Proprietorship business is a commonly known unorganized sector of business in India that play a crucial role in Indian Economics. A business owned, organized, running, managed and under control of a single person is called a proprietorship business. The various examples of small entities running their business activities around us are proprietorship businesses. The proprietorship business segment is providing maximum employment in India.

Type of registration for proprietorship business

• Udhyam Registration under MSME
• Business Registration No. (in Rajasthan)
• Registration under Shop and Establishment Act
• GST registration (Mandatory if Turn over more than 20 lakh per annum)
• Other registration if required

Advantage of proprietorship Business

Easy to form a business
Less legal Compliance
Cost saving registration
Slab benefit under Income tax

When a business is owned, managed and run by two or more individuals it is called a partnership business and the terms & conditions of management, and ownership of a partnership business is written in an agreement which is called “Partnership Deed.”
The partnership is governed by the Indian Partnership Act, 1932, when the deed is silent on any point or not mentioned in the partnership deed then the provision of the Indian Partnership Act, 1932 is applicable to decide.

Advantage of Partnership firm

• Easy to form a business
• Less legal Compliance
• Cost saving registration
• Extra support from partner

Limited liability partnerships (LLPs) allow for a partnership structure where each partner's liabilities are limited to the amount they put into the business. Having business partners means spreading the risk, leveraging individual skills and expertise, and establishing a division of labour.

Advantage of LLP

• Liabilities of a partners are limited
• Cost efficient compare to registration of Private Ltd. Company
• Partner is responsible only for his own misconducts
• The LLP data are available at ROC hence more reliable for financers, banks etc.
• Enjoy the advantage of company and partnership business

Private Limited company:- A Private Limited company structure is a common and widely usable structure/type of business in India. The minimum and the maximum number of members/shareholders required to form a private limited business is 2-200.

In a private limited company, the liabilities of shareholders of the company against creditor's bankers, and financers are limited to the assets owned by the company.

MINIMUM Requirement to get Private Ltd. Company registration

• Minimum share capital required Rs. 1 lakh
• The minimum no. of shareholders is 2
• Registration under Shop and Establishment Act
• GST registration (Mandatory if Turn over more than 20 lakh per annum)
• Other registration if required

Advantage of Private Limited Company

• Easy to get finance from Angel Investor and Financers
• The separate legal entity to limit the liability
• Lower Tax Bracket compare to partnership firm
• The minimum time to form a business is 1-3 working days
• Easy to wind-up compared to Public Limited companies

DLS Law Firm also provide service of registration of all types of companies like

Type of Other registration Companies

• One person Company
• Nidhi Company
• Public Limited Company
• Indian Subsidiary Company