BUSINESS REGISTRATION IN INDIA

Corporate Solutions World Ahead
Destination of Ultimate Business Solution
Presents

WANT TO START A BUSINESS?
 ONLY ONE PERSON
 TWO OR MORE PERSON

ONLY ONE PERSON
• Proprietary concern (Sole Proprietorship)
Eg : CSWA
• One person Company (O P C)
Eg : CSWA (OPC) PRIVATE LIMITED
Legal Entity.
Limited Liability

TWO OR MORE PERSON
 Partnership Firm
Eg : CSWA
 Limited Liability Partnership (L L P)
Eg : CSWA LLP
 Private Limited Company (PVT LTD)
Eg : CSWA PRIVATE LIMITED
 Public Limited Company (Limited)
Eg : CSWA LIMITED
Legal Entity.
Limited Liability

 Nidhi Company
 Producer Company
 Charitable Company ( Sec.8 Company)
 Trust
 Co-Operative Society Etc…
TWO OR MORE PERSON
Legal Entity.
Limited Liability

Company :
One person Company (OPC)
Private Limited Company (PVT LTD)
Public Limited Company (Limited)

One person Company
 A One Person Company is incorporated as a Private Limited -
Company
 One shareholder as its Only member
 If Total Turnover exceeds 2 Cr and Capital exceeds 50 Lakhs IT must
be converted into a Private Limited Company

BASIC POINTS OF DIFFERENCES
CRITERIA
PROPRIETORY
CONCERN
PARTNERSHIP
FIRM
COMPANY
( P ) Ltd / Ltd.
LIMITED
LIABILITY
PARTNERSHIP
L.L.P
Minimum number of
owners
1 (only
individuals )
2 (individual,
company, LLP
Can be a Member)
Private Company :
2
&
Public Company : 7
One person
Company :
1
2 (individual,
company, LLP
can
be member)
Maximum number of
owners
1 (only
individuals)
100
200 in case of
Private company ,
Unlimited in case
of Public Company.
1 for One person
Company (OPC)
Unlimited

CRITERIA
PROPRIETORY
CONCERN
PARTNERSHIP
FIRM
COMPANY
( P ) Ltd / Ltd.
LIMITED
LIABILITY
PARTNERSHIP
L.L.P
Minimum number of
Board of Directors /
Designated Partner
NA
(Sole Proprietor)
NA
( Only Partners &
Managing Partner
)
Private Company :
2
&
Public Company : 3
One person
Company :
1
2 (individual,
Company &
LLP can
be Director as
Nominee)
Maximum number of
Board of Directors /
Designated Partner
NA
(Sole Proprietor)
NA
( Only Partner &
Managing Partner
)
Maximum : 15
(Can change)
No Limit

CRITERIA
PROPRIETORY
CONCERN
PARTNERSHIP
FIRM
COMPANY
( P ) Ltd / Ltd.
LIMITED
LIABILITY
PARTNERSHIP
L.L.P
COST OF
REGISTRATION
No Registration
fee
Registration fee is
Negligible
Registration fee
with respect to
Authorised
Capital & Directors
Registration fee
with respect to
Authorised
Capital &
Directors
LEGAL ENTITY No
No Yes Yes
LIABILITY OF
OWNERS
Unlimited Unlimited Limited Limited

CRITERIA
PROPRIETORY
CONCERN
PARTNERSHIP
FIRM
COMPANY
( P ) Ltd / Ltd.
LIMITED
LIABILITY
PARTNERSHIP
L.L.P
STAMP DUTY NA
Rs. 5000 /- (Five
Thousand)
Depend Up on
Capital
Rs. 5000 /- (Five
Thousand)
ALTERATION IN
DOCUMENTS
(STAMP
DUTY)
NA
Re-Constitution
Rs. 5000 /- (Five
Thousand)
Depend
Amendment
Rs.500/- (Five
Hundred)

CRITERIA
PROPRIETORY
CONCERN
PARTNERSHIP
FIRM
COMPANY
( P ) Ltd / Ltd.
LIMITED
LIABILITY
PARTNERSHIP
L.L.P
INCOME TAX
(EXCEPT S.C & Cess )
Slab Rates 30% of Profit
30% / 25 % of Profit
or MAT
whichever is
Higher
30% of Profit
or AMT
whichever
is higher
INCOME TAX FILING Compulsory Compulsory Compulsory Compulsory

CRITERIA
PROPRIETORY
CONCERN
PARTNERSHIP
FIRM
COMPANY
( P ) Ltd / Ltd.
LIMITED
LIABILITY
PARTNERSHIP
L.L.P
DIVIDEND
DISTRIBUTION TAX
Nil Nil APPLICABLE Nil
AUDITING
Applicable if
Turnover Exceed
Rupees One Core
as per Income Tax
or Two Core as per
GST Act or if Profit
declared Less than
8 % of Total
Turnover or Loss
during the
financial year
Applicable if
Turnover Exceed
Rupees One Core
as per Income Tax
or Two Core as per
GST Act or if Profit
declared Less than 8
% of Total
Turnover or Loss
during the
financial year
Compulsory
Applicable if
Turnover
ExceedRs.40
lakhs or
Contribution
Rs.25Lakhs (in
LLP Act) or
Turnover Exceed
Rupees One Core
as per Income
Tax or Two Core
as per GST Act

CRITERIA
PROPRIETORY
CONCERN
PARTNERSHIP
FIRM
COMPANY
( P ) Ltd / Ltd.
LIMITED
LIABILITY
PARTNERSHIP
L.L.P
STAMP DUTY NA
5000 /- (Five
Thousand)
Depend Up on
Capital
5000 /- (Five
Thousand)
ALTERATION IN
DOCUMENTS
(STAMP
DUTY)
NA
Re-Constitution
5000 /- (Five
Thousand)
Depend
Amendment
Rs.500/- (Five
Hundred)
CRITERIA
PROPRIETORY
CONCERN
PARTNERSHIP
FIRM
COMPANY
( P ) Ltd / Ltd.
LIMITED
LIABILITY
PARTNERSHIP
L.L.P
OWNERSHIP OF
BUSINESS
Proprietor Partner Company LLP
MANAGEMENT Proprietor
Partners &
Managing Partners
Board of Directors
Board of
Designated
Partners (D P)

CRITERIA
PROPRIETORY
CONCERN
PARTNERSHIP
FIRM
COMPANY
( P ) Ltd / Ltd.
LIMITED
LIABILITY
PARTNERSHIP
L.L.P
CREDIT
WORTHINESS
Individual
/Proprietor
Credit
Worthiness
Managing
Partners/ Partners
Credit
Worthiness
Enjoy high degree
of
Creditworthiness
Enjoy high
degree
of
Creditworthines
s
LIFE OF THE
BUSINESS
Death or
Insolvency
Death/
Resignation or
Insolvency
Perpetual
Succession
Perpetual
Succession

CRITERIA
PROPRIETORY
CONCERN
PARTNERSHIP
FIRM
COMPANY
( P ) Ltd / Ltd.
LIMITED
LIABILITY
PARTNERSHIP
L.L.P
LIABLE FOR FRAUD Proprietor
Partners
individually or
severally
Company is not
liable for the act
of Directors
/Shareholders.
LLP is not liable
for
the act of
partners /
Designated
partners
DISSOLUTION AND
TERMINATION
Termination as
per
the will of the
Proprietor
Termination as per
the will of the
Partner.
As per law As per law

CRITERIA
PROPRIETORY
CONCERN
PARTNERSHIP
FIRM
COMPANY
( P ) Ltd / Ltd.
LIMITED
LIABILITY
PARTNERSHI
P
L.L.P
CONTRACTUAL
CAPACITY
Contracts as
entered in the
name of
Proprietor.
Contracts as
entered in the
name of Partners.
In the name of the
Company
In the name of
the
LLP.
NAME PROTECTION Not Available Not Available
Register of
Company
(ROC)will
check the Name
with Existing
Business and
Trademark
Register of
Company
(ROC)will
check the Name
with Existing
Business and
Trademark

CRITERIA
PROPRIETORY
CONCERN
PARTNERSHIP
FIRM
COMPANY
( P ) Ltd / Ltd.
LIMITED
LIABILITY
PARTNERSHIP
L.L.P
POST Sole Proprietor
Partner /
Managing Partner
Director /
Managing
Director/ CEO /
C F O/
Chairman etc.
Designated
Partner
/Partner / CEO
/C F O/
Chairman etc.
Listing of Shares N A N A
Only Limited
(Public Limited)
Company
N A

CRITERIA
PROPRIETORY
CONCERN
PARTNERSHIP
FIRM
COMPANY
( P ) Ltd / Ltd.
LIMITED
LIABILITY
PARTNERSHIP
L.L.P
Governing Laws (Major) GST /Income Tax GST /Income Tax
GST /Income
Tax /Companies
Act/AOA
GST /Income
Tax
/LLP Act / LLP
Deed
Registered Authority
(Officer )
NA Registrar of Firm
Registrar of
Companies (ROC )
under Ministry of
Corporate Affairs
(MCA)
Registrar of
Companies
(ROC ) under
Ministry of
Corporate
Affairs (MCA)

Prepared By SAVEESH.K.V. FCS
Managing Partner of CSWA : CA & CS
CSWA Bhavan , II nd Floor, N.T.A. Complex (Near Mankavu Bridge ) , Mini
Bye Pass Road, Mankavu, Calicut 673007, Phone : 0495 -233 14 15 Mob : :
+91 9567 49 43 97 , +91 7558 02 71 40

BUSINESS REGISTRATION IN INDIA

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