Private Limited companies are the most common and most fundable entity type for Indian startups, eligible for the full DPIIT Startup India recognition stack — SISFS grants (₹20 Lakhs grant + ₹50 Lakhs convertible debt), SIDBI Fund of Funds, three-year tax exemption under Section 80-IAC, self-certification under labour/environment laws, and 80% rebate on patent fees. The structure enables equity issuance, ESOP creation, FDI inflows, and is required by most institutional VCs and accelerators.