- Proprietorship
- Partnership Firm
- Public/ Private Limited Company
- Foreign Subsidiary setup in India
- One Person Company
- Limited Liability Partnership
- Society / Trust
- MSME/ Udyam/ Udyog Aadhar
- Start up (a Govt of India initiative)
- Export Import Code
- Shop & Establishment Registration
- Professional Tax Registration
- Registration under ESI/ PF Act
- RERA Act.
- GST
- Registrations under Foreign Contribution and Regulation Act.
Proprietorship
Proprietorship or Sole proprietorhip is an unrecognized form of business venture, controlled by a single Individual and most common form of business in India. Proprietorship concern is easiest to start, having minimal regulatory compliance requirement for starting. But unfortunately there is no mechanisim provided by Indian Central or state Governments for registration of propreitorship. So, alternately registration of proprietorship can be covered under other existing regulations like GST, Udyam (MSME), TAN, Trade mark. FSSAI, IEC etc.
Partnership Firm
Partnership firm is the best organisation for micro scale business, where two or more persons like to carry any business. Partnership firms are most prevailing business organisation in India, because it is very easy to form on the basis of one partnership deed only. Moreoevr, registration of partnership firm is also not compulsory, but it is always advisable to get your firm registered with Registrar of Firms, because registred firms are having some benefits over unregistered firm as mentioned in section 69 of Indian Partnership Act.
Public & Private Limited Company
These two formats are the most recognized form of a organisation in India. Registered with Registrar of Company, Ministry of Corporate Affairs of Indian Government, a company incorporated under Indian Company Act 2013. As name suggest Private limited company is a private concern, members limited to maximum of 200 members along with minimum of two. On the other part a public company is a conecrn in which large number of persons can involve without anu restrictions. This form of business venture is also most suitable for Foreign companies & nationals because there is no restriction of any FDI or involvement of Foreign entities in Public or Private limited companies.
Foreign Subsidiary Set up
Investing or owning in India is very liberal with introduction of liberal policy of India towards FDI. Any Foreign National or Foreign Entity can incoporated Foreign Subsidiary in India. (except nationals of Pakistan and Bangladesh). Most suitable form of business entity to set up a foreign subsidiary is setting up a Pvt Ltd or Public Ltd Company in India.
One Person Company (OPC)
OPC is registered form of entity with benefit of sole propreitorship. When a propreitorship wants to do a business in a recognized way, OPC comes forward in advance to all other forms. But still that propreitor still need a nominee (to work if sole controller of OPC dies or otherswise disqualify in act). Moreover OPC has its own limitation and cannot go beyond annual turnover of Rs 2 Crore, in that case OPC need to compulsory conevrt in to a Pvt Ltd Company.
Limited Liability Partnership
Most beautiful form of business entity to do business at MSME level. Having benefits of both a partnerhip fim and a company, LLP is still less popular form of Busienss, because of its unrecognisation with Income tax Authorities. In Indian Income Tax it is treated similar to a normal partnership firm and having excess rate of tax as compared to Public/ Pvt Limited Company.
Society/ Trust
This venture is useful when someone wants to do any charitable, social, religious, educational activity in a registered and recognized way. In legal sense "trust is a legal arrangement in which a person holds property for the sake of some other person. whereas, Society is an association of person, who come together to fulfill any particular purpose, described under the act." To create a trust, there must be at least two persons required, whereas a minimum of seven members are required to set up a society
MSME/Udyog/ Udyam Registration
MSME or Udyam (formerly known as Udyog Aadhar) is a registration as metioned in Micro, Small and Medium Enterprise Development Act, 2006 and a recognigation to Micro, Small & Medium Enterprises. A lot of benefits has been provided by Govt of India to MSME sector, hence it is always advisable to get yourself registered under MSME/ Udyam.
Registration under Start up India
"Start up India" is a very inovative scheme by Ministry of Commerce & Industry under Department for Promotion of Indusrty and Internal Trade (DPIIT). In order to access various tax benefits, easier compliance, Patent fast registration & easy venture capital registration under "Start up India" is always desirable. To get recognised under Start up India, you must have registered entitiy either Company, LLP or Registered P Firm and meet some other more criteria. Venture must be working towards development or improvement of a product, process or service and/or have scalable business model with high potential for creation of wealth & employment.
Export/ Import Code
All entities which are involved in export and (or) of goods or services required to get itself registered compulsory with Director General of Foreign Trade and to obtain IEC( Import Export Code). It is permanent registration and valid till revocation or clousre of business.
Shop & Establishment Registration
This is a state object and in various states an entity has to get registered itself under relevant state's Shop & Establishment Act. Multiplation registration is required for each office.
Professional Tax Registration
This is also a state object. Various states imposes some professional tax on employees working in their states. Employer has to get himslef registered under this act, has to deduct Professional tax out of salary payable to employees and deposit that deduction to State Govt Tresury along with annual return.
Registration Under ESI & PF
ESI: Employee's State Insurance is apllicable on all entities having 10 or more person employed and monthly salary does not exceed rs. 21000/-. It is a medical security scheme for low income group employees
PF: Providend fund: EPF is the main scheme under the Employees' Provident Funds and Miscellaneous Provisions Act, 1952. The scheme is managed under the aegis of Employees' Provident Fund Organisation (EPFO). This Act is applicable on any organisation employing more than 20 persons and salary limit is Rs 15000/- Per Month. This is a Social security scheme by Central Government of India, wherein employee of low income class got a huge lumpsum amount on retirement as secuirty to his personal life.
Registration Under RERA
Real Estate Regulation and Development Act, 2016 is a new Act, specially for entities, which are engaged in the business of real estate including real estate agents. RERA is an act for regulation and promotion of the real estate sector to ensure the sale of apartment, plot or building in an efficient and transparent manner. t is mandatory for the developers to get all approvals from various government agencies before launching a project and disclose all the information on the website that the respective state RERA regulatory authority will set up. This will help in eliminating the possibility of misleading the purchaser. The authority has wide ranging powers to impose penalties and imprisonment of agents in case of violation of the law.
GST
Goods & Service Act: Every business entity having turnover more than 40 Lakh in a year and any service provider having total receipts more than 20 lakh (except some exceptions) has to compulsory get registered under GST. Some Businessman also opt for voluntarily registration under GST, inspite of lower turnover to improve business creditability, to avail Input tax credit & to meet B2B requirement. GST registration is also a valid proof of existance of your business. Although it is a Central tax, but the entity has to get registration in every state, where its business exists.
Registrations under Foreign Contribution and Regulation Act.
FCRA: The FCRA was enacted with the primary purpose of regulating the inflow of foreign contributions and ensuring that the received foreign contributions are not utilized for illegal purposes. All charitable organizations in India receiving foreign contributions come under the purview of this Act. Foreign Contribution and Regulation Act 2010 (FCRA) is enacted with the following objects:
• To regulate the acceptance and utilization of foreign contribution or foreign hospitality by certain individuals or associations or companies and
• To prohibit acceptance and utilization of foreign contribution or foreign hospitality for any activities detrimental to national interest and for matters connected therewith or incidental thereto.