Proprietorship Firms are one of the most common business structures used to start business by single / sole entrepreneurs in India.
-Businesses managed by a Single Entrepreneur.
-Entrepreneurs who DO NOT have a problem with having unlimited liability of their Business and NOT having a separate legal entity.
-Entrepreneurs who DO NOT wish to raise Venture Capital, Seed or Angel Funding.
3 working days from the day we receive all the documents required.
Documents required will depend on the type of Registration which is required as per your Bank. Please Click here to talk to our Business advisors to know more about this.
The above mentioned cost is an all inclusive cost for forming a Proprietorship Firm. The type of Registration to open a Current Account in the name of the Proprietorship Firm depends on Bank to bank and state to state. Generally an MSME Registration or a GST Registration is enough to open a current account with a Bank.
No. You can start your Proprietorship Firm from a Residential Address as well.
Only a Single/Sole entrepreneur can start a Proprietorship Firm
A Proprietorship Firm can even be started with Re 1/- capital. There is NO minimum capital which is required to start a Proprietorship Firm.
- Q : Is the Proprietorship Firm set up procedure completely online? If no, do I have to go to any government department to start my Proprietorship Firm ?
The Proprietorship Firm formation procedure is completely online. You just need to scan and send us the documents we need.
Unlimited Liability means that if your Proprietorship Firm incurs a business loss, your contribution to that loss will be unlimited. For example, if your Proprietorship Firm makes a Loss of Rs 1,00,000/- and the Proprietorship Firm doesn’t have enough assets to pay off the loss. In that case, the proprietor will have to contribute money from his/her Personal Assets. Thus, LLP or Private Limited is preferred over a Proprietorship Firm as they both have limited liability.
No. As per law, there is no difference between a Proprietorship Firm and a Proprietor. Thus, there is no separate PAN Card of a Proprietorship Firm.