Sole proprietorship is one of the oldest and easiest Business Structure to start in India. A proprietorship is a type of business that is owned, managed, and controlled by one person – who is the proprietor. As the proprietorship and proprietor are one and the same, it is very easy to start and there are very minimal compliance requirements.
As the proprietor and the business are one and the same. Further, there is no limited liability protection for the proprietor from the business activities conducted in the sole proprietorship. It has an excessive number of shortcomings, like the unlimited liability of proprietor, and it does not have a ceaseless presence. Hence, this type of business entity is best suited for every small businesses with no more than 5 employees.
Sole Proprietorship Registration is perceived by different registrations, like MSME, Shop Registration, Trademark or GST registration.
Registrations a Sole proprietor can opt for :
- GST Registration
- MSME Registration
- Trademark Registration
- Shop & Establishment Registration
Documents Required for a Sole proprietor :
- Pan Card of Proprietor
- Aadhar Card of Proprietor
- Photo, Mobile No. and Email ID
- Office/ Shop – Electricity Bill , Rent agreement/ Sale deed
- Copy of cancelled cheque (only for MSME)