Sole Proprietorship Company
A sole proprietorship is a business that is owned, managed and controlled by one person. It is one of the most common form of business in India, used by small businesses operating in the unorganized sectors. Proprietorships are very easy to start and have very minimal regulatory compliance requirement for getting started.
However, after the startup phase, proprietorship's do not offer the promoter a host of other benefits such as limited liability, separate legal entity, independent existence, transferability, etc., which are desirable features for any business.
Therefore, proprietorship's are suited for unorganized, small businesses that will have a limited existence. There is no mechanism provided by the Government of India for the registration or incorporation of a Proprietorship. Therefore, the existence of a proprietorship is established only by tax registrations and other business registrations that a Proprietorship is required to have as per the rules and regulations
Proprietorship Startup Process
Proprietorships do not have a process of incorporation. Therefore, our Business Advisors will advice you on the way the identity of the Proprietorsihp business can be established through other Government registrations.
Service Tax Registration
The identity of a Proprietorship can be established through Service Tax Registration (if applicable) mentioning the business name. Service tax registration takes 10 to 15 days, subject to Government processing time.
Registration of Shops and Establishments/Gumasta Registration/Shop License
Another way to establish the identity of proprietorship is Gumasta License. Gumasta License Fulfill the requirement of registration as a proprietorship company as well as it regulate conditions of work and employment in shops, commercial establishments, residential hotels,restaurants, eating houses, theatres, other places of public entertainment and other establishments.