Proprietorship Registration
Introduction to Sole Proprietorship
Proprietorship Registration in Bangalore – In India, the form of the single owner business known as a sole Proprietorship business, its easiest to set up and the most common. This type of corporate structure is favoured by the vast majority of small and medium-sized enterprises, who operate in primarily unorganised markets.
Simply said, it makes it possible to launch a company even with a limited amount of financial backing and in a relatively short amount of time. Contact today for your single owner Business in India.
One individual owns, operates, and maintains control over all aspects of a business that is organised as a sole proprietorship. It is quite simple to launch a proprietorship business, and there is a low threshold for regulatory and statutory compliance.
A Sole Proprietorship or Sole Trader firm can be easily established by obtaining a tax registration or a licence based on the nature of the business, and there is NO specific registration required for the ‘Proprietorship’ itself. This makes it possible for anyone to start their own business as a Sole Proprietor or Sole Trader.
Contact to Prakasha and co. for the Proprietorship Registration Bangalore.
To open a current bank account in order to get started with a proprietorship business, you will just need general alternative registrations such as a GST Registration, a Professional Tax Registration, or a Shops and Establishments Registration (in the name of the firm).
Benefits of Sole Proprietorship Registration in Bangalore
Separate PAN not necessary
It is sufficient for the proprietor to have a PAN (Permanent Account Number) issued by the Income Tax department. There is no need to apply for a second PAN in the name of the company.
Minimal Compliance
Due to the absence of mandated audits and form filings with the MCA and other agencies, Sole proprietorship businesses have very light compliance requirements.
Relatively Inexpensive
Until the company meets a specific revenue threshold, it can save money by operating as a sole proprietorship and avoiding many of the costs associated with incorporating.
Reduced Tax Rates
In a sole proprietorship, business income is taxed in the same manner as it is for the sole proprietor. It's taxed in the owner's name and uses a slab system. Similarly to how personal income is taxed, so too is business income.
What are the Documents required for Sole Proprietorship Registration in Bangalore?
- PAN Card of the Proprietor
- ID Proof of the proprietor- Voter’s ID / Passport / Driving License / Aadhaar
- Passport Size Photograph
- Address Proof of the Premises:
- Rental agreement or Lease agreement if the premise is rented/leased
- Latest tax paid receipt / Sale deed if the premise is owned by any of the Directors
- Latest Electricity bill / Telephone bill / Gas Connection bill
- NOC from the owner of the premise
Sole Proprietorship Registration Process in Bangalore
The List Of Mandatory Documents & Procedures Required To Establish A Sole Proprietorship in Bangalore Is Presented In The Section Below.
- Step 1 : Get an Aadhar card
In India, obtaining an Aadhar number is a need for legalising any business. In addition, an IT return cannot be filed unless the taxpayer has synchronised their Aadhar card with their PAN. The applicant can legitimately obtain an Aadhar number by visiting the local Aadhar, Seva Kendra, or E-Mitra centre.
Step 2 : Request a PAN Card (self) or use Existing
You cannot file an income tax return without a PAN. There is a specific government website where anyone can apply for PAN for a modest charge. The typical documents necessary to apply for a PAN include a photograph of the applicant, evidence of identity, and proof of address.
Online submission of the PAN application is possible after Aadhar e-KYC validation. After this, the document is verified by the NSDL. Within a week of satisfactory verification, the authorities issues the PAN number to the applicant. Within 15 to 20 days, the physical copy of the same is sent to the registered address.
You can use your Existing Pan Card & Aadhar for setting up Sole Proprietorship Firm. An individual can’t have more than one Pan Card & Aadhar Card
Step 3 : Establish a bank account in the business’s name.
After obtaining your PAN and Aadhar number, you can open a current account at any authorised bank. Commonly necessary documents for this purpose include PAN, Aadhar Number, GST registration, and evidence of address and identity.
Note: the applicant may provide a copy of the NOC or a rental agreement as address verification. Similarly, they can facilitate utility bills for the same objective.
Step 4 : Obtain Shop and Establishment Act License
A shop and establishment licence is a legal requirement for businesses that sell goods or services to the general public. Owning a small establishment or store is a sort of small business, and the proprietor is legally required to obtain a licence.
Step 5 : Register under GST
A business must register for the Goods and Services Tax (GST) if its yearly revenue exceeds the statutory threshold. Currently, businesses with an annual revenue more than Rs 40 lakh are required to obtain this registration. Remember that the GST also applies to internet company owners.
Expert guidance at Prakasha & Co. ,you’ll feel a breeze in Setting up your Sole Proprietorship Firm in Bangalore. Get Started Today
How long does it take to set up Sole Proprietorship firm in Bangalore?
It usually takes anywhere from five to ten working days to set up a Sole Proprietorship firm in Bangalore, however this can vary depending on the type of statutory registration (such as GST or MSME, for example).This timetable is, however, susceptible to further delays caused by government procedures, approval time, public holidays, and other factors.
Here’s how we at Prakasha & Co. can assist with forming a Sole Proprietorship Firm in Bangalore
- Advise for Right plan to start the business in India
- Guide you to get the Other form of Registration to Proprietorship
- Help in managing & preparing documents.
- Help with filling out forms.
- All the way through Guidance – end to end Support.
- After Registration services like Proprietorship GST, TDS, etc.
Under the Proprietorship business, the single owner has full rights and liability on the business.
It’s the simplest form of business in India. Easy Start the Business and Easy to move from other business.
One who wish to start a business in India, can try with proprietorship business, once he succeeded with scaling-up, he can plan for bigger platform like Pvt Ltd or Limite company in India.
A sole proprietorship is a business structure in which a single individual owns and operates a business. Sole proprietorships are relatively simple to set up and operate, as they do not require the same level of formalities as other business structures such as partnerships or companies.
Here is a general outline of the process for registering a sole proprietorship in India:
Choose a business name: The first step in registering a sole proprietorship is to choose a business name. The name must be unique and cannot be already in use by another business.
Obtain necessary licenses and permits: Depending on the type of business being operated, the sole proprietor may need to obtain various licenses and permits in order to operate legally. This may include a business license, a trade license, and other permits as required by local authorities.
Register with the tax authorities: The sole proprietor will need to register with the tax authorities in order to obtain a tax identification number (TIN) and pay taxes on their business income. This may involve filling out a tax registration form and providing proof of identity and business registration documents.
Obtain any necessary insurance: The sole proprietor may also need to obtain insurance for their business, depending on the type of business being operated and the specific risks involved.
The process for registering a sole proprietorship in India involves choosing a business name, obtaining necessary licenses and permits and start the business is easy.
Not looking for Proprietorship Business? Click below to find other forms of entity registration
Other registration required after Proprietorship registration depending on business :
- GST Registration
- Registration under Karnataka Shops and Establishment Act
- Profession Tax Registration
- MSME | Udyog Aadhaar Registration
- Employee Provident Fund Registration (PF Registration)
- Employee State Insurance Registration (ESI Registration)
- STPI Registration or Non-STPI Registration
- Import Export Code (IEC)
- Trade License from BBMP
