The Indian startup ecosystem, ranked as the third-largest globally, is a critical driver of economic growth and innovation. While the sector thrives on creativity and ambition, its sustainability hinges on the implementation of robust corporate governance frameworks and adherence to compliance requirements. This study delves into the governance and compliance challenges facing Indian startups, focusing on operational inefficiencies, funding risks, regulatory pitfalls, and ethical considerations. Drawing on theoretical insights such as stakeholder theory and real-world case studies like Flipkart and Zomato, this research aims to propose actionable strategies to address compliance and governance issues. By identifying governance practices that balance growth with risk management and exploring compliance frameworks that enhance operational transparency, the study seeks to offer corporate governance framework for start-ups for their sustained growth. The research policy recommendations can guide entrepreneurs, investors, and regulators. This research also highlights the implications for policymakers, offering insights into creating a sustainable entrepreneurial environment.