Registration Process of Sole Proprietorship Firm in India

NeuSource Startup Minds

Sole Proprietorship Firms are one of the most ordinarily observed business types in India. With the process of Proprietorship Firm Registration India that defines the literal meaning of the word simple, it is no wonder that entrepreneurs are choosing to pick proprietorship as their choice of business type when they are starting on their own.

Sole Proprietor Firm Registration India is single-person firm registration. Its main objective is to open a current bank account on the name of the business so it’s simply a firm that is enabled to carry on with their business in India with fewer compliances involved and less costing too. A sole proprietorship firm may require a minimum of two legal entity proofs for the purpose of opening a current bank account.

Documentation Required for a Sole Proprietorship Firm Registration:

  • PAN Card copy of a proprietary
  • Electricity or water bills of the business place
  • A photostat copy of an Aadhar card or a Voter identity card

Merits that a Sole Proprietorship Firm Enjoys:

  • Easy to form – proprietorship business needs no registration. Therefore, it is one of the easiest ways of starting with no actual formalities. However, after starting up, it is relatively harder to open a bank account or attain a payment portal in the name of the business, since more registrations may be needed.
  • Business name – since the name of the proprietorship is not registered, it can choose to have any name, as long as it doesn’t encroach on an enrolled trademark. Be that as it may, since the name of the firm is not registered, any other person can also use the same business name unless trademark registration is attained.
  • Taxation – a proprietorship with less than INR 2 lacs of income is not required to pay any income tax, as sole proprietorships are taxed as the individual owing the business. However, once the income of the business exceeds INR 10 lacs on an annual basis, there are no major advantages for a Proprietorship Firm with respect to taxation that it will continue to enjoy.

A proprietorship can be commenced with any amount of capital. There is no demarcation line of maintaining a minimum amount.

The owner must be an Indian resident and a Citizen of India. Non-Resident Indians and Persons of Indian sources can just put resources into a proprietorship with conforming to earlier consent of the Government of India.

Proprietorship firms do not have a Certificate of Incorporation (COI).

A business operated by a proprietorship firm cannot be transferred to another person, unlike a Limited Liability Proprietorship or a Private Limited Company. Only the assets in the proprietorship can be transferred to another person through the sale. Intangible assets such as Government approvals, registrations, etc. cannot be transferred to another individual.

Proprietorship firms are business entities that are owned, managed and controlled by one person only. So proprietorship firms cannot allot shares or have investors.

A Proprietorship Firm can possess only one promoter in his proprietary firm. The firm will not have a separate legal entity natheless the PAN Card is the same as that of the proprietor and the proprietary firm.

OPC – One Person Company Registration Important or Not?

The Companies Act, 2013 pioneered the notion of One Person Company in India for the enterprisers to have the effrontery to start their own venture by allowing them to create a single person economic entity. One Person Company Registration Process India involves certain steps but it is possible too.

Is OPC Company Registration has been accecpted?

Yes, OPC Company Registration Online India is accepted. The better choice between the two will be depending upon individual requirements.

As the name suggests, OPC is a form of a private company with just one person as a Director and Shareholder and it is useful for an individual who is an Indian resident.

One can enjoy the full benefit of company structure with OPC and get itself registered online which is not a tedious task.

We, Neusource Startup Minds, is the best online gateway that provides quick and impressive legal services.

Pros of OPC Company Registration:

  • Who it is for

An OPC is for tycoons or magnates who are indubitable that they want to possess absolute control over their business. There can be no other member or director. However, such a business cannot be very large because of the MCA, i.e., the Ministry of Corporate Affairs requires all the OPCs to become LLPs of private limited companies once their revenues cross INR 2 crore.

  • Limited liability implying more and better opportunities

Since the liability of the OPC is limited to the extent of the value of the share one holds, the individual could take more risks in business without letting anything affect or suffer any loss of personal assets. It is the buoying up to new, young, and innovative start-ups.

  • The only owner

You are the only owner who is helpful in quick decision-making, controlling, and managing the business without following any elongated processes and methodologies as adopted in other companies.

  • Mandatory compliances

All the OPCs must preserve their books of accounts, act in accordance with their statutory inspection requirements and conform income tax returns and the yearly filings with the ROC.

Cons of OPC Registration:

  • Suitable only for a fairly small form of business since One Person Company Registration can have a maximum authorized capital of INR 50 lacs and it’s turnover when exceeds INR 2 crores needs a compulsory conversion into a private limited.
  • It cannot voluntarily be converted to a private limited or public limited until two years of the date of incorporation.
  • Limited to only one shareholder, that means one cannot offer part ownership to any other person.

Why Choose OPC?

  • Only one member is required
  • Unaffected by the death of a member
  • Remains unaffected by any change in the ownership status
  • Easy to set up and maintain comparatively
  • Limits the liabilities of its members

Features of an OPC:

  • Formed with a single person
  • Based on the concept of shares
  • OPC can be converted into a private in future
  • Compliances would be the same as a normal private limited
  • The tax structure is the same as that of a private limited
  • The appointment of an auditor is mandatory

What is a Sole Proprietorship Firm?

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A sole proprietorship is one of the most conventional embodiments of business in India. This is predominantly used by miniaturized and infinitesimal business precincts. It is a type of business that is in possession of, governed and reigned over by a single person known as a proprietor. It is exemplary for small businesses, merchandisers and dealers/distributors.

Idiosyncrasies of Proprietorship Firm Compliances:

  • Manage, lead, and directed by one person only
  • The most quotidian manifestation of business in India
  • Easy genesis
  • Requires negligible regulatory guidelines and specifications concerning business processes

The Online Proprietorship Firm Compliances Process entails the below-mentioned testaments for the enrolment of a proprietorship firm.

  • PAN Card of the candidate
  • Electronic copies of Aadhaar Card
  • ID authentication and Address verification proof of the sole proprietor as Aadhaar card, Driving license permit or Passport, etc
  • Rent covenant and a No Objection Certificate (NOC) and electricity bill statements of the locus in case of hire where one wants the business to be registered
  • If the proprietor is in charge of the property, then he requires a sale deed replication or electricity bills
  • An electronic version of a financial statement or a canceled cheque
  • Passport size enprint

The Acquiescence Needed in Sole Proprietorship:

  • As a sole proprietor, one must file an income tax return on a yearly basis.
  • Also, one needs to file their GST return if they are enrolled under GST.
  • A sole proprietor should also withdraw TDS and file its return if it is liable for a tax audit.

The annual Proprietorship Firm Compliances Process Online involves the unmitigated possessions of annual desideratum.

At all India ITR, we will yield you full abettance regarding how to delineate an entente, co-opt a comptroller, legal accordance and other scrivener solutions.

Price quotations may vary correspondingly as per your annual sales or gross revenue. You will be alluded to the prices appurtenant to you by our tax aficionados during the time of advisory services.

There is no extent of circumscribing on mazuma as such to incept a sole proprietorship. This is the pretext why one can easily establish a sole proprietorship with any quantum of the capital as he desires.

Proprietorship firms are governed, directed, and controlled by a single person and therefore they can issue equity or venture capitalists.

Proprietorship Firms do not incontrovertibly devise audited accounting statements every year.

However, a tax audit may be called for when the businesses have an annual yield of more than INR 1 crore, those who provide non-amateur services under their proprietorship are supposed to get their accounts scrutinized and thoroughly examined if their annual gross revenue is exceeding more than INR 50 lacs.

Do Proprietors and Proprietorship Possess a Distinct Legal Recognition?

No, the proprietorship firm and the proprietor possess the identical distinguishing legal identity. The PAN Card of the proprietor will be the PAN Card of the proprietorship only. Forbye, there will be no separate legal distinction for the business. The assets and liabilities of proprietorship and the proprietor will also be alike.

They are required to perpetuate compliances under various regulations such as LLPs and Companies registered in India. It mainly involves the filing of income tax returns while corporate establishments such as LLP and Company takes both income tax return filing with the Income Tax Department and annual return filing with the Ministry of Corporate Affairs (MCA).NeuSource Startup Minds offers an easy procedure for up keeping Proprietorship Firm Compliances.

Online Bookkeeping and Accounting Services in India: Similarities and Differences

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Bookkeeping involves the transcribing, stowing and recouping of monetary negotiations for a business, a charitable organization (NGO), individual, etc.

Bookkeepers ensure that all of a company’s levy amount, yield, and transactions are recorded in the company’s books and reconcile the company’s financial accounts, especially on a monthly basis. Bookkeepers might also help with pecuniary averments and devising of financial reports. NeuSource Startup Minds is provides the best Online Bookkeeping & Accounting Services India at the affordable price.

Some Examples of Bookkeeping and Accounting Tasks:

The certain financial transactions and tasks that are involved in bookkeeping includes-

  • Billing for goods sold or services provided to clients
  • Recording receipts from customers
  • Verifying and recording invoices received from suppliers
  • Paying suppliers
  • Processing employees’ pay and the related governmental reports
  • Monitoring individual accounts receivable
  • Recording depreciation and other adjusting entries
  • Providing financial reports

In today’s era, bookkeeping is done with the use of computer software. For instance, a low-cost bookkeeping and accounting software package that is widely used by small businesses is used more often.

Bookkeeping requires the knowledge of debits and credits and a basic understanding of financial recording disclosure, which comprehends the annual report, i.e., Balance Sheet and earnings report, i.e., Income Statement.

Bookkeeping Services are mandatory for all businesses to ensure accurate operational or financial information. Such information is vital and demanded by authoritative executives, managing thermostats, and venture capitalists. Also, there are certain legal stipulations and prerequisites for any business to perpetuate a pertinent and suitable book of accounts to safeguard that all the appurtenant taxes are paid and tax filings are made timely.

Bookkeeping is an operational activity of inscribing accounting proceedings of a business in an accounting system and the report generation. Natheless, many small businesses do not have an inveterate accounting division and even needs an extraneous bookkeeping resource. Neusource can render your business with bookkeeping utilities via a web complex of connoisseurs and highly qualified practitioners of our accounting department, i.e., Chartered Accountants, all over India.

Accountants may handle more advanced tasks such as tax preparation, budget analysis, and investment development. Both actuaries and analysts more often wield promoted fiscal software to keep a record and trace their information.

Merits of Bookkeeping and Accounting:

  • Cost-effective
  • Time-effective
  • Higher profits
  • Reduced tax liabilities

Bookkeeping and Accounting Services is two functions that are extremely important for every business organization. Simply stating, bookkeeping is responsible for the recording of financial settlements while accounting is in charge of expounding, segmenting, scrutinizing, giving an account of, and recapitulating the financial data.

But when it comes to the differences between accounting and bookkeeping, both the terms may appear to be exactly like each other, but to an untrained eye. It is because of both the terms deal with monetary matters, calls for rudimentary adjudging proficiency, and labeling, and generating tidings using the flows of funds.

A major misconception regarding Bookkeeping and Accounting is that both are considered to be one profession. Though they seem to be very similar to each other, there are some striking differences between the two.Bookkeeping and accounting have been in existence for a very long time and both fields have seen a tremendous amount of change in the way the operations are carried out. This trend will continue in a similar fashion in the future as well.

How to Solicit of a NGO Registration and Steps Involved in e-filing of Income Tax Returns

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NGO Registration in India Online can be obtained additionally at the confederation level, i.e., in the office of the Registrar of Societies or at the domain level, i.e., in the office of the District Magistrate or the local devoir of the place of work of the Registrar of Societies.

According to a constituent of the Indian Companies Act, 1956, i.e., Section 25(1)(a) and (b), a section 25 corporation can be entrenched for fostering commerce, art, science, religion, charitable institution or any other useful object, provided all the gains, if any, or other emoluments are put in a petition for proselytizing only the objects of the company and no dividend is paid to its shareholders or bondholders.

Procedure of NGO Registration in India


Section 25 conglomerations are registered under section 25 of the Indian Companies Act, 1956.

Main Instrument:

For a section 25 establishment, the main instrument is a memorandum of association (MOA) and articles of association (AOA) in which no imprinting or indentation is demanded.


A section 25 organization requires a minimum of three fiduciaries in which there is no existence of a demarcation line to the number of depositories. The Board of Management is in the form of a Board of Directors (BOD) or managing committees or representatives.

Application for Registration:

A requisition has to be made for the availability of name to the Registrar of Companies (ROC), which must be made in the stipulated form no. 1A, along with a charge of some amount as particularly specified. It is preferable to propound a choice of three other names by which the corporation will be addressed, in case the first name which is put forward to, is not found admissible by the Registrar.

Once the availability of name is unreformable, an application should be made in the written form to the head honcho, i.e., managing or regional director of the Company Law Board.

Step by Step Process of Income Tax Filing Online

As far as Income Tax Filing Online is concerned, below mentioned are the relevant material for the portal of an electronic filing of the Department of Income Tax Return (ITR).

A taxpayer may yearn to file his ITR for delineating his income for an accounting year, forging ahead of mislaying, asseverating an income tax refund, etc. An income tax refund is a form that entitles a taxpayer to disseminate his proceeds, outlays, tax exemptions or write-offs, speculations, taxes, etc. The Income Tax Act, 1961 makes it obligatory under various series of events for a taxpayer to file a return.

The Income Tax Department offers the prerequisite for electronic filing, i.e., e-filing of an income tax return. There are certain steps involved too in the e-filing of the income tax return. A taxpayer must possess the mandatory documents.

The Procedural Steps Involved in the e-filing and Indexing of a Income Tax Return are:

● Computation of Income and Tax

● Tax Deducted at Source (TDS) certificates and Form 26AS

● Choosing the right and the most appropriate income tax form

● Download the ITR utility form from income tax gateway

● Fill in your specifics in the downloaded file

● Corroborate the information entered there

● Rehashing the file to XML format (Extended Markup Language)● Uploading and syncing the XML file on the income tax portal and filing

All you need to know about NGO Registration in India Online

NeuSource Startup Minds

NGOs are a consortium that works towards the advancement of specific causes or the welfare of an objective native. Since they operate in the non-benefit realm, their terminus and business, as usual, are frequently unreliable contrasted with revenue driven associations. To effectuate their targets, NGOs need to take after a heedful approach appropriate from the phase of conceptualization. Adding further, there are certain fundamentals, propositions, and controls set around the Government of India.

What should do for NGO Registration in India

Conscript should be attainable either at the state level, i.e., in the enterprise of the Registrar of Societies or at the area level, i.e., in the workplace of the District Magistrate or the nearby office of the Registrar of Societies. The method varies from one state to another. However, for the most part, the solicitation ought to be submitted together with:

  • A reminder of affiliation and postulations and directions
  • Approval letters of the considerable number of individuals from the overseeing board
  • Specialist letter properly marked by every one of the individuals from the overseeing council
  • A testimony is sworn by the President or the Secretary of the general public on a non-legal stamp paper of INR 20 together with a court charge stamp
  • A presentation by the individuals from the overseeing panel that the assets of the general public will be utilized just with the end goal of facilitating the points, questions, and queries of the general public.

All the previously mentioned chronicles which are required for the application of enlistment ought to be submitted in copy, together with the required listing charge. Not at all like the trust deed, the update of affiliation and guidelines and directions require not to be executed on a stamp paper.

In India, non-profit or public bountiful organizations can be registered as:

  • Trust
  • Society
  • Section 25 Company Additional Licensing or Registration
  1. NGO as Trust: A public charitable trust is usually hovered upon when there is property indulged, especially in terms of land and building.
  2. NGO as Legislation: Different states in India have different Trusts Acts in force, which rules the trusts in the state, where in there is not even a glimpse of the Trusts Act in any peculiar state or territory, the general principles of the Indian Trusts Act, 1882 are requested to make an entreaty.

Main Instrument: The main instrument of any public magnanimous trust is the trust deed, wherein the aims, objects, purposes, and mode of management of the trust should be embodied.

Trustees: A trust requires at least two trustees, and there is no demarcation line to the number of trustees. The Board of Management comprises the trustees.

Application for Registration: The requisition for registration should be made to the functionary having dominion over the region in which the trust is sought to be registered.

After providing the attributes regarding designation by which the public trust shall be familiar, names of trustees, mode of succession, etc., the petitioner has to affix a court fee stamp of INR 2 to the form and pay a very nominal registration fee which may range from INR 3 to INR 25, depending on the value of the trust property.

The registration form should be signed by the applicant before the regional officer or superintendent of the regional office of the charity commissioner or a scrivener. The application form should be submitted, along with a copy of the trust deed.

Two other documents that should be submitted at the time of NGO Registration in India Online are:

  • Affidavit
  • Consent letter

The Complete Guide of Partnership Firm Registration Online in India

NeuSource Startup Minds

If you are looking forward to starting up your business in partnership, it is always best to get the Partnership firm registered. And partnership firm registration is not a lengthy procedure. In India, the partnership firms are regulated by the Indian Partnership Act, 1932. A partnership firm can be formed with minimum of 2 partners. According to Section 4 of The Partnership Act, 1932, “An agreement between persons who have agreed to share profits of the business carried on by all or any one of them acting for all.

Just with a few clicks online, your firm can have its corporate and legal identity. And the benefit of Online Registration of Partnership Firm is that the procedure gets done at a quicker pace where manual registration can take even up to and sometimes more than 1 month. 

Partnership Firm Registration Online in India is under the authority of Registrar of Firms. No single portal can get your firm registered. It is under the State Government. And each state has its own procedure of registration.

Here are a Few Steps to Follow for Partnership Firm Registration Online India:

  1. Deciding the partners: After having decided that you will be entering a business with a partnership firm, next is the decision of the number and who all are going to be the partners. Whatever agreement amongst the partners is made regarding the name and location of the firm, profits, losses, capital share, salaries to be drawn, roles and responsibilities, policies to be followed while choosing vendors and regarding business-related decisions and considerations to be made in case of dissolution of the partnership are done in writing through a Partnership Deed. There is no laid down format for the partnership deed, but it should contain the necessary elements like the ones mentioned afore. It is written on a non-judicial stamp paper of required value, signed by all partners and get notarized. It serves as the Blueprint of the firm. 
  2. Collection of documents: You will have to upload all the requisite documents on the government portal and for that, you need to keep them handy. Here’s a checklist of all the documents that you’ll be needing for Online Registration of Partnership Firm.
  • Address proof of the firm: It can be a current account detail or any license issued in the name of the firm before starting the business. If the firm is located on rented premises, rent agreement will have to be attached.
  • Identity proofs of all the partners: These can be Passport, Aadhar card, voter ID, Ration card, Driving license, PAN card.
  • Address proofs of all the partners: These can be Passport, Aadhar card, voter ID, Ration card, electricity bill, postpaid phone or any landline bill. The latest copies of the bills have to be attached.
  • Attested Partnership Deed duly signed and stamped. 
  • Passport size photographs of all the partners.
  • Affidavits from all the partners stating that they are entering into this mutual agreement with their will. This is done on a stamp paper of INR 10/-.

3. Visit the government registrar website: Go to the website link of the state in which you are applying for your firm’s registration and submit the application form. Upload all the requisite documents. Pay registration fees. Different states have different slabs. So, the fees vary accordingly but is around INR 1100/-. 

After the completion of the procedure, your firm name will be entered in the register and the Registrar will issue your firm a Certificate of Registration.

To get entitled to the legal benefits of a partnership firm following the guidelines of the Indian Partnership Act, 1932, it is essential that you get your partnership firm registered and Online Registration of Partnership Firm has made the procedure much easier. We at Neusource Startup Mind India Limited, providing all the services for partnership registration in India.

How to Register a Proprietorship Firm and Partnership Firm in India?

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For colluding in the form of proprietorship, one essentially requires to register their business under shop and establishment act of concerned state, and for openings of accounts, the authenticated document they get after the enrolment process is more than enough.

As far as doing business in an electronically connected manner, through e-commerce websites like Flipkart, Amazon, Myntra, etc., one just calls for to enroll themselves under GST as well.

One can begin with their sole proprietorship at any given point of time by just taking the GST number and opening a current bank account.

Their independent PAN Card will be the card of the proprietorship concern. Income Tax Return of their Sole Proprietorship concern will be tabulated with their PAN card only.

Here is Process for the Proprietorship Firm Registration India

One just needs to launch its own website, as no particular process is required for a Sole Proprietorship Firm Registration India. Their ITRs are indexed on that PAN number for a sole proprietorship concern.

You have DVAT registration which is to be accumulated and paid VAT on trade done by you, maintain a minute meticulous purchase and sales records.

You may be in need of a service tax registration too once you cross 10 lacs of yield in any fiscal year. You can open a bank current account on the strength of the DVAT registration number because your DVAT registration credentials will have your corporation’s name, address, and genre of business.

It is often recommended that you open an overdraft account by placing some nominal amount as a charge of time deposit and using that as a surety, which will save you from the requirements of keeping some minimum balance.

A sole proprietorship firm in India just entails a current account for you to get it started. Adding more to this, one stands in need of just informing their abutting Municipal Corporation about their business. There is not exactly an accommodating process involved in starting a sole proprietorship, as it is an unincorporated form of business or simply stated, it is not a company or a corporation.

But when we talk about a partnership firm, normally it is never nominated by anyone to get them registered, especially with the occurrence of the concept of limited liability partnership (LLP) that has almost all the leading features of a corporate entity and that too, without all the drawbacks of a partnership firm.

There is only one shortcoming for a limited liability partnership as compared to a normal partnership that is in the area of hypothetical taxation.

Except that it is always desirable for the partners to form a partnership having limited liability.

The pre-eminent merits are being the promoters, the liability of the promoters is limited to the business assets in case of an LLP.

How to Register Partnership Firm Registration Online India

There are several steps involved for Online Registration of Partnership Firm. But in case of a normal Partnership Firm, the liability is not limited and can extend to the personal possession of the partners as well thereby, concluding that the personal valuables of the partners like personal cash, property, jewelry, a personal investment can also be used to please business liabilities.

A partnership deed is a written agreement between two or more partners who are willing to undertake business jointly. It consists of all the required terms and conditions agreed by the respective partners, i.e., their capital introduced, profit-sharing ratio, kind of partners, about the nature of the business, working of the firm, dissolution or liquidation of the firm, and so on.


NeuSource Startup Minds

Do you have a STARTUP IDEA that needs to be RECOGNIZED and put in a RIGHT PLAN OR STRATEGY?

Then I am sure you might be looking for Startup Consultant Services in India.

You have just come to the right place!

India is one of the largest emerging economies in the world consisting of innumerable brilliant minds and loads of startup opportunities and startup ideas, to begin with.

By no doubt, India is going to become a huge startup hub soon.

Keeping a record of these statistics, things don’t always come out as positive as they appear to be.

Almost 70% of the startup ideas remain unrecognized or they are unable to scale their startup on a considerable level.

EVER Wondered WHY?

There is not a single factor but a list of factors responsible, like the lack of knowledge, lack of resources or might be the incapability of the firm to stand out against other firms in this competitive world.

Why startup consultancy is a must?

Startups are of different niches and are launched in peculiar conditions. To establish his/her startup as a viable business and grow along with profits, one requires a proper plan, the know-how of how to register, execute and maintain the same.

All this requires guidance and expertise. And here is where a Startup Consulting Services in India comes to the rescue. By consultancy, startups benefit from services such as incubation programs or mentorships and can do well and grow exponentially.

Here at Neusource Startup Minds India Limited, we aim at providing you the best Business Management Consultant in Delhi to help you from starting your startup to scaling the startup to get the results you aspire.

The scope for startups at present is more than ever was before.

Different programs and schemes for encouraging startups are increasing day by day and so nor is the perfect time to get going with your startups, SO START NOW!

We believe in providing the Best Startup Consultancy Service in India that helps you stand out and take your startups to a level you desire it to be at.

It is true that with the right advice and an appropriate well planning and execution you can do wonders and that is what our Consultancy Experts aim at.

Our mission is to help you turn your intangible startup ideas into a real deal, right from the seeding stage, to registering, encompassing all the important processes and simultaneously growing your startup, Neusource Startup Minds India Limited provides pragmatic counsel which is not just appropriate expertise and honest support but also very economical.

We strive to give our clients the best strategies with the best consultancy experts having a great experience of scaling a business and small startups to a level.

With your startup and our strategic solutions and efficient implementation assistance, your startup can reach its full potential and do wonders.

Our primary focus is to help nurture your entrepreneurial dreams, help establish a company and assist in their administrative issues.

If you want to give a kickstart to your business or have a problem in your startup process at any stage, then you might want to try and delve deep in the core strategies and procedure and need to get the necessary expertise for which we have industry experts to consult you for the same.

Our Approach

The consultancy firm Neusource Startup Minds India Limited has a customer-centric approach, in which we are dedicated to providing customized products and services according to our client’s startup type, its scale, other factors and as per the client’s requirements.

Our startup consultancy directs its efforts to offer you world-class consultancy products and services along with tailored expertise using meticulously researched market information and the behavioral trends and above all are our experts with strong business acumen who are there to support you, consult you and provide timely solutions.So if you are looking to expand your startups’ footprints in the industry and have a long term vision and zeal for making your startup a success, Neusource Startup Minds India Limited has got you sorted.

How to Register Sole Proprietorship Firm in India

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A sole proprietorship is a business that is established and controlled by the single person. A proprietor is a person and not an entity so, both the proprietor and the entity are the same under the eyes of the law. The major benefit of Proprietorship is its ease of formation in countries like India. The article throws limelight on the Proprietorship Firm Registration India.

Registration of Sole Proprietorship

There are no specific laws to govern the registration of Sole Proprietor Firm Registration India so, they are easy to form. The documents for the registration process are minimal, and the requirements are easy to fulfill. Any Indian citizen can start a legal entity in India with minimum regulatory compliance as there are not constraints on the minimum investment needed too. Sole Proprietorship is the right choice for the micro, small, and unrecognized sectors. There is no specific mechanism designed by the Indian government for the registration process. All you need is tax registration and business license to start a business your own as proprietor. One can obtain MSME and GST registration for the business in the name of the proprietor and start your business operations in no time.

As there is no specific process in place for the registration, anyone can use the same business name to run the operations in the country. However, if one wishes to protect a unique business name, they need to get the trademark registered on the business name.

Common Registration Compliance for Sole Proprietorship

 You can get identity for the sole Proprietorship through different registrations and licenses. Here few standard registrations obtained for sole proprietor firm registration India.

MSME Registration

You can obtain MSME (Ministry of Micro, Small and Medium Enterprises) registration on your business name for Sole Proprietorship to establish a business in India. By registering the business under MSME, your business will get a unique identification number. Alongside side, you will get many benefits offered under the ministry of MSME. Once your business is registered under MSME, you can avail many benefits offered by the government to the business owners/ establishments.

TAN Registration

If you have a shop or establishment to sell goods and services to people, you can get your business registered under the shop establishment act. The proprietor should obtain TAN registration form the income tax department if the proprietor is making salary payments, and there exists a TDS deduction.

GST Registration

Your business should obtain GST registration if you as a proprietor selling goods and services beyond GST turnover. Most of the sates India call GST registration if the business has an annual revenue of more than 20 lakhs and 40 lakhs in the case of the traders. GST registration will be quite helpful if you are running the businesses that deal with the exchange of goods and services. The new GST registration process of GST is the replacement of old VAT and tax registration. GST registration is an excellent way of getting a new identity for the businesses. After you have registered your business under GST, it is important to adhere to the regulatory compliance of the GST. One should collect the tax from the customers and file GST returns.

Process of Proprietorship Registration

To initiate the process of registration for a sole proprietorship, you need to keep all the documents ready. You should look at all the methods of obtaining license for proprietorship firm registration India and choose most suited option for the business. All types of registration for sole proprietorship will be completed in a maximum   period of week and   you will be  ready  to run  your  business  operations.

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