | They keep asking me to submit some new document every time |
Doing business in India is like travelling on a road with multiple roadblocks. Every hurdle has to be crossed in order to reach your destination. Unnecessary & excessive laws hamper business growth. Time consuming approvals required at every step.(1) As an example, Indian passport applicants in Palghar district of Western Maharashtra are asked to bring one witness(2) who is not a relative and should reside in the same building as the person who wants a passport. Does such a rule even exist? No such law is clearly mentioned on Passport Seva website(3). So, an applicant has to visit the Passport Seva Kendra (PSK) with original documents, then again to Police Station with same original documents and also the witness from same building. Why can't both be integrated? Also, laws need to clear cut for valuable documents like a passport. Any genuine entrepreneurs, small businesses or solo travellers in Palghar district may not be able to expand their journeys, if they can't bring witness from same building. In my opinion, this is just ridiculous! One shouldn't have to go through such pains to obtain a passport. And even if the procedure is a little lengthy, they should at least mention it clearly on the website. (1): http://economictimes.indiatimes.com/news/company/corporate-trends/licence-raj-replaced-by-time-consuming-approval-raj-biocon-cmd-kiran-mazumdar-shaw/articleshow/53490079.cms?from=mdr (2): https://pbs.twimg.com/media/CpQ2_2dUMAE70RB.jpg (3): http://passportindia.gov.in/AppOnlineProject/online/faqPoliceVerification |
Patience is required. The Indian bureaucracy will frustrate you! | Senior Department Officials | Turbasu Chatterjee | 9987654687 | tarbasuchatter@hotmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | ||
37 | 21 Nov 2016 - 17:53 | Prashant | 203.122.16.122 | Not Easy to Do Business | IT | Karnataka | Bengaluru | 2/5 | 1/5 | 1/5 | 1/5 | Register the business | Can’t find information |
Everything is difficult if you are starting from scratch to set up a business. • Finding office space: Not everyone has big enough a house or circumstances to incubate the organisation at home. • Something as simple as commuting: It is hazardous to drive, and arduous to take public transport. • Government policies/banking system: Something as simple a company formation - if you got for private limited model, the Registration Of the Company expenses require a fair amount. Cheaper option is to register company under partnership act (only if you have a friend who is a CA/CS/Lawyer and will help you out). Again, if your company is under partnership firm, banks won't give out unsecured loans/ credit cards to you/ your employees. This is the reason many good and hard working employees can leave the job with your company and go anywhere else where they get better facilities. • No regard for Intellectual Property Rights or its implementation: Almost illiterate cops or Economic Offences Wing Officials dare not bothered about whether stealing/copying code/project plans/content is a big deal! • There are multiple overlapping compliance checklists that will take you ages to get a grip on. • Rampant corruption: To set up a meeting, to get anything registered, to not stand in the line for hours- every little thing requires a bribe to get your work done. This can go on forever. There is no way that we can ever reach the competence levels of foreign countries. I’ve lost hope in our system! |
It's a difficult process. If you have the time, money, and energy, you might just be able to start your own business. Hence you need immense patience till things fall in place. | Keep it Anonymous | Anonymous | 88189456876 | shrawanbanerjee@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
38 | 23 Nov 2016 - 17:52 | Prashant | 203.122.16.122 | Not Easy to Do Business | Education | Maharashtra | Mumbai | 4/5 | 3/5 | 3/5 | 3/5 |
Register the business Get electricity connection |
Other | Lot of documents required to register | Initial stage when one is trying out and testing out various other factors, the submission of documents for permission becomes a hindrance. Now with Adhar card, its better. Earlier, ration card, electricity bill, and so many other things were required. Also since none were photo-ids and processes were not computerized back then, it led to lot of corruption, too. | Documents are most important and one must be very meticulous in maintaining them. | Keep it Anonymous | Anonymous | 9833924637 | ajita_avc@rediffmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | ||
39 | 23 Nov 2016 - 18:05 | Prashant | 203.122.16.122 | Not Easy to Do Business | Hotel | Maharashtra | Murud Janjira | 2/5 | 1/5 | 2/5 | 2/5 |
Register the business Get construction permit Get registration and licenses under labour laws Get electricity connection Get water connection Pay taxes Resolve the court dispute Get through bankruptcy |
Other | Getting a license to serve alcohol was a problem | It was a tough time getting licquor licensed to put up a bar in the restaurant. It was a fight we fought for so many years | Follow your instinct and do a strong market study. Don't do what everyone is doing. In our time we were the pioneers in the business in our vicinity. However today, we are facing a lot of competition | Both | Kumudini Tavsalkar | 9769564269 | tanvi.tavsalkar@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 | |
42 | 23 Nov 2016 - 18:40 | Prashant | 203.122.16.122 | Not Easy to Do Business | Management Consultancy | Delhi | Hauz Khas | 4/5 | 3/5 | 1/5 | 2/5 | Register the business | Can’t find information |
Coming from the UK, the whole procedure went a little quicker than I expected. We hired a lawyer who handled all of the legal work. As per the experience, the lack of information regarding how to set up a business here is terrible. In the UK, every piece of information is on the government’s website, which makes the whole procedure very simple, whereas in India, it is so difficult to understand on your own! I would count this alone as a barrier to entry. Every step had to be explained to me by the lawyer or the accountant. And I had no option but to trust my lawyer. There are many grey areas regarding taxes and you don’t know surely what you need to do. Some of our clients are international and we receive certain fees for our expertise in dollars. Hence my accountant advised me to pay certain taxes since but he said it wasn’t a rule and I wasn’t sure whether I needed to pay that tax or not. The procedure could be set up online and that way it could be much easier and less complicated for people like me to go through the procedure. |
To newer entrepreneurs, I would advise you to pick out good lawyers and accountants, and trust them. They know this system best, and work very well with it. In India, such services are quite reasonable in terms of costs – back home; the legal fees alone are too high! Lastly, I’d advise them to get all their paperwork in order before they start, which would make the registration and paperwork a lot faster. |
Both | Laura Quinn | 98107 76929 | laura.quinn@doonething.in | I have read and I agree with the Privacy Policy mentioned below | Keep me updated about responses to my report and experience. | Yes | ||
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 | |
45 | 24 Nov 2016 - 15:35 | Prashant | 203.122.16.122 | Not Easy to Do Business | IT | Telangana | Hyderabad | 2/5 | 1/5 | 1/5 | 1/5 | Register the business | Confusing laws that say different things |
Bureaucrats are more often insensitive than not, and do not have the mentality of helping citizens. Rather, they have the mentality of making things as difficult as possible - they think their job is to make things more difficult for citizens. A lot of markets are controlled by guilds and associations of existing businessmen. They place a high cost of entry for new entrants, especially someone without connections in the business community. I experienced extortionate behavior by local working class people, goons, thugs and small time politicians/crooks. Bribes on the preface of "donations" for 100 different religious festivals a year are taken. There is a total lack of rule of the law and lawlessness. It is a utter failure on the part of the police and judiciary since they do not have the capacity to dispose cases in a timely manner. One needs to be careful and look out for extortionate,fraudulent and deceiving behavior by lawyers and some Charted Accountants. |
Hire a good and trustworthy lawyer/CA who has experience in dealing with bureaucrats. They are also well-versed with the processes and procedures of the laws related to a start-up. | Keep it Anonymous | Anonymous | 77898764578 | advaygoyal52@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
46 | 24 Nov 2016 - 17:02 | Prashant | 203.122.16.122 | Not Easy to Do Business | Labour | Karnataka | Mysore | 2/5 | 3/5 | 2/5 | 2/5 | Get registration and licenses under labour laws | Other | Labour issues |
For me the problem was dealing with the labour. The problem is that they deserve better, but I cannot pay them more than the market for the fear of being noncompetitive and losing business. But then they don't care much for the money they are paid. Timelines, work ethics, etc. mean nothing to them. But I don't blame them. Right now it's Modi ji's kripa. My business is dead for next few months. No new projects are going to come in, as people are going to hold onto their money now especially if their net worth is less now maybe due to black money, or maybe due to crashed property. The future is uncertain. This policy is really anti-small trade business. People like Ambani selling the daily essentials to common men will not be affected, since demand will never drop. Then, there is also the fear of being prosecuted for something you haven't done wrong. For example, not deducting the right TDS, or putting the wrong tax. Kejriwal had come out with a system of code for each item. Nobody implemented it! We do our work, but need to keep up with stupid compliances, which are subject to whims and fancies of illiterate politicians- most of whom haven't seen a business meeting in their lives, I am sure! It just takes up so much of your time. Harassment by officials is a valid and certain threat. |
Have contingency plans. Be prepared to run around offices, and be harassed by the ones who run them. | Keep it Anonymous | Anonymous | - | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | 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 | |||
49 | 30 Nov 2016 - 16:40 | Prashant | 203.122.16.122 | Not Easy to Do Business | Fishing | Andhra Pradesh | Vishakhapatnam | 2/5 | 1/5 | 1/5 | 1/5 | Register the business | Confusing laws that say different things |
There is a lot of competition in Vizag in the Fishing sector, since the coast is quite favourable for catching fish. Most of the locals just catch the fish for their own subsistence, while a share of them sell it. I decided to register my own company and sell the fish to Tyson, who would package it responsibly, and sell it across the country. I actually started my business before registering the company, and by the time I had enough of a hold in the local market, I applied to Tyson to be a supplier. However, they required me to be registered as an established supplier from Vizag, and to facilitate the same, I had to register my business. When I reached the office, I did not realise I lacked the necessary documents required for registration, so I had to come back two days later. At the office, they thankfully had a token system, and my number was called after three hours. At the counter, the person seemed quite surprised to see that I had applied for a fishing licence. To my surprise, he suggested me to skip this process and continue with my business! I had to tell him that I needed the licence to supply to an MNC, to which he understood. He aided me in the whole process, but it did take a lot of time - various departments required their own set of documents and clearances. In about two weeks, my business was registered, and Tyson bought my product a month later. |
There will be a lot of running around - even if the process is less rocky. I know of people who had to spend weeks running around the offices. Carry extra copies, the department office doesn't have a copier. And lastly, treat the officials well - they are more likely to get your work done if you treat them like humans! | Keep it Anonymous | Anonymous | - | 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 | |||
53 | 8 Dec 2016 - 14:57 | Anonymous (not verified) | 115.97.225.19 | Not Easy to Do Business | Hotel | Maharashtra | Thane | 2/5 | 2/5 | 1/5 | 2/5 | Register the business | Corrupt officials who asked for bribes |
My experience was not good at all in terms of starting my business. There are officials who will not ask for bribes directly but by the way the whole system runs and procedures are delayed for some or the other reason, you are left with no other option. The documents to be submitted were so many. It is high time that we go paperless and make it easier not only for the officials but also for us. It will reduce the time period as well. |
Government should not cheat people. Go with all the documents and carry extra copies of all the documents you carry. | Keep it Anonymous | Anonymous | 8828172217 | abhishek.kharpude@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
54 | 8 Dec 2016 - 22:04 | Anonymous (not verified) | 115.96.27.41 | Not Easy to Do Business | Education | Maharashtra | Mumbai | 2/5 | 3/5 | 2/5 | 2/5 | Register the business | Confusing laws that say different things | There are no clear laws. There are so many laws that say different things. There are conflicting issues. A layman or common man cannot understand the procedure by himself/ herself and will need a lawyer or some expert to deal with the whole process. | Planning in advance is a must. Carry all your documents with you. Carry extra copies with you to be on a safer side. And if possible hire a lawyer or a CA or some expert who can help you out and make the process simpler and easier for you. | Keep it Anonymous | Anonymous | 9821225821 | littleflowersbloom@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
55 | 9 Dec 2016 - 14:42 | Prashant | 203.122.16.122 | Not Easy to Do Business | Agriculture | Maharashtra | Sangli | 1/5 | 3/5 | 1/5 | 2/5 |
Register the business Acquire land Transfer property Get building plan approved Get electricity connection |
Other | Middleman, Corrupt Officials, Lack of information | Without a middle man no one can purchase land. From agents suggesting you to buy land to getting loans approved - everything requires a middle man. To collect each document on time you have to bribe the officials. It is their duty to issue the documents but you have to be flexible and bribe or else the procedure gets stuck. There is no one in these government offices to give you any sort of guidance. Even the information on court fee, stamps required etc. is not available. | Information about all the procedures should be available online and should also be displayed on boards in the government offices. The government officials are rude, sometimes confused themselves and not very approachable. You have to bear the brunt. Government officials should be polite, have the required knowledge about the processes and should be helpful. Carry all the possible documents and hire someone who is well aware of the government procedures. | Keep it Anonymous | Anonymous | 9222292281 | arvind.vetam@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 | |
56 | 9 Dec 2016 - 16:30 | Anonymous (not verified) | 42.106.53.253 | Not Easy to Do Business | Medical | Gujarat | Vadodara | 3/5 | 3/5 | 3/5 | 3/5 | Register the business | Can’t find information |
I have had 5 years of experience of helping my cousin in his medical shop In Vadodra itself. And I thought of opening my own. But it was not an easy task. I could not find any information about how do I go about it. It was quite difficult and a task to get my business registered. I had to consult a third party despite of having 5 years of experience. |
Think twice before you start a new business. Think whether you get profit from it. | Keep it Anonymous | Anonymous | 8141295566 | omsaimedical28@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 | ||
57 | 9 Dec 2016 - 17:05 | Prashant | 203.122.16.122 | Not Easy to Do Business | Laundry | Maharashtra | Mumbai | 3/5 | 2/5 | 1/5 | 2/5 |
Register the business Get permits and licenses under environmental laws Get registration and licenses under labour laws Pay taxes File returns under labour laws, environmental laws, tax laws, etc. |
Can’t find information | There is no guide book which can direct you to do things. The procedures and processes are complicated. This leads to unnecessary waste of time and a hole in your pocket. The laws are confusing and one has to research a lot beforehand. | Kindly do a good research of what all is required and where you can get them, it might help. Hiring a lawyer or an expert is utmost advised. | Both | Akshay Karkhanis | 9930754656 | mailaku.akshay@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 | ||
59 | 12 Dec 2016 - 16:35 | Anonymous (not verified) | 49.34.203.243 | Not Easy to Do Business | Service Industry | Gujarat | Vadodra | 1/5 | 1/5 | 1/5 | 1/5 | Register the business | Corrupt officials who asked for bribes | Obtaining an authorized licence from government department means you have to compromise on your values of honesty and seek support of/ obtain help from corrupt government officials who have every rule in their book to extract bribe from you and they will see to it that the strings are in their own hands. You are mere puppets in their hands. The problem is actually the lower level government officials who give reports and file notings to top officials who act on those reports depending on their staff which makes it a must for the businessmen to have a good rapport with these junior staff members. It would be a welcome step if officials find out the reality instead on depending on notes of his dealing clerks. | Avoid doing business which involves taking permissions and licenses from government authorities. | Senior Department Officials | SUNIL JATHAR | 8488934129 | sdjathar@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 | ||
60 | 13 Dec 2016 - 10:51 | Anonymous (not verified) | 1.186.60.46 | Not Easy to Do Business | Service | Maharashtra | Mumbai | 3/5 | 3/5 | 3/5 | 3/5 | Get registration and licenses under labour laws | Confusing laws that say different things | I am an auto driver, I own the autorickshaw and I also have the permit. I am doing this business since almost three decades. It was not so easy to start as you have to understand the laws of RTO. To get the permit for the autorickshaw is a difficult task. You have to run around and make sure you show your face to the concerned officer everyday. But I would say that despite it is difficult you've to try your best to have your own start-up. | Get all the information first and then start your business. A bit of research is required before you start your business. | Keep it Anonymous | Anonymous | 9892792055 | heenathakker0509@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
62 | 14 Dec 2016 - 14:46 | Prashant | 203.122.16.122 | Not Easy to Do Business | Media | Delhi | Gurgaon | 3/5 | 1/5 | 1/5 | 2/5 |
Register the business Trade outside state/ country |
Delay by the department even though I completed the procedure |
I set up my media firm in Gurgaon earlier this year. In short, it wasn't easy to start a business. I never intended to do everything myself- my dad had suggested that I hire a CA not only to handle my finances, but also finish up this procedure. But I wanted to see the situation for myself, so I decided to accompany him the first day. To my surprise, even my CA had employed someone to do the work for him. I followed this one guy around, who seemed to have undergone this process a thousand times - he was so unfazed by the sea of people around him. I lost him on a couple of occasions, but in one line or the other, we would be reunited. I asked him if he wanted me to stand in any line for him, but he refused, and told me he had a "setting" with the office people. After the first couple of lines, he used to just keep the documents on the clerk's desks, and way away, with no regard for the line of people behind him. Some shouted, some gave dirty looks. However, he was always unfazed. I was surprised at his lack of care for others, and we got done by lunchtime. A week and a half later, I had my permits and registration licences, and my business was ready to go. |
Hire a CA! Makes the job, much, much easier. | Senior Department Officials | Prashant Rastogi | 8821899840 | prashantrastogi67@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
64 | 14 Dec 2016 - 17:01 | Anonymous (not verified) | 122.178.204.191 | Not Easy to Do Business | Non-Profit Organisation | Karnataka | Bangalore | 2/5 | 2/5 | 1/5 | 2/5 | Register the business | Corrupt officials who asked for bribes | When I went to register my organisation, I couldn't find any information like what are the documents required, whom to approach in the office, what are the fee details (if any), what are the services given in this office, etc. All I could see were "brokers/intermediaries" who approached the clients/people, whomsoever was coming to their office and advising, directing, and doing documentation work and getting money (including bribes to be paid to government officials starting from peon to registrar). He was having a rate card - who will take how much and for what work. The rate varies from service to service. The brokers are influential enough to speak directly to the so called top officer namely "Registrar" in that office. It is a common scene in all government offices such as Regional Transport Office, Tehsildar Office, Revenue Office, Collector Office and even in Court premises. It is very difficult for a common man to complete his/her work in government office without these intermediaries/ brokers or middleman. Brokers are acting as one window system to complete your work in government offices. |
a) Government should get rid of all brokers/intermediaries from government offices. They should not be allowed to run shops near these government offices. b) Government should not allow intermediaries to roam freely in government offices. Why is the government allowing access to these middlemen/ brokers in government offices and access to government seal, computer, etc? c) Government should display "citizen charter" with more details, which can be understood by a common man. d) Like social audits, we should create "social anti-corruption squad'', where common people can enter into any office and search officials for any possession of money apart from his own. I understand it is not practically feasible, still, we need to create some kind of responsibility amongst government employees. Or any other way accountability can be assured. e) Why doesn't the government not talk about performance of each and every employee of the office. Like in private sector, we should assess employees' performance with more transparent ways instead of present practice like 'performance report by higher official'. All the government officials are out to cheat the common people. So, the performance of the employees should be output based and outcome based. For, example, how many files are seen by a clerk on one day? or how many certificates are issued by VAO in a month?, etc. f) What the employee unions are doing I don't understand. In the old days, the employee unions were formed to strengthen the unity of the employees against their bosses. But today, these employee unions (government) are threatening the bosses. It is a good thing that they are joining hands for their rights. At the same time, they should think about how they are giving service to its people (for which they are getting paid). Are the unions taking actions against its employees, who are corrupt, not working properly, torturing the people unnecessarily, etc? If they think in such a manner, only then they have right to ask for a pay hike, employees rights, etc. g) I don't understand what the department vigilance commissions and anti-corruption bureau are doing. They only showcase the case when they catch the officers, after that, they are not showcasing the progress of the case to the public. How many people are really given punishments for their corrupt acts? |
Both | Senthil Nathan | 9566234440 | brahma.senthil@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 | ||
65 | 14 Dec 2016 - 17:12 | Prashant | 203.122.16.122 | Not Easy to Do Business | IT | Delhi | Gurgaon | 4/5 | 3/5 | 1/5 | 3/5 | Register the business | Can’t find information |
I set up an IT firm earlier this year. My company was a small one, and we worked out of our house in Gurgaon, so we just had to register the company. The whole process for the category I was applying under was a digitised process, so I was pleasantly surprised. However, I did have to go to the office to submit my documents - I didn't understand why couldn't that procedure be digitised as well! One could easily scan and submit the required PDF files. However, my main issue was the lack of availability of information. If someone has to start a business, a simple Google search should be helpful and enough. I couldn't find any information myself, so I had to call up another friend who had set up a similar business couple of years ago. However, from what he told me, the process has become much simpler, so kudos to the government on cutting the red tape - I just wish they would have advertised it better! |
Ask someone who has already registered business in the field, they should be able to help you out, or hire a lawyer who will make the process easier for you. | Senior Department Officials | Shyam Mohan | - | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
66 | 14 Dec 2016 - 17:40 | Anonymous (not verified) | 106.51.241.213 | Not Easy to Do Business | Media | Karnataka | Bangalore | 2/5 | 4/5 | 2/5 | 3/5 | Register the business | Corrupt officials who asked for bribes | Initially we tried to register our company ourselves. But the officials kept on delaying for reasons only known to them. Every time we went to the office to submit the documents asked to submit, we were asked for some different documents. Then we approached an agency and they were able to do the work easily. So we were not able to register by ourselves and had to approach a third party. |
For registering business, the process will be easier only when you approach some agencies or know some insider. Many agencies have come up with packages as the process is cumbersome. For example: http://www.legalwiz.in/private-limited-company?gclid=CJ2w8fjS89ACFc4SaAodUy4PAg is a website which is quite helpful in this regard. |
Keep it Anonymous | Anonymous | 9886918876 | ranjith@knappily.com | 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 | |
68 | 15 Dec 2016 - 13:19 | Prashant | 203.122.16.122 | Not Easy to Do Business | Farming | Maharashtra | Mumbai | 2/5 | 1/5 | 2/5 | 2/5 | Register the business | Other | Documentation was a headache | My experience was not good. I have a farming related activity in Mumbai. Even in a city like Mumbai - city of dreams where people have so many aspirations, doing business is not that easy. Documentation was a big headache. Every time I had to submit some new documents. I had to bribe under the table to get my business registered. | I don't know what advice to give to others. I am new to the business. The only advice is get all your documents in place. | Keep it Anonymous | Anonymous | 9145510501 | 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 | |
70 | 15 Dec 2016 - 16:11 | Prashant | 49.204.110.82 | Not Easy to Do Business | Sports | Delhi | Gurgaon | 3/5 | 2/5 | 1/5 | 2/5 |
Register property Get permits and licenses under environmental laws |
Other | Laziness on the part of officers |
I opened a sports shop in Gurgaon, which unfortunately did not work. However, my experience was mostly a pleasant one. Unlike most people, I chose not to hire a CA, mostly because I couldn't afford to spend so much money on something that I thought could be done alone. Unfortunately, I was made to run around a fair bit on my first day. It was quite taxing, and just when I thought there could be some progress, they broke for lunch. Now, there is some sort of an unwritten rule at these government offices- lunch breaks shall last for about double the time they are supposed to last. The stipulated break was from 1 pm to 2 pm, but I couldn't spot anyone at the office till about 2:45 pm, and the counter only opened at 3 pm. So much for efficiency. I ultimately got my work completed a week or so later, but not without lots of effort and running around from my side. |
Patience is utmost needed, really. Carry copies. Don't bribe. | Senior Department Officials | Anurav | - | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | ||
73 | 16 Dec 2016 - 09:04 | Prashant | 49.204.110.82 | Not Easy to Do Business | Restaurant | Uttar Pradesh | Lucknow | 3/5 | 3/5 | 2/5 | 3/5 | Register property | Corrupt officials who asked for bribes |
My whole issue was not while setting up the actual business, but while conducting it here. I run a restaurant, and officials often come and ask for bribes. What would you do if a food inspector comes to your restaurant and demands a bribe for the inspection? If you don't comply he will file a report which claims he found 10 cockroaches at your facility, and shut you down until an investigation is completed. You don't have a choice. If you don't pay a bribe, you can't do business in India. Government officers won't even let you register your company or get basic approvals to function! |
Corruption is rife and necessary. Be prepared to bribe someone or the other. | Keep it Anonymous | Anonymous | - | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
74 | 16 Dec 2016 - 11:39 | Prashant | 49.204.110.82 | 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. |
It's a tough road, starting and conducting business in India. Be prepared for a lot of hardships. | Keep it Anonymous | Anonymous | - | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
75 | 16 Dec 2016 - 12:06 | Prashant | 49.204.110.82 | 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. |
Avoid spending your time and grey matter on running around, and hire somebody to do it for you. | Keep it Anonymous | Anonymous | - | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | 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 | ||
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 | |||
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 | |||
79 | 16 Dec 2016 - 14:12 | Prashant | 203.122.16.122 | Not Easy to Do Business | Education | Delhi | Noida | 2/5 | 1/5 | 1/5 | 1/5 | Register the business | Other | Customers |
People are unwilling to pay. Period. You can deal with all the bureaucracy, but what can you do if people just don't want to pay? Ad based model is not feasible for every product. Till now, I have mostly focused on the Indian market. I still think there is a huge opportunity. For example, consider admission process in educational institutes, their examination processes etc. Most of them are still manual and quite cumbersome. But like I said, to convince them to pay is quite a challenge. |
Costumers won't pay for your product, no matter how novel your idea. Even in a supposedly "free" market like ours, there is a lot of red tape. | Keep it Anonymous | Anonymous | - | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | ||
81 | 16 Dec 2016 - 16:10 | Prashant | 203.122.16.122 | Not Easy to Do Business | E-Commerce | Haryana | Panchkula | 2/5 | 3/5 | 1/5 | 2/5 |
Register the business Trade outside state/ country |
Other | Sustaining the business |
The one we're starting now is an e-commerce business for a niche consumer good. We want to share things about everything about the business; starting from how we decided on the product and the business model, about marketing and gaining initial traction. We're trying to figure out social media, even though we both are kind of shy on the social networks. We might have a lot of resources on startups from the US and other countries. But a fact of the matter is that starting something in India (as we've learned) is a different beast. We need to start discussing things in the open so that we can learn from each other. |
Plan well. Starting a business isn't the tough bit, sustaining it is. | Keep it Anonymous | Anonymous | - | 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 | |||
83 | 16 Dec 2016 - 16:59 | Prashant | 203.122.16.122 | Not Easy to Do Business | Property | Delhi | Noida | 3/5 | 1/5 | 1/5 | 1/5 | Register property | They keep asking me to submit some new document every time | Tranferring a property is perhaps the most painstaking procedure one can go through. I tried to transfer a property to my name, but it took me two months of waiting and running around to get it done. Unfortunately, that too they misspelled my name, but I'm not going through that hell ever again! It's very cumbersome and tiring. | Make sure you spell your name right. | Media | Divyansh Pandey | - | dpandey26@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
84 | 16 Dec 2016 - 17:08 | Anonymous (not verified) | 203.122.16.122 | Not Easy to Do Business | Clothing | Maharashtra | Pune | 2/5 | 1/5 | 1/5 | 1/5 | Register the business | Can’t find information |
In short, it was a nightmare. I tried to start a clothing brand late last year, thinking that I would conduct a fair business in Pune. I wanted to register my company legally, and pay my taxes duly, irrespective of how my business went. But after going through this procedure, I realised why people don't take the white route! It takes a ton of time to get everything sorted, and more so to roll out. Getting clearances from these babus was one thing, and sustaining the business entirely another. It seems like they have all the time in the world to harass us, but not to help us. I am thoroughly disillusioned with the state of the business sector in this country. Though my business is fairly successful now, I can never forget the hell I have been through to make it till here. I can only hope it is the not the same for others. |
Make sure you're wearing running shoes to the government offices, and try and keep a CA handy. | Senior Department Officials | Kavya | 9649860773 | kavvya.t@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
86 | 19 Dec 2016 - 20:15 | Anonymous (not verified) | 120.88.39.18 | Not Easy to Do Business | Construction Chemicals | Maharashtra | Mumbai | 1/5 | 1/5 | 1/5 | 1/5 | Register the business | Other | Being a non-technical person. | I I did not know abc of construction chemicals. But I was 100% confident that it was badly needed in India. I worked with the relevant manufacturer and gained experience in its application and technical aspects. I started trading of these items and developed intimacy with the users. I surveyed their problems and needs, participated in technical seminars, borrowed money and got factory premises on rent. Only then could I start manufacturing, hire technical consultants. I implemented emotional intelligent marketing rather than intelligent marketing and maintained public relations with family members of the buyers. I never compromised on quality and kept on upgrading to international standards. I adhered to uniform pricing all over India and delivery schedules. I treated workers of my factory on par with family members, always gave credit of my success to them and never depreciated their human values. Not knowing anything about construction chemicals made it more difficult for me to start but also made me learn a lot through the journey. It was a tough time starting a business from the scratch. Registering my business was not an easy task. It took longer than expected to get started. Patience is what you need. If you have the capital you could hire someone to get your registration or any other formalities to be completed before you start. | Compromise makes a good umbrella, but a poor roof. Sky is not the limit, but it is just a beginning. Never think of short term gain. I studied lives of people who failed miserably but reached at the climax of their fame. Patience is what you need before and also after you start your business. Also maintain the integrity and do not forget your struggling period when you started your business. A degree, I term myself, " master of common sense " is constantly followed. | Keep it Anonymous | Anonymous | 9702230404 | servoshield@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 | |
87 | 19 Jul 2017 - 13:33 | Anonymous (not verified) | 125.16.128.202 | Not Easy to Do Business | Sanitation | Uttar Pradesh | Varanasi | 2/5 | 1/5 | 1/5 | 1/5 | Acquire land | Can’t find information |
Under Swatchh Bharat mission, the municipal corporations are supposed to build and operate public toilets and community toilets. Even after identification of land, the allocation process is not very clear at district levels. The MC should identify land and make it readily available for interested parties to built and operate toilets by CSR funds. There is no clear mechanism/process/instruction how to apply for land for building toilets. hence it took us more than 6 months to get land. |
Under SBM, there should be clear process prescribed to MC for allocation of land for faster implementation of projects | Both | Abhishek | 7569505721 | kpanwars@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Keep me updated about responses to my report and experience. | No |