Proprietorship
VSB Consultants can help you register a Proprietorship in 2-7 working days.
Contact You
Our relationship manager will contact you, understand your requirements and clear your queries.
Documentation
You will provide the relevant documents according to package and make payment.
Registration Process
We will prepare the file, get it checked from you and submit to get the registrations done.
Company Kit
We will send the relevant registration documents along with invoice through email and wish you all the very best 😊
Why Choose VSB Consultants ?
Proprietorship Registration Cost
- MSME Registration
- MSME Registration
- GST Registration
- TAN Registration
- MSME Registration
- GST registration
- TAN Registration
- 3 months of GST Return Filing
FAQ's
Most Frequent Asked Questions
Proprietorship is a business entity owned and controlled by one person. When the ownership rights of the business are with a single person, the business is said to be in proprietorship form and the person is called proprietor. Generally small businesses operating in the unorganized sectors prefer Proprietorship form of business.
A proprietor is the owner of the Proprietorship business. He is the one who owns the business 100%.
- Unlimited liability of owner Since a sole proprietorship does not create a separate legal entity, the business owner faces unlimited personal liability for all debts incurred by the entity. In other words, if a business cannot meet its financial obligations, creditors can seek repayment from the entity’s owner, who must use his or her personal assets to repay outstanding debts or other financial obligations.
- Limitations on capital raising Unlike partnerships and corporations, sole proprietorships generally enjoy fewer options to raise capital. For example, the owner cannot sell an equity stake to obtain new funds. In addition, the ability to obtain loans depends on the owner’s personal credit history.
No there is no requirement of separate PAN for proprietorship. PAN of proprietor is the PAN of the business entity i.e. the Proprietorship firm.
TDS deduction rules become applicable to proprietorship only when the business of the firm surpass 2 crores in a financial year or the firm declares profit below 8% of sales and become applicable of audit under the income tax act.
Businesses providing services needs GST registration when there financial turnover in a financial year exceeds 20 Lacs and for other the limit is Rs. 40 lakhs (Rs 10 lakhs for NE and hill states).
In the eyes of law, proprietor i.e. the owner and business is the same entity. But for all other purposes the proprietorship does have a separate name of its own and thus in order to protect that name of the business, so that no one copies the name of the business to take the advantage of the reputation built by proprietor, it becomes necessary to get the name of the business trademark and protected from being copied in future.
There are several advantages of going ahead with MSME registration:
- MSME Business can get a loan at a cheaper rate
- There are several tax benefits to the industries operating as MSME
- MSMEs are allowed for MAT or minimum alternate tax that can be carried for up to 15 years
- Government has also given special benefits to MSMEs by opening certain tenders only for industries operating under MSME
- It is easier for MSME to get credit
- After successful MSME registration, the cost of a patent or setting up industries gets reduced as there are many concessions for such industries.
- Businesses registered under MSME have a higher preference for a government license.