Friday, April 26, 2024

Is Costly Certification A Barrier In Kickstarting An Electronics Startup?

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With smart choices, you can beat certification hurdles and bring your startup dreams to life, minus the crippling costs.

Low-budget startups often hit a wall with high certification costs, causing most to abandon their dreams. So, is there really no way for a startup to go through a less costly certification process? Well, luckily, the answer is Yes. Here is how?

Recently, I tried to launch my next product and design in the US and European markets, rather than a Kickstarter and crowdfunding project campaign. One thing really struck me hard: the very high cost of certification for my board and design. As a working engineer, plus also trying to run a startup, it became impossible to carry out the certification on a low budget. Luckily and unknowingly, I followed the design process that gives a huge relief from this high cost of certification, and I thought many more like me may be facing the high cost of certification process.

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I am writing this to share my experience, the barriers that I faced, and the solutions that I see. This is solely based on my personal story and experience. First, let me make you aware of how high certification costs hit your ROI (return on investment).

Certification costs can include fees for testing, documentation, consulting, and potential design changes to meet regulatory standards. Here are some ways in which certification costs can impact electronics startups:

Financial strain

Startups typically operate with limited funding, and the expenses associated with certification can strain their budgets. Certification costs can vary widely depending on the product, region, and standards involved. These costs can include testing fees, consultant fees, and potential redesign expenses if the initial design doesn’t pass certification.

Delays in time-to-market

Certification processes can be time-consuming. Delays in obtaining certifications can lead to postponed product launches and missed market opportunities. This can be especially challenging for startups trying to establish themselves in a competitive market.

Unpredictable costs

The actual certification costs might be hard to predict accurately. Testing failures or the need for design changes to meet standards can lead to unexpected expenses.

BIS certification cost for isi mark
Type of Fees/ChargesAmount (₹)
Application fee1000
Audit charges7000
Sample test feeAs applicable
License fee1000

So, is there no way to avoid this?

Well, yes, there is a way. First of all, if you are a hobbyist, make five devices from a single design without requiring any testing as per section 15.23 of 47 CFR Ch.1: However, there are several key points you need to consider:

Personal use

The exemption is generally intended for personal use and not for commercial purposes. It’s not intended to allow individuals to manufacture and sell devices as a business.

Limited distribution

The exemption often includes restrictions on distribution. In many cases, the devices exempted under this rule are not allowed to be sold or distributed in significant quantities.

Modifications

The devices must be constructed in accordance with the regulations, and any modifications made by the hobbyist should not exceed the limits set forth by the regulations.

Interference

The devices built under this exemption must not cause harmful interference to other authorised radio services.

Labelling and identification



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