We can consider the following things before we can start the business in India
1) Business activities
2) Investment amount
3) Number of persons to start the business
4) Place of business
Based on above things we can categorized the companies in following ways
1) Proprietorship Firm registration
2) Partnership Firm registration
3) LLP (Limited Liability Partnership) registration
4) OPC (One Person Company) registration
5) Private Limited Company registration
6) Public Limited Company registration
1.a) Overview of Proprietorship Firm Registration
a) A Proprietorship firm have any name but it does not have already registered trademark name.
b) A Proprietorship firm has less than Rs.2.5 lakhs of income per annum is not required to pay any income tax.
c) Proprietorship firm is not separate legal entity as compared as other company registration.
1.b) Proprietorship Firm Registration types
Sole Proprietorship Firm registration can be done in 5 ways in India
a) Register under MSME/Udyam
b) Register under GST
c) Register under FSSAI
d) Register under Shop and Establishment Act License
e) Register under Trade License
1.c) Advantages of Proprietorship firm
a) It will take very less time to register as compared to other company registration.
b) The income tax rate for sole proprietorship firm is the same as that of the income tax rate of individuals.
c) As comparison to other business form, cost of registering proprietorship firm is very low.
d) It is the life time certificate when you register under MSME/Udyam or GST. You can’t renew that certificate.