How to Start an IT Company | From Idea to Reality

India is a country that has embraced technology and entrepreneurship. So, if you are looking for how to start an IT company, here is everything you must do it right.

 

Starting an IT company in India is not as hard as it sounds. There are many advantages to starting a company in India, such as the low cost of living, the availability of qualified IT professionals and skilled workers, and the opportunity to grow a business with a large population.

 

Steps to Start an IT Company in India

 

1. Research the Market
2. Select your IT Services
3. Register your Business
4. Apply for License
5. Open a Business Bank Account and Secure Funding
6. Set up your Office 
7. Hire the Team

 

Step 1 - Research the Market

 

Researching the market is a crucial step in starting an IT company. 

 

It helps you understand the industry, competition and customers. As a result, it will help you make better decisions about your business. 

 

There are various ways to research the market for an IT company in India:

 

• Conducting surveys with customers. 
• Doing online research on social media channels, blogs and forums.
• Conducting interviews with industry experts or people who work in related fields.
• Using research tools on the internet.

 

Once you have done your market research, it is time to assess your strengths and weaknesses and decide on the following:

 

• What kind of company do you want to start?
• Who will be the target customer for your IT service? 
• Who are these customers?
• What are their needs?
• How will these needs be met? 
• How much will this company cost to set up? 
• What type of services do you want to offer before setting up a company or creating a product?

 

In such a competitive world, it is important to know what the market wants before you start your own IT company.

 

Step 2 - Select your IT Services

 

When starting an IT company in India, there are many IT services that can be offered. 

 

These include:

 

• Web Development
• Software Development 
• Mobile App Development
• Digital Marketing
• Website Design 
• Graphic Designing
• Data Storage, Management and Backup Service
• Cloud Hosting Service
• Cybersecurity Service

 

The choice of the services that an IT company provides depends on the expertise of its employees and their availability. 

 

For example, if a company has a team of web developers who are experts in developing websites for small businesses, then it would make sense for them to offer this service to their customers as it is what they are already good at.

 

Step 3 - Register your Business

 

When starting an IT company in India, registering your business is a must.

 

Registering your business will not only help you to get tax benefits but also help you to establish your brand.

 

The registration process is simple and straightforward. Simply, fill out the form on your right to get in touch with an expert. 

 

They will help you choose the best business structure and apply for company registration online. Thus, you can easily register your business from the comfort of your home.

 

There are many reasons why you should register your business when starting an IT company in India.

 

It will provide you with a separate identity and help establish trust as well as credibility. 

 

You can also use this registration to get a PAN card, which will be essential for any financial transactions that you will do later on.

 

Step 4 - Apply for License and Certification

 

The licenses required for IT companies are divided into two categories: mandatory and service based.

 

The mandatory licenses include the following:

 

• GST Registration
• Shop and Establishments Act Registration (For office premises)

 

The service-based licenses will depend on the services you choose to provide. Therefore, once you decide, get in touch with our expert and they will help you to get all the licenses required in that case.

 

In fact, applying for these licenses will provide you with a lot of benefits. 

 

You can start your company without any fear that it might get shut down. It will also help your company to grow and expand in the future.

 

Though, the government has made it mandatory for every IT company to apply for a license before they start operating. 

 

But this does not mean that you cannot start your business if you do not have an IT company license. 

 

You just need to apply for one as soon as possible, so that you can be on the right side of the law.

 

Step 5 - Open a Business Bank Account and Secure Funding

 

Meanwhile, open a business bank account to keep a record of all your business funding and expenses. It will make the accounts easier and also keep your business and personal funds separate.

 

For this purpose, you can choose from the following banks best for business purposes:

 

• ICICI Bank
• HDFC Bank
• IndusInd Bank
• Axis Bank
• State Bank of India (SBI)
• Bank of Baroda
• Kotak Bank

 

Once your bank account is ready, you can deposit the funds in it if you are self-investing.

 

Otherwise, here are a few options you can consider to get funding:

 

• Business Loan
• Venture Capital
• Angel Investor
• Private Equity Loan
• Borrowing from Friends or Family
• SMERGERS
• Startup India Scheme 

 

Startup India Scheme also known as DIPP Registration, is a really good funding option for IT companies. Thus, learn how to apply for DIPP Registration.

 

Step 6 - Set up your Office 

 

If you are new to the IT industry, setting up your office is a daunting task.

 

You will have to make sure that you have the right equipment and that it is all set up properly. 

 

The following are some steps to help you get started:

 

1. Determine which office space is best for you – whether it be a co-working space or an independent office.
2. Find out how much space you need and how much it will cost per month.
3. Figure out what kind of workstation, desktop or laptop, and other devices you need for your company.
4. Find out what internet speed, bandwidth, and connection type are necessary for your company’s needs.
5. Consider any special requirements, such as a printer or scanner that may be needed to run your business smoothly.

 

You need to consider a lot of things before you can set up your office.

 

You should also consider the cost, accessibility, and other factors like safety and security.

 

Step 7 - Hire the Team

 

To be successful in the IT industry, you need to have a team that is willing to work hard and has the knowledge and skills required for the job.

 

The team should be able to work together as a cohesive unit. 

 

It means that they are all on board with the company's mission, know how to collaborate with each other, and have an understanding of what is expected of them.

 

The team should also have a balance of skillsets. It includes people who are familiar with different operating systems, programming languages, and software.