Thursday, 13 September 2018

Private Limited Registration in Bangalore

(A private limited company is a company privately suitable for small businesses. This category of corporate entity limits owner liability to the share they hold; maximum number of shareholders is 50, and restricts shareholders from publicly trading shares.)

What is a Private Limited Company

A company is an association of people who joint to gatherer for a common business goal. Further, they use the common pool of resource to achieve the common goal. Private Limited shall be well suitable for small scale start-up entrepreneur. This Private Limited is the one which provides a benefit of limited liability. There type of limited company restricts the liability of the share holders to the value of share they hold.

Documents that are required for Private Limited Registration

·        Address Proof of all the Directors

·        ID Proof of all the Directors

·        PAN Card of all the Directors

·        Photograph of all the Directors

·        Rental Deed of the Corporate Office

·        Electricity Bill of the organisation


Why to choose a Private Limited Company

We have plenty of reasons to choose this type of business module. But the primary reason for choosing a private limited company is that if your business is of a Risky nature, then go for Private Limited, because it has the character of Limited Liability. The share holder's liability is limited to the value of his share.

How to Register a Private Limited Company

1.   Name Approval of the Company by ROC

2.   Obtain the Digital Signature

3.   Apply of Director Identification Number

4.   Filing of Memorandum of Association and Article of Association

5.   Issuance of Certificate of Incorporation

Requirement for Private Limited Company Registration

Minimum Two share holders and it can be a maximum of 200 share holders required to form a Pvt. Ltd. Company. Further the minimum authorised share capital for forming a Private Limited Company shall be Rs.1,00,000/-. In order to form a Private limited company, you need to have a Registered office space for commercial use.

Advantages of Pvt. Ltd. Registration

Ø  Limited Risk to the personal property of the share holders and Directors

Ø  It's a legal entity, it can hold property in its own name and can sue and can also be sued in its own name.

Ø  Trustworthiness is again another important advantage of a private limited company. The term Pvt. Ltd. gives a better status.

Ø  Can enjoy the benefit of perpetual succession. Death of the director will not make any effect on the existence of the company.

Ø  It attracts investors. You can fetch investment only if it's a Private limited Company

Taxation and Private Limited Company

Private Limited Company in India is considered a tax resident; it is therefore eligible for tax under Income Tax Act, 1961. Tax rate of 30% on the total income

Call: 9941993399




Monday, 3 September 2018

Steps for Partnership Firm Registration in Chennai

What is a Partnership Firm:

As already discussed in our early article, partnership firm is where two or more people joint together with a common intention to form a business organisation. This is the most popular and the simplest way of forming a business. The partners are the owners of the firm, they are the investors and they are the deciding authorities in the firm. The profit and the loss are divided among the partners as per the Partnership Deed.

Why to choose a Partnership Firm

1. If you have some domain skill but new to business, join hands with someone who had business skill
2. If you know some business, but you lake with Finance, go for partnership with a trust worthy partner.

3. The risk is shared among the partners

Is Registration Compulsory in a partnership business?

As per the Indian partnership Act,  1932, Registration is not compulsory. Hence even an unregistered partnership firm can operate business activity. By simply signing the partnership deed, the partnership firm comes into existence. 

How to form a unregistered Partnership firm.

Step 1: Let the partners decide on the investment, share on profit and loss and other terms.

Step 2: Draft a Legal partnership from for a experienced Corporate lawyer

Step 3: Print the content in Stamp paper worth Rs.300/-

Step 4: All the partners need to sign the Partnership deed, after reading the document clearly.

Step 5: Get is signed from two witnesses.

Step 6: Get it Notarised from a Notary public Lawyer

How to Form a Registered Partnership Firm

Step 1: After deciding on the terms, conditions, investment ration, profit and loss proposition, draft a partnership deed through a Corporate Lawyer.

Step 2: Print the same in Stamp Paper, sign the document, get it witnessed.

Step 3: Get appointment on a fixed date by the Registrar

Step 4: All the partners need to be present on the specific day along with two witnesses for getting Partnership Registration in Chennai 

Step 5: Get it registered and collect the stamp paper

After Registration Activities

Apply for PAN Card

After collection of the Partnership deed, you need to apply for a separate PAN Card for the partnership firm. You cannot use the partners PAN Card as that of a Proprietorship to start a Bank Account. Apply for a separate PAN Card.

Open a Current Account

It is always recommended to make the business transactions though a Current Account. Don't ever use your personal account for business transactions. But to open a current account, your Business PAN card is mandatory in order to comply the KYC requirement.

Register your Trademark 
As you all know the most voluble assert in your business is a nothing but the Brand and the Company Names. To protect the same form copying, Trademark Registration is the best and the only Tool. This acts as a sward against duplication.
GST Registration:
GST is Goods and Service Tax which is also famously called as called as Good and simple Tax. Every Manufacturer or Service provider whose turnover crosses 20 Lakhs need to get registered under GST. 

Call: 9941993399

Thursday, 17 May 2018

How to Register a Proprietorship Firm

What is Sole Proprietorship Firm?
A proprietorship Firm is a easiest form of business entity in India. You may ask why it is easy to form. Its simply because there is no Government regulation to form a Proprietorship Firm as compared with a Private Limited Company or Partnership Firm. Sole Proprietorship is nothing but Single Ownership. Only one person controls the entire business. The Proprietor and the Proprietorship Firm are both considered as one single entity.

Features of Sole Proprietorship Firm:

1. Single owner controls the entire business
2. No much legal compliances.
3. Unlimited Liability on Proprietor
4. Both the Proprietor and the Firm are considered as a single entity

Difference between Proprietorship Firm, Partnership and Private Limited:

Private Limited Company
Single Owner
Partners are owners
Share holders are owners of the Company
Managed by
Owner himself
Partners manages the business activity

Governing Act
No Specific Act
Partnership Act, 1932
The Companies Act, 2013
Proprietor is personally Liable all the Liabilities
Partners are individually as well as collectively responsible for all the losses
Liability of Directors and Members are Limited to their shares.
No specific formality
Registration is optional as per the Indian Partnership Act, 1932
ROC Registration is compulsory
Maximum members
Only One
Maximum of 200 members


Benefits of Sole Proprietorship Firm
1. Decision making: The most primary advantage of a Proprietorship firm is that the easy decision making. As the single proprietors is the controlling authority of a business, there is no need for obtaining any approval from any BOD or partners.
2. Easy to form: As there is no legal requirement to form a Proprietorship, it is easy to get established. Even there is no big money is required to form a company
3. No restriction on Capital: The law doesn't insist on any minimum capital or not even restricts on maximum capital. So the proprietors can start his business with any capital that requires or suits his business.
4. Tax benefits: Unlike Private Limited or Partnership it is not flat 30% income tax to be paid. There is a slab. which he had mentioned in detailed below. 

Taxation for Proprietorship Firm

Taxable income
Tax Rate
Up to Rs. 2,50,000
Rs. 2,50,000 to Rs. 5,00,000
Rs. 5,00,000 to Rs. 10,00,000
Above Rs. 10,00,000

Is it need to have a separate PAN Card for Proprietorship Firm?
As the proprietor and the firm are considered as single entity, The proprietorship firm cannot obtain a separate PAN Card.

Field Specific Mandatory Registrations

Is there any mandatory requirement to run a business? Yes each business requires field specific registration. Eg. If it is Hotel, he need to obtain FSSAI, Corporation Licence, and GST (or) if it is a Garments Industry, it need to obtain Pollution Control License. 

Apart from that there are some conman licenses and Registrations

GST Registration: Goods and Service Tax Registration is mandatory if you are supplying Goods/Service within India. The basic exemption limit is Rs.20 Lakh. It will take minimum 3 to 4 days to obtain a GST Certification.
Required Document
PAN Card,
Aadhar Card,
Passport size Photo,
Rental deed,
EB Card,
Cancelled Cheque.

MSME: Micro Small Medium  Entrepreneurs also called as Udyog Aadhar registration.  As small scale industries are the back bone of the Country, Government is providing various schemes to the small and medium scale industries through MSME. The MSME registration is issued by the State Government and now from 2015 it is changed as Udyog Aadhar.
Micro Industry is which does not exceed Rupees 25 Lakhs of Capital
Small Scale Industry is which does not exceed Rupees 5 Crores.
Medium Scale Industry is which the capital does not exceed 10 Crores
The document that is required for obtaining UdyogAadhar/MSME are that the Proprietor's Aadhar Card and Bank Account details.

Trademark Registration: Trademark Registration protects your Company name, Brand Name and also Logo of any organisation. You would have seen with ™ & ® which represent Pending and Registered Trademarks Respectively. This will act as a proof to fight against Duplications.

Cell: 9941993399

Private Limited Registration in Bangalore

( A private limited company is a company privately suitable for small businesses. This category of corporate entity limits owner liability...