Keep it Simple, Stay Agile
It is the simplest form of business entity operated by a single person. There is no separate incorporation process involved and the business operations can be started once approvals are received from the relevant authorities governing the business activity.
The features of a Sole Proprietorship Business are
- Owned by a single individual
- No separate incorporation process involved
- Easy to incorporate and wind-up
- Relevant Income tax and other compliance are applicable
Steps for starting a Proprietorship Business in India
- Proprietor should obtain a PAN and other KYC documents
- Decide on a business name or trade name
- Open a business bank account (based on the proprietor's KYC documents)
- Apply for relevant business permissions and licences to operate the business
- Comply with Income tax/ TDS/ State Specific rules as applicable
If you are starting out as a founder-entrepreneur or a small business, you can consider setting up a sole proprietorship entity. Maintaining the prescribed books of accounts, and following the relevant rules and responsibilities are important, even if you are a small company (sole proprietorship company in India).
We are a new-age financial accounting company, that upholds age-old values and principles of Chartered Accountancy. We offer a fairly-differentiated set of services, tailored to specific business goals and challenges.