Proprietorship Firm Registration
- Minimum compliance and quick start.
- Start a Proprietorship firm easily through Businessmitra from Rs. 3111.
Features and Benefits of Proprietorship Firm
- Quick and easy start which requires only 4-7 days.
- Single owner and no risk of dispute and business closure.
- No risk of cheating by partners.
- Proprietor is all in all of the Firm and fully liable to profits and losses of the Firm.
- Minimum compliance as the proprietor has to file only GST returns and Income Tax Returns periodically.
- Tax Audit of the proprietorship firm is required only when the turn-over of the Firm crosses a defined limit.
Suitability of Proprietorship Firm
A proprietorship firm can operate almost all kinds of business viz. Manufacturing Business, Trading (Wholesale and Retail), Marketing, Import Export Business, Service provider business, Work Contract etc.
Applicable registrations and licenses viz. Trademark Registration, ISI Registration, PF and ESI Registration, FSSAI License, Import Export Code, MSME Registration Etc. can also be availed by Proprietorship firm.
Proprietorship Firm Registration
Registration of Proprietorship firms is not mandated by Law in India. An individual can easily start a Proprietorship Business by simply getting GST Registration and other required licenses. An Individual may also opt for trade license and MSME Registration for his Proprietorship Business.
The identity of Proprietorship firm and its proprietor is not individual and the PAN number of Proprietor is considered to be the PAN number of Proprietorship firm.
An Individual can open a Current Account in the name of his Proprietorship Firm by simply providing his GST Registration Certificate or Income Tax Return having the Trade Name of the Firm depending upon the norms of the Banks and RBI guidelines.
- PAN Card, Aadhar Card, Address Proof and Photograph of Proprietor.
- Address proof of the business premises.
- Cancelled Cheque.
Trademark Registration of Proprietorship Firm
A proprietor can also enjoy the registration of his Trademark / Brand to stop others from using the goodwill of his Trademark / Brand. Only requirement for the Trademark Registration is the distinctiveness of the Trademark.
|Silver (Rs. 3111)||Gold (Rs.5111)||Diamond (Rs. 11111)|
FAQs for Proprietorship Firm.
|Proprietorship Firm||Partnership Firm|
|Proprietorship firm is owned by a single Individual who is called Proprietor.||Partnership Firm is owned by two or more individuals called Partners.|
|The Proprietor enjoys all the profits out of the Proprietorship Firm.||In Partnership Firm the Profit is shared according to shares of the partners.|
|The Proprietor is solely liable towards all the losses arising out of the Proprietorship firm.||The partners are jointly and severally liable towards all the losses arising out of the partnership Firm.|
|There is no interference of any other person in the decisions and management of Proprietorship firm.||In partnership firm the decision and management is done with the consent of partners.|
|There is no chance of dispute and risk of closure of business due to disputes in Proprietorship firm.||There are chances of dispute and risk of closure of business due to disputes of Partners in Partnership firm.|
|Proprietorship firm has less reliability as compared to Partnership firm having the single owner and single decision maker.||Partnership Firm has more reliability as compared to Proprietorship firm having more than one owners and more than one decision makers.|
|The growth rate and efficiency of Proprietorship Firm is slower as compared to Partnership firm as a single person controls and manages all business operations.||The growth rate and efficiency of Partnership Firm is faster as compared to Proprietorship firm as more than one person controls and manages different business operations.|
|The PAN of proprietor is the PAN of Proprietorship firm.||A Partnership firm has its own PAN number.|
|No separate Registration procedure available for Proprietorship Firm in law besides GST, MSME and other Registrations.||Separate Registration procedure is available for Partnership Firm in law besides GST, MSME and other Registrations.|