Tag business

How Mentorkart is Taking India by Storm

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Mentokart is a tech based mentoring platform that provides plenty of specialized mentorship programs not only for students but for working professionals and entrepreneurs as well. It is a Delhi based start up that was started in 2020 by Ashish Khare and SK Mohanty. The start up offers various programs such as live mentoring programs, goal based programs and a lot more. It has received funding by the veteran actor Ashish Vidyarthi.

Why is Mentorkart successful:

Mentorkart saw the need for mentors in the market and tapped this opportunity. It became famous for it’s unique coaching programs and it’s well experienced mentors. It provides live sessions with industry experts, one on one sessions with mentors and masterclasses which have contributed immensely to their success. Not only does it have a dedicated team who formulate various personal and professional goals for it’s mentees, it also has mentors who guide them with their wisdom and industry experience. It offers programs like student mentorship program, entrepreneurship program etc. It has mentors who have worked in Big 4 and fortune 500 companies. Currently, they have 40,000 plus mentees enrolled on their platform.

Funding for the mentoring startup:

The mentoring start up has raised 2,50,000 dollars in November 2021 through it’s extended round of funding. It has raised funds from various sources such as Let’s Venture and veteran actor and motivational speaker Ashish Vidyarthi. It plans to invest all the money into improving it’s technology capabilities, building news products and expanding it’s teams.

Other companies that also provide mentoring:

There are various companies that provide mentoring in various fields such as business, design, career etc. Some of the online mentoring platforms are iMentor which provides guidance to students coming from low income backgrounds so that they can graduate high school and college. Envelop is another platform that provides guidance and educational courses to performers and listeners in the music industry. It also conducts workshops to help out it’s mentees.

UNION BUDGET 2022 – What’s for Entrepreneurs?

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The pandemic has disrupted the world and our lives drastically as we knew it and changed the very course of living. After a two-year of pandemic life, things are slowly starting to look up, although a third wave is raising and business people are still hoping that the worst is behind us, and it is time for the entrepreneurs to make the necessary changes to move towards the other side of the world. If you are an upcoming entrepreneur take a glimpse at our latest blog!

A major problematic area for small and young businesses in India is the availability of working capital. For every entrepreneur, there must exist a hassle-free procedure to get paper works ready and sanctioning of loans required. As loans and finance procedures have to be eased for the start-ups and Micro, Small, and Medium Enterprises (MSMEs), which is the backbone of India’s manufacturing sector. The collateral-free business loans along with zero service fees make the finance part hassle-free for the set up for new entrants, and loans should be available at a very nominal rate of interest to the entrepreneurs.

The Union Budget 2022

The Union Budget 2022-23 presented on February 01, 2022, by the Finance Minister of India, Nirmala Sitharaman made fresh announcements for the start-ups in the country and provides ease of doing business for the start-ups and Micro, Small, and Medium Enterprises (MSMEs). For the Indian start-up ecosystem, the finance minister announced the extension of the tax holiday up to March 2023. The government also increased Emergency Credit Line Guarantee Scheme (ECLGS) from Rs 50,000 crore to Rs 5 lakh crore, which will help millions of MSMEs impacted by COVID-19 to receive support.

The interconnectivity of MSME platforms such as Udyam, e-Shram, NCS, and Aseem portals shall improve entrepreneurial opportunities and facilitate operability for small and medium businesses in the country. Let’s check out the major takeaways for Entrepreneurs from the Union Budget 2022.

1. Financing from NABARD

The budget for the year 2022 states to provide funds through NABARD to finance start-ups for agriculture and rural enterprise, relevant for farm produce value chain. The start-ups supporting food producer organizations, farm rental services, and IT-based support for Agriculture are eligible for funding under the scheme. Start-ups will also support FPOs and provide technological learnings to farmers for better crop management and promoting chemical-free, natural farming in the country.

2. Business 2.0

In order to improve the ease of living and business, the government has introduced the digitization of manual processes in this year’s budget. It includes integration of state and central units, and the removal of overlapping compliances under this scheme which shall encourage more investment in start-ups. Moreover, the policies rolled out will result in the extensive use of technology in building business across the country and have eliminated unneeded compliances and repealed laws.

3. Concession in Corporate Tax

There is an extension of concessional corporate tax of 15% till march 2024 for newly incorporated domestic industries and manufacturing units stated in the budget of FY’22-23. Moreover, this concession can bring parity between the surcharge for long-term capital gains which shall encourage more mergers and acquisitions, which is a wonderful step forward for Fintech start-up entrepreneurs.

4. Start-up Tax holiday scheme

Budget 2021 has extended the start-up tax holiday scheme to start-ups incorporated till March 31, 2023. As the number of new start-ups increased in 2021 for the first time in six years, the tax holiday extension can help to build a dynamic start-up environment in the country. Also, start-ups can avail of the exemption provided that annual turnover does not exceed INR 25 Cr in any financial year.

5. Budget allocated for Drone Shakti

Firstly, the Drone Shakti program stated in the budget shall be promoted to facilitate the use of Drone as a service (DrAAS) for varied applications. Secondly, in order to upskill the youth, required courses are provided regarding drones at ITI’s in several states. Finally, Kisan drones are to be adopted which shall be used to promote crop assessment, land record digitization, and fertilizer spraying.

6. Budget allocated for Defence R&D

The Defence Research & Development shall be unbolted for start-ups. With 25% of the amount to defence R&D allocated to private industries and start-ups in order to design and develop military platforms and equipment. This can boost the growth of technology provided by start-ups in the country as the earlier proposed Public-Private Partnership Scheme (PPP).

Conclusion

Although there is an extension of tax holidays to start-ups for another year, nearly 99% of start-ups that don’t have IMB certifications may not be eligible to avail of the benefits and do not address the core needs of start-ups. Also, when it comes to extending support to women entrepreneurs in the country, the Union Budget addressed very little, given the hardship faced by women-owned businesses. The existing start-ups who are struggling to survive don’t have much benefit coming from the new budget announcement by Union Government. The government should provide added support in assisting start-ups through policies and support mechanisms towards domestic capital participation. Measures have to be taken in promoting more women to become entrepreneurs by providing incentives to set up incubators, tax exemptions in FDIs, and relaxing taxes for start-ups.

The pandemic has taken a huge toll on start-ups in the country and, with the slowing down of the economy and lack of funding, the sustainability of start-ups remains a big concern. The provisions such as the extension of tax holiday and exemption of capital gains will certainly help to boost the investment in the start-ups. Lowering the compliance burden, reducing residency requirements, and setting up of seed fund corpus is a welcome move to encourage new start-ups in the eyes of entrepreneurs.

5 mistakes that young entrepreneurs must avoid

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To Err is Human! People often make mistakes in life and tend to learn from them. Life is never a bed of roses! Similarly, the entrepreneurial journey is full of trial and error which cannot be dodged. Making small mistakes in such a high cadre may cost one more than they might have imagined. But sometimes peers stop young entrepreneurs from making such mistakes which they realise sooner or later. Stated below are some of the mistakes pointed out by pioneers as these could be and should be avoided.

Trying to act too smart

Being an entrepreneur comes with great passion, consistency, stress and sincerity. Also, there is a small chance that entrepreneurs often tend to think, “only” they do the job well and others don’t contribute much towards the company. This is absolutely common but one shouldn’t act like they know everything and ignore others’ suggestions. This will never yield loyal and honest employees. Moreover, small businesses succeed only with teamwork so, one must always remember to include team members in any of their decisions. Being an entrepreneur, the person might know in and out about their product/service but one shouldn’t fail to split work between their group. So, if you are a young entrepreneur try to plan activities carefully well in advance and avoid these types of mistakes.

Entreprenuers waiting for customers to find them

“If we provide a quality product, customers will come” is a common belief among young and new entrepreneurs. Competition among businesses has gotten stronger but not the reverse, with the influence of social media and the internet. So waiting for customers to reach a business just by word of mouth is mere foolishness. Poor marketing and not spotting the target audience are some of the common mistakes that need to be avoided. Additionally, a business executive must try to contribute funds towards growing their customer base and conduct interesting campaigns by making use of digital platforms. One must not solely focus on digital, but broaden their business by concentrating also on the traditional marketing methods. Hence, one must assign a strong marketing team to find the right mix of target and passive audiences for a business. 

Choosing of wrong partners/investors

Investing at the right time is as important as not investing with the wrong team. Entrepreneurs must make sure that they never choose investors or partners who aim just at profits. Small business involves both downfall and success, a partner must be ready to stand with the firm in any of these circumstances. Moreover, young entrepreneurs must make a business plan and strategize their methods of income before relying only on their idea. If you are interested check out our blog on Funding. Also, one must calculate the actual funds required and the excess funds that they plan to have before involving the first set of investors. After all this process, one must be able to interact with the investors and find the best one who focuses both on growth and sustainability.

Focussing on growth only

Aiming at the goal is good but at times, an entrepreneur must try to jump into the shoes of their customers and have a look at their business. Firstly, One must consider their needs and alter their possibilities accordingly because the market functions in a customer-centric approach. Secondly, on aiming at growth, one must try not to experiment with things hastily without proper and sufficient research. Finally, young businesspeople must remember that small business stands strong on the foundation of various factors like customer base, marketing, pricing, customer relationship management, etc. 

Financial mismanagement in business

Managing one’s funds is equally important as one’s idea. Firstly, wasting money by investing too much in setup and workspace at the beginning leads to debts and failures. An entrepreneur must think twice before spending their money. So, one must keep an account of their expenditure and tax filings. Hence, bookkeeping, financial statements, projections and financing are the building blocks for a successful business. You can also refer to some books like The richest man in Babylon for more ideas.

Secondly, one must not allow everyone to handle their money. Thus business executives must allot trustworthy employees to keep an account of all these accounts because being stable is more important than growing exponentially. Finally, remember that there are many more real-time problems one might encounter but mustn’t give up due to a failure! 

Mistakes are common and can be avoided easily with professional guidance and by concentrating on minute things. But, the role of an entrepreneur in the economic development of a country is crucial. Also, one must never be afraid of their failure, every mistake is a path to success. In conclusion, each person must try to learn from yesterday to create a brighter tomorrow. Also, young entrepreneurs must step up with their ideas to contribute to Make in India and a better future. For more such blogs stay tuned with us!

But, but, what about Funding?

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Human beings are a unique set of creatures. What differentiates us from the rest of animal kingdom is our ability to think, imagine and visualize. Our brains have the capability to identify a problem and find very realistic solution for the same. And that is where, an overly used and sometimes mispronounced word “entrepreneurship” takes birth. Entrepreneurs are people who have the capacity to identify a visible or sometimes a hidden problem.

They not only throw light to it but also provide a very reasonable solution(s). In that case wouldn’t all of us become entrepreneurs? So, what are some of us doing differently? The most common answer we come up with to explain why we are not converting our million-dollar ideas to million-dollar businesses is in fact not an answer but a question.

“But what about funding?”

Through this article let’s answer that question. Albeit not a new piece of information, I hope the essay gives you a brief summary of a few ways you can possibly raise funds.

1.  Be Bold and Believe

If you have an idea and you know its epic, be the first one to invest in your business. I could put the sentiment in a dramatic way and quote, “If not you, then who”. Investing in your own company not only give you more control on business but it will also help investors to understand that you are serious about what you are trying to achieve.  It will ensure the investors that even if the business hits a bad month or two, you, the proprietor will work through the problems. Not to mention funding your own is least expensive in terms of cost and control.

2. Ask and ye shall receive 

If you do not have any way of raising money then you can always think about other sources. The most common one is asking your family or relatives. The major advantage here is that your family knows you well and it will give them assurance to invest in your business. And if your fear that you would lose control of the business to your relatives, you can always make and maintain contracts that would ensure clear and professional behavior where business is concerned.

3. Angels are Real

Before we understand, what an angel investor is, let’s get something straight and simple. An entity can fund you either through debt, equity or a combination of both. In case of debt, you will need to pledge something as an assurance that the person or institute funding you will not lose their money. You will have to pay back the funds borrowed plus a fee otherwise known as interest rate. But in case of equity, there is no collateral but the fund provider gets some kind of ownership position in the company depending on the fund given to the proprietor.

Angel investors are individuals who offer fund to start ups for a piece of the business. According to business news daily the percentage of business angel investors want in return for fund lies in the range of 20-25%.

4. Good old banks

Although banks wouldn’t be motivated to invest in your business at its incubation stage, it can and will provide funds for working capital against account receivables, inventory and so on. There are several schemes that will help you to receive funds from financial institution and this may vary depending on the nature of your business, the experience you have as an entrepreneur and the general atmosphere of the organization.

Understand that these are just some ways to raise money, now there are also platforms like crowd funding websites like kickstarter.com that can solve your fund related problems. At the end of the day if you really believe that you have the answer to an impelling problem then don’t let the hurdle “But what about funding” stop you from blossoming. Remember if the will is strong enough the way appears.