The sole proprietorship is a very common form of business organisation that is managed by single people. There is no need for any kind of registration in this particular concept by law. But still, it is very much advisable for the people to register proprietorship firm to avoid any kind of issues and avail multiple advantages in the long run.
Any of the individuals who are interested to start a business with a very less amount of investment can depend upon this particular type of business form and it can be easily started within 15 days tentatively. The best benefit of this particular concept is that a single person will be controlling the whole business solely in their own hands.
Following our steps to be followed if the people are interested to register proprietorship firm:
- As a very first step, people have to apply for PAN and in case people already have this particular card then there is no need to apply for it.
- The next step comes out to name the business and ensure that there is no kind of manifestation required by people and they simply need to open a bank account in the name of the business as well.
- After this people can also go with the option of registering themselves into the small and medium enterprise under the MSME act of law so that they can also avail multiple benefits in the long run.
- People also have to register themselves for the GST in case the turnover will exceed Rs.4, 00, 000 and one can also get a registration of the shop establishment done.
The documents required for this particular process is the utility bill of the place of business, KYC of the documents into the bank, a license that has been issued by the shops and establishments act because it is very much important along with the income tax returns of the proprietor. Any of the two documents can also be submitted in the bank to open a bank account along with identity as well as address proof of the proprietor.
Following are some of the very important benefits of depending upon this particular form of business organisation:
- It will come with several kinds of advantages in the form of being stated by a single person and there is no need to convince anyone.
- It comes with the very least amount of compliance requirements which makes it very easy to set up and run.
- It is relatively lesser expensive in comparison to other forms of business organisation.
- There will be no corporate tax payment for a sole proprietorship firm.
- The decision-making and control of the business will be in the hands of a single person that will enhance the comfort and convenience of the whole process and will make sure that everything will be highly efficient.
Hence, depending upon the concept of register proprietorship firm online is a good idea for the sole proprietors so that there is no issue in the long run and they are also liable to receive several kinds of advantages in the whole process.