Proprietorship
Easily setup a sole proprietorship with registrations, LEDGERS and business bank account.
Benefits
- Fewer legal formalities than LLP.
- Associated with the GST and income tax departments.
- Full control over the business for the sole proprietor.
- No separate business tax filings.
- Easy to disassemble.
Offers and discounts
Save 18% with GST Registration
Get GST e-invoice with Input Tax Credit
Get Whatsapp Support
Chat with Us for Hassle-Free Tax Solutions!
Get Free Consultation
Get Free Consultation Before Action: Call or Meet Us in Person!
Proprietorship
Easily setup a sole proprietorship with registrations, LEDGERS and business bank account.
Easy Proprietorship Registration in India
Proprietorship firm registration is easy in India because, here, the proprietor is the only owner who manages and controls all operations in the firm. It suits micro, small and unorganised businesses such as small shop owners, parlours, street vendors, grocery stores, boutiques and more.
The single owner must bear all profits, losses, revenue, assets, debts and obligations of the business because proprietorship registration does not include a business partner. However, remember that this category differs from self-employment. If you are looking for proprietorship firm registration near me, ensure that you understand the necessary steps and documentation.
7 Steps to Register Proprietorship in India
You do not have to necessarily register a sole proprietorship in India. However, you are advised to do that because it provides your business with legal recognition and streamlines your business operations. If you are searching for proprietorship firm registration near me, follow these steps to complete the proprietorship firm registration process efficiently.
There is no direct procedure for proprietorship firm registration online in India. You might not get a separate proprietorship firm registration certificate because it gets registered under your name. However, ensure that you have the proprietorship firm registration documents required before moving ahead.
Step 1:
Select a Name for Your Proprietorship Firm according to state law
Step 2:
Get your PAN card and Aadhaar card ready as they will be used for your proprietorship firm registration identification.
Step 3:
Open a separate bank account in the name of your proprietorship firm.
Step 4:
Get the proprietorship firm GST registration done to provide a legal identity to your business according to specific thresholds.
Step 5:
Register your business under the Shop and Establishment Act if eligible, especially if you are looking for proprietorship firm registration in Maharashtra.
Step 6:
Complete Udyam registration to benefit from various government schemes and get it recognised as a Micro, Small, or Medium Enterprise (MSME).
Step 7:
Follow the compliances such as income tax filing (ITR-3 or ITR-4), declaring business income, GST return filing (only if proprietorship firm GST registration has been done) and filing for TDS returns.
If you need assistance with proprietorship firm registration near me, professional services can help you with compliance and documentation.
Documents Required For Sole Proprietorship Firm Registration
- Aadhar card and PAN card of the sole proprietor.
- Name and bank account details of the proprietorship firm.
- Registered office address along with the documents representing the right to use the property and ownership of the property.
- Proprietorship firm GST Registration (if business turnover is more than Rs. 20 lakhs) and the Shop and Establishment Act registration certificates.
Once you are ready with the required documents, you can continue with the Registration process. you can proceed with the proprietorship firm registration online by choosing a reliable service provider.
Documents for Proprietorship Firm GST Registration
- Bank account details of the proprietorship firm.
- PAN card, Aadhaar card and photograph of the sole proprietor.
- Rent or lease agreement in the name of the proprietor.
- Voter ID, passport and driving license of the proprietor.
If you are looking for proprietorship firm registration near me, ensure you have all these documents ready to avoid delays in the proprietorship firm registration process.
| ADVANTAGES | DISADVANTAGES |
|---|---|
|
Fewer legal formalities than LLP. |
Small Growth Opportunities. |
|
Mainly associated with the GST and income tax departments. |
Difficulty raising funds and bearing all losses. |
|
Full control over the business for the sole proprietor. |
Risky future due to the absence of partners and successors. |
|
No separate business tax filings. |
Unorganised and unincorporated structure. |
|
Easy to disassemble. |
No centralised system to store the business information. |
If you need more clarity, searching for proprietorship firm registration near me can help you find expert guidance on the proprietorship firm registration process.
Conclusion
A proprietorship firm is a straightforward business architecture with minimal requirements which is one of the advantages of proprietorship firm registration. It has a single owner who pays personal tax according to the business profits. Moreover, it does not have minimal capital requirements. From obtaining your PAN card to GST registration, your proprietorship firm registration near me might take over 10 days. Make sure to follow the necessary steps to ensure a smooth proprietorship firm registration process.
Frequently Asked Questions
What Types of Registrations Are Needed for Sole Proprietorship in India?
Generally, business registration is not compulsory for sole proprietorships. However, GST, MSME and the Shops and Establishment Act registrations might be needed for sole proprietorships in India, according to the state law.
What Will Be the Address Proof for My Proprietorship Business That I Run Online?
Mention your residential address proof if you are running your business from your home. If you have rented or purchased a place, mention the address proof of that place.
What Causes Delays in the Proprietorship Registration?
Slower payments or verification processes, insufficient, invalid or inaccurate information or regulatory approval permits are the causes of delays in registering a proprietorship.
What Types of Businesses Do Not Come Under Sole Proprietorship in India?
Businesses such as banking, telecommunications, defence and insurance might face some prohibitions.
How Do I Shut Down My Sole Proprietorship Company?
Cancel all registrations and agreements under the name of the business and pay off all liabilities to shut down your sole proprietorship business.