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Prosper planet pulse
Home»Startups»CII releases corporate governance charter for startups
Startups

CII releases corporate governance charter for startups

prosperplanetpulse.comBy prosperplanetpulse.comApril 28, 2024No Comments2 Mins Read0 Views
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NEW DELHI: Industry body CII on Sunday announced the launch of a Startup Charter seeking voluntary recommendations on corporate governance, taking into account the unique nuances of governing startups.

The Corporate Governance Charter also provides guidelines suitable for startups based on the specific stage of the startup’s lifecycle.

“This Charter only covers entities established under the Companies Act 2013, hence the term ‘start-up’. However, sole proprietorships, limited liability partnerships, and entities in the nature of partnerships may also adopt similar structures/guidelines regarding corporate governance. within the organization,” the Confederation of Indian Industry (CII) said.

The purpose of this Charter is to help start-ups become responsible corporate citizens and to help start-ups share this Charter with their stakeholders to ensure they are well-governed. The paper states that this is to be done.

R. Dinesh, President, CII, said that by adopting good governance practices early, startups can create long-term value, gain stakeholder confidence, improve funding from investors and banks, and reduce dependence on promoters. He said tangible and intangible benefits such as mitigation and effective organizational structure can be obtained. Your business has a better chance of long-term survival.

He hoped that the governance charter for startups would enable early adoption of good governance practices among startups and help them evolve into tomorrow’s leaders.

Kunal Bahl, Chairman of CII National Startup Council and Co-Founder of Titan Capital & Snapdeal, believes that good corporate governance from the early stages of startup is essential for startups to become part of the corporate world over time. He stated that it is important to incorporate the philosophy of It inherits the DNA of the organization and helps guide and guide the startup and all its stakeholders through different stages of growth and evolution.



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