Easily Maintain Proprietorship Compliance

Proprietorship firms are required to maintain compliance under various regulations like LLPs and Company.

Procedure for Proprietorship Firm Registration in India:

Proprietorship allows you to run and own your business as an extension of your personal finances rather than as a separate entity. If you want to establish a small firm in India without the complications of corporation formation and registration, a proprietorship will allow you to do so. Proprietorships are the most common type of business in India because of the easy procedure for establishing them.

How to Start a Proprietorship in India.

Proprietorship firms in India do not submit company registration to the national government. National company registration is only required of corporations. You may wish to form a sole proprietorship rather than a corporation simply to avoid the complicated bureaucracy of national registration.

Depending on the state and city that your firm operates in, you may be required to register with local government. Most local governments do not require registration, but some do, so check your local government’s commerce website or visit the local commerce building to find the procedure you should follow.

Although your sole proprietorship firm does not need to register as a company with the Indian government, you may wish to submit an employer registration. Employer registration is an optional service that allows you to use the government’s infrastructure to search for employees. If you are having trouble finding employees, this is a valuable resource.

Documents Required for Proprietary Firms

Photocopy of PAN Card (copy and photograph clearly visible)

Shop and Establishment Licence (only Registered Shop and Establishment Licence will be accepted).

Proof of residence:

Bank statement no more than three months old with stamp and signature (bank letter confirming the name of the client, address and account number if not on the letterhead).

Photocopy of utility bills (landline, electricity, gas bill – no more than three months old).

Photocopy of driving licence (valid and not expired).

Photocopy of passport with full address of the client (address on the passport should be typed and not handwritten).

Bank proof:

Cancelled cheque

Bank statement.

Office proof with office address and in the name of the firm/proprietor

Bank statement no more than three months old with stamp and signature.

Photocopy of utility bills (landline, electricity, gas bill – no more than three months old).