A business entity that qualifies as a start-up under these specific criteria has several key characteristics. First, it is an independently formed entity, meaning that it is not derived from a demerger, does not stem from a subsidiary, and does not hold or derive from a substantial stake in any other existing corporate body. In other words, it must be a newly created organization established to conduct financially sustainable business operations.

Second, the organization must have a business model that aims to generate revenue while contributing to the economy through job creation and value addition. This could be achieved by developing innovative products, offering unique services, enhancing existing business processes, or introducing new technology that disrupts traditional methods.

Third, the business must be in its early stages, with a lifespan of no more than ten years from the date of its official registration. This criterion ensures that the focus remains on supporting and nurturing younger enterprises that still need to establish themselves within their industry.

Additionally, the start-up must operate under a legal structure that is typically designed for smaller-scale businesses with growth potential. The acceptable forms include:

1. **Private Limited Company**: A business entity that is privately held and has limited liability for its shareholders, with restrictions on transferring shares and a limit on the number of shareholders.

2. **Registered Partnership Firm**: A business entity where two or more individuals, referred to as partners, agree to share profits and losses in accordance with a partnership deed. The partnership must be officially registered with the relevant regulatory body.

3. **Limited Liability Partnership (LLP)**: A hybrid structure that combines elements of partnerships and companies. LLPs offer flexibility in their management and operations while providing limited liability protection to their partners.

These criteria ensure that the start-up is legally compliant, has a structured framework, and is conducive to innovation and entrepreneurship. The focus on generating employment and adding value aligns with broader economic development goals, making these entities important contributors to the local and national economy.