The present Indian economic environment is matured with opportunities for individuals, who are willing to exclude themselves with the idea of a great business. However, before going on this trip, you should do some homework when you start a small business.
The Process to start small business include making a good business plan, doing relevant market research, finalizing financing sources, and applying business models. Once you have accepted your views with these steps, then you have to do legal formalities to establish a business in the country.
Your business can be one of the following types:
Sole Proprietorship - A business is run only by you, which does not require much registration
Partnership - with more than one person-run business, responsibilities and shared revenue between them
Limited liability partnership - partnership business driven by many people with personal and limited responsibilities, but is not liable for others' decisions
Private Limited Company - A business that is kept by you and / or your colleagues privately and can not be in: Over 50 shareholders Public trade of shares
Public Limited Company - Business registered under the Companies Act (1980): Essential capital requirements Public trade of shares
Once you choose the type of business, you will start, the following sections will tell you how to start a small business:
1. Digital Signature Certificate
Apply for a digital signature certificate (DSC) from any MCA authorized agencies,this is really important which will receive in 2 to 5 days
2. Incorporation of Company: Enter the desired company name on the MCA website with the company's registrar and make sure it is available for use
For the investigation and approval, submit the company's registrar (ROC) to the company's main objectives
Finalize the documents usually prepared by the secretary of the company:
Memorandum of Association, which lists the names of main, subsidiary, subsidiary, and other parts of the company as well as the authorized share capital of the company and its earlier directors.
Articles of association that describe the rules and procedures of the company's regular conduct
Register your office address and submit the letter of appointments and appointments to the board of directors.
3. Payment of fees:
Once you have made your business' incorporation, you will have to pay the required fees and stamp duty before filing the Ink 29, which will be as below (base capital that you invest):
Rs 100000 - Rs 5,000
Rupee. 100,000 of each authorized capital of 500,000 to 4000 rupees
Rupee. From Rs. 50,00,000 to Rs. 1,00,000 authorized capital - Rs. 3,000
For each thousand rupees of each authorized capital of Rs. 1,000,000 Rs. 750 as an authorized capital of Rs. 100,000 for each rupee
4. Certificate of Incorporation: You must submit the digital and physical copies of the following documents to receive the ROC's certificate of your incorporation:
Form E Form 1 ( Pointing that all requirements of the incorporation process have been fulfilled), e-Form 18 (informing about the ROC of the registered office of the company) and e-Form 32 (proposed director) To be filed by
Signature and stamped form of memorandum and article of association Initial consent of directors
Original letter approval
Stamped power of attorney documents
5. Income Tax Registration:
Once you have added your small business, you will have to register with the relevant tax authorities who will help you start a small business.
Permanent Account Number (PAN) which can be obtained by filing an application form with Form 49A with Income Tax Department.
Tax Account Number (TAN), which is required for anyone responsible for tax deduction or collection, you will have to use Form 49B for it and submit it to any TIN Facilitation Center authorized to get E-TDS return.
You will also need to register for value-added tax (VAT) number along with other tax requirements such as professional tax and service tax.
6. Labor Law Process: These rules define basic employee policies that are required to be in any business.
Registration with the Inspector, Shops, and Office of the Establishment Act
If the employee has more than 20 employees then registering with the Employees
Employees State Insurance Corporation, registration with a Social Security Scheme to provide security for employees