Proprietorship Registration( Labor license)
Proprietorship Registration & company registrations for person who is the exclusive owner of a business, entitled to keep all profits after tax has been paid but liable for all losses; a sole trader
A sole proprietorship, also known as the sole trader or simply a proprietorship Registration & company registrations, is a type of enterprise that is owned and run by one natural person and in which there is no legal distinction between the owner and the business entity. The owner is in direct control of all elements and is legally accountable for the finances of such business and this may include debts, loans, loss, etc.
There is no mechanism provided by the Government of India for the registration of a Proprietorship. Therefore, the existence of a proprietorship must be established through tax registrations and other business registrations that a business is required to have as per the rules and regulations.
GST Registration can be obtained in the name of the Proprietor to establish that the Proprietor is operating a business as a sole proprietorship.
Under The Shops & Establishment Act, 1988 we can register and we will get Labor license certificate.
Startup Raasta is the market leader in company registration services in India, offering a variety of company registration like private limited company registration, one person company registration, Nidhi Company Registration, Section 8 Company Registration , Producer Company Registration and Indian Subsidiary registration.
Reasons to Register a Proprietorship Firm
Proprietorship Registrations with less than Rs. 3 lakhs of income is not required to pay any income tax, as proprietorship’s are taxed as the individual owing the business. However, unlike a company or LLP, a proprietorship cannot enjoy some of the tax deductions, which could potentially increase the tax liability.
Proprietorship Registrations is the only type of business entity that can be registered and operated by one person. To register a one person company, a nominee Director is required and for all other types of entities like company or LLP or partnership firm, two or more promoters are required.
Easy to wind up
The Proprietor and the proprietorship are one and the same for all legal purposes. Hence, there is no formality for winding up or closing a proprietorship. In most cases, to close a proprietorship, only the tax registrations obtained in the name of the proprietor must be cancelled.