How to Start a Local TV Channel in India ? [Form, License Cost, Investment, Profit]

How to Start a Local TV Channel in India ? [Application form for tv channel registration] Application Form, License Cost, Investment And Profit

Audio-visual media has developed a lot in the recent times. If you have an eye for a certain kind of entertainment programs, then you will find it on the television network. The television broadcast sector is rather complex. Only a person with technical know how will be able to understand the intricate tasks. A lot happens behind the scenes so that you can gain access to your favourite programs, with the push of a button.  It is possible for any person or company to establish its own television channel. Both government as well as private organisations can create and broadcast programs on their platforms. The popularity of private channels is more than that of government channels. Here you will get information regarding what one has to do to open and operate a television channel in India.

How to Start a Local TV Channel in India

What is a television channel?

The presence of a television channel is a must for entertainment. It is a virtual number or simply a broadcast frequency that offers a platform, where audio-video shows are broadcast. Several kinds of programs are crafted for broadcast on these frequencies. You can get news as well as entertainment content on these television channels.

How can one start a television channel?

Earlier, it was possible for any person or company to establish and operate a television channel. But in 2014, the Ministry of Information and Broadcasting had implemented some strict guidelines. If the interested company does not follow these guidelines, then it will not get the permission to operate the television channel.

Necessary net worth of channel owner

Only those companies will be allowed to open their own television channel, which possess a net worth of Rs. 5 crore. In case the company desires to operate a news channel, then it must have a net worth of Rs. 20 crore. Only those organisations, which fulfil the necessary requirements, will be able to apply for television channel licensing. To ensure the official seal, the company must start the news channel before the completion of one year, starting from the date of application submission. The company will utilise this time to gather technicians, journalists and other necessary teams. It is mandatory for the channel owner to keep all records of expenses. One can also prepare a business plan that will come in handy for running the channel smoothly.

Avenues to earn from the channels

After the television channel starts broadcasting programs, it is time for the authority to work out the way, which will bring in revenue. The main objective of most television channels is to make money. For this, the companies need to highlight their income sources. The primary revenue source for any television channel is by advertisements. The television channel owners will be able to sell slots to advertisers, and earn revenue. Another source of income is by broadcasting sponsored programs. One or more brands may be sponsoring the show. With the advent of the DTH connections, channels have another revenue source. The television channels can sell the programs to the DTH operators, and earn money.

Necessary tools and programs to operate the television channel

  1. To start the channel, the channel owner must create a list of programs, which will be broadcasted. The type and nature of these programs will depend on the agenda of the channel. The authority needs to take into account the nature of the target audiences as well.

  2. If the channel serves news, then the owners must construct a news studio setup. For other programs, necessary studio setup and filming must commence before the channel goes on air.

  3. Once the content is ready, the technicians will come to the forefront. It is not possible for one person to monitor the entire channel. There is strict division of labour and responsibilities. The technical support team will operate gadgets for broadcasting the show.

  4. The channel owners may shoot their own shows or down link content from another company. If the shows fail to keep the audiences hooked, then popularity of the channel will dwindle. It will have a direct effect on the overall revenue of the channel.

How to attain permit for the television channel?

The permit and registration of the channel depends on the type of content that the channel will broadcast. If the channel wishes to broadcast entertain shows, then it will have to apply for a registration accordingly. But the overall process is similar. Here are some steps that will help any interested person to apply for authorisation.

  1. All television channels must have an up-link hub. Without this, the channel authority will not be able to broadcast the shows. The channel owner or respective authority will have to fill in application form, where they must highlight the main agenda of the channel. Then the application will be sent to the Ministry of Information and Broadcasting.

  2. Once the ministry approves the channel up-link, then the channel owner will be able to broadcast shows in all parts of the country. To attain satellite links, the channel authority needs to get in touch with respective government agencies.

  3. Once all documents are in order, the channel owner has to submit all details regarding the shareholding partners.

New TV channel for a startup in budget 2019

Finance Minister Nirmala Sitharaman has proposed the launch of a television channel in Union Budget 2019. The main aim of the launch is to boost Indian startups. The channel will be launched only for the startups as this would be like a platform in which issues about capitalists and the factors hindering the growth would be discussed. This would be of immense help for the startups as they would be guided towards the right path that would help them to run their startups smoothly. 

However, the responsibility for running the television will be given to the startup runners only. The channel would come under Doordarshan bouquet channels. It would also help the owners of startups to know better about funding planning. So, media boosting will help startups to know the easy ways of growth.

Startup India scheme helped entrepreneurs

The initiate of Startup India scheme has been beneficial for thousands of businesspersons that included individual from scheduled caste and tribes. Finance Minister is of the opinion that by the successful implementation of the scheme, the entrepreneurs have been assisted in setting up and executing business plans successfully. Owing to this, the state finance ministry has decided to continue with the scheme from 2020 to five long years.  So, effective implementation of the scheme would help develop and prosper 75,000 social entrepreneurs in India. This would include 20 technology business incubators and 80 livelihood business incubators.

How innovative strategies will help startups?

Even if startups are running in loss, they will get facilities under two circumstances. Either there should be continuity of 51% of shareholding or 100% original shareholders will get power of continuity. Also, while investing, the startups will not have to give capital gains relating to the sale of residential property. This eligibility criterion will be given to the startups for an extended time of two years. The startups can also sale the benefits before or on 31st March, 2021. The minimum percentage of share capital has been relaxed from 50% to 25%. In case of transfer of assets, the time period has been reduced from 5 years to 3 years.    

In addition, the finance minister has proposed that in case of income tax filings, the startups in India will not be subjected to any kind of scrutiny. Both investor and other fund sources will be checked by means of e-verification in case of tax issues. 

Changing scenario of Indian startups

The Indian government has already made out ways that for improving the condition of startups in India. For the same, the government has promised to release funds for helping the startup owners. Finance Minister Piyush Goyal promised to provide an incentive to both startup owners and small business person that would help to simplify the condition of the entrepreneurs in India. Also, the government promised to achieve the idea of Digital India by 2030 that would include robotics and intelligence elements to simplify the works of the entrepreneurs. 

Therefore, by the successful launch of the above-said channel as proposed in the Finance budget would be of immense help for startup owners including small business enterprises to grasp better insight into the growth and promoting the business. The entrepreneurs can also gather adequate knowledge about tax planning and proper funding of their business.  

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