- Process & Timeline for Starting Proprietorship Firm in India
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Day - 1
Documentation
The process starts with documentation of the proprietor and the place of business where the business of the firm shall be carried on, ensure that the documents are updated and correct. The list of documents required is provided above
for your reference. We shall also require information in the Questionnaire For Proprietorship Registration. -
Day - 1
Selection of Name
First thing is to select a unique name of your proprietorship business and the starting point should be to search the proposed name of the business in trademark register to avoid any infringement on someone else's trademark. To learn more on trademark click here
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Day - 1
MSME - UDYOG Aadhar
To open a bank account there is need of two documents in the name of the proprietorship, one of the registrations could be Udyog Aadhar which enables an entrepreneur to seek online services offered by Government Departments apart from various other benefits under MSME Act. To learn more on MSME Registration, click here
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Day - 1-7
GST Registration
You may not be able to supply goods or services all over India unless GST Registration is obtained, However for same state supply the limit is 20 Lac. This also serves as a second document document issued for the proprietorship, which shall be required by banks while opening a bank account in the name of the firm.To learn more on GST Registration, click here
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Day - 1-7
TAN Number Allotment
TAN number is a permanent number allotted to business for complying with the provisions of withholding tax. You are required to deduct TDS while making payments, hence the next step is to obtain TAN number, which is mandatory to submit TDS Returns.
Start Immediately
A Proprietorship can commence its business immediately at the will of the proprietor, there is no specific registration is mandatory, however GST and MSME is desirable
Tax Benefit
The income of the proprietorship Firm is included in the income of its proprietor itself. Hence slab based income tax rates apply, which results in a substantial tax benefit.
Frequently Asked Questions
