The leading business advisor, ebizfiling is a leader in sole proprietorship firm registrations in India. Register Sole Proprietorship Firm in India is the favorite business form for small entrepreneurs. It simply allows starting a firm with small capital and in a short time frame.

A sole proprietorship firm is a type of business entity that is owned, controlled and managed by a single person. The owner of the Business is called Sole Proprietor of the Firm. It requires a very simple process with minimal legal compliances and formation costs. Most of the local offline businesses prefer proprietorship. Check out the major aspects and requirements for the sole proprietorship firm registration.

Key Features of Sole Proprietorship Firm in India

Traditionally, sole proprietorship is the preferred way of setting up a small-scale business for most of businessmen. The main features of this business type clearly identify it from the other types.

1. Proprietorship requires one person and basically a one-man show.
2. The business is owned by a single person.
3. Due to the involvement of a single person and minimum legal compliances, it is much easier to start and dissolve the firm.
4. Tax-related and other legal compliances are minimum.

A sole proprietorship structure can be used by a service provider, a manufacturer as well as by a trader or a merchant.

How to Establish a Sole Proprietorship Firm in India

All the business structures need to follow the formation procedures and necessary registrations. This brief yet complete procedure for sole proprietorship registration will help you to get ready with the document requirements.

1. The proprietorship registration is done under SSI/MSME Registration at ebizfiling. The list of documents is given further for your ready reference.
2. Apply for the service tax number or GST registration.
3. Obtain the service tax or VAT/GST registration certificate from the authorities.
4. Open a current bank account.

Though there are no other governmental formalities required for sole proprietorship formation, it may require certain registrations depending upon the business. For example, a firm dealing with import or export will need DGFT IEC code registration. For the registrations of GST and service tax, we highly recommend you to get the help of our professional services available at incredibly low service charges.

Documents Required to Start Proprietorship Firm

The documents required for the sole proprietorship is quite simple. Generally it involves the basic documents to identify the proprietor and the firm.

1. Self Attested PAN Card of Applicant
2. Self Attested Adhaar Card of Applicant
3. Self Attested PAN Card of Entity (if any)

This hassle-free registration process aloof of any real legal registration is the best feature of the sole proprietorship firm in India. It is also the oldest form of business in India. Applying for the necessary tax registrations and bank account is the only compliance to start the business.