An Overview of Sole Proprietorship

As the name suggests, Sole Proprietorship is that form of organisational structure wherein the business is owned, managed and controlled by a sole person or a sole owner. Micro and small business owners generally prefer the sole proprietorship business structure, i.e., operating in an unorganised sector.

The Government of India has not outlined any system for the registration process of a sole proprietorship. Therefore, it is identified by alternate registrations or licenses that the business needs to take and abide by as per the corporate framework of those registrations or licenses. This alternate registration is the tax regulation like GST registration, which is in the name of the owner in order to confirm that the proprietor is the one operating the business as a sole proprietorship.

Document Required for Registering a Sole Proprietorship in India

The documents mentioned below need to be filed for sole proprietorship registration.

For Director

• PAN Card scanned copy (Mandatory)
• Scanned copy (for ID Proof):
• Aadhar card
• Passport
• Voters ID
• Driving license
• Scanned copy. (Not older than two months, preferably the latest one) (used for Address Proof):
• Latest bank statement
• mobile or telephone bill
• gas or electricity bill
• Passport size photograph

For Registered Office

• The scanned copy of the rental deed if the registered office is on leased or rented property (in Shops & Establishment Act Registration).
• Scanned copy of sale deed or property deed; if the applicant owns the property of the registered office (in case of Shops & Establishment Act Registration).

Benefits of Registering Sole Proprietorship.

Easy to Start a Business

The Government has not prescribed any form of mechanism in getting the sole proprietorship registered; it requires licenses or registrations that are peculiar to the nature of the business. Anyone can start their business as a sole proprietor using the name in the licenses or registration, also known as the trade name.

No Minimum Capital Requirement

A sole proprietor can start an entity with a small amount of capital, and it works well with those who are not in the position to influx a large amount of capital into the business.

Ease in Compliance

As sole proprietorship is not regulated by any law, they have to follow a minimal compliance process. The compliance requirements of sole proprietors rest on the licenses or registration the firm has taken. For instance, if the sole proprietor is registered under the GST law, they have to comply with the rules and regulations of GST return filing.

Ease in Decision Making

The sole proprietor business is owned, managed, and controlled by a single person; there won’t be any conflict of interest, ideas, or decisions. One of the significant advantages of a sole proprietorship is that they merely have to make sound and informed decisions based on what is best for the business. Thereby the decision making and execution is faster than other forms of businesses.

Timelines for Registering Sole Proprietorship

Our team of experienced professionals offers complete assistance with the registration process of the Sole proprietorship. It would take approximately 10-15 days for the completion of the registration process, depending on the time taken by the relevant authorities for approval and revert.

We ensure that our clients get the best of the services and that too economically. For sole proprietorship registration, our experts give you their professional guidance . So, grant us to be part of your successful journey.

Contact our team of professionals to get the registration of your sole proprietorship seamlessly.