Sole Proprietorship Registration
998399
*The price is exclusive of any amount payable to Government/Regulatory Authorities and GST.
Price
1499
Services covered :
- PAN and TAN Application
- URC Registration
- Shop and Establishment registration
- GST Registration
- PT Registration for entity in Maharashtra
Documents Required :
- Copy of Aadhar Card
- Copy of Pan Card
- Copy of Bank Account
- Copy of Address Proof
FAQ ()
Question :
What is a sole trader and a sole proprietor?
Answer :
Both the words sole trader and sole proprietor will include an individual that carries out the affairs of the sole proprietorship business.
Question :
Are there any form of disadvantages of running a sole trader business?
Answer :
Yes, the main disadvantage is the principle of limited liability would not be applicable to this form of business entity. Apart from this, the liability of the business falls on the sole owner of the business.
Question :
Is it mandatory for a sole proprietor business to be registered?
Answer :
No it is not mandatory for the business of a sole proprietor to be registered. However, during financing process, banks may insist sole proprietor businesses to be registered.
Question :
When would GST registration be applicable for a sole trader?
Answer :
Only when the threshold reaches a particular extent then GST registration would be required for the sole proprietor business. This threshold is as follows:
• 20 Lakh- for service oriented business
• 40 Lakh- for trading business.
Question :
Can a sole proprietor hires employees?
Answer :
Yes employees can be hired for sole proprietors. Small scale business entities and MSMEs get major work done through employees and labourers. There is no limit on the amount of work force that can be employed in a MSME.
Question :
Can FDI be allowed in a Proprietorship firm?
Answer :
Yes Foreign Direct Investment is allowed in a sole trader firm. However, there are specific conditions which have to be followed for receiving foreign direct investment under sole proprietorship registration.
Question :
Are there any compliance required after forming a sole proprietorship?
Answer :
Yes the following compliances are required after forming a sole proprietorship firm:
• GST Registration
• Financial Documents
• Income Tax Returns
• Any registrations which have to be carried out under respective authorities.
Question :
Can the sole proprietorship use any name?
Answer :
A name can be used for the sole proprietorship as long as it is not offensive to carrying out the business.
Question :
Can a sole proprietorship be converted to a limited company?
Answer :
Yes the business of a sole proprietorship can be converted to a company. The registrar of companies has to be informed about this.
Question :
Can the name be changed for a sole proprietorship firm?
Answer :
Yes the name can be changed for a sole proprietorship business. The change of name has to be intimated to the public through public and government notices. Apart from this the sole trader has to inform all the respective parties for the change of name.
