Types of  Business Registration in India | Requirements for Business Setup
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Types of Business Registration in India | Requirements for Business Setup


Subscribe To our Channel and Click on the Bell button to watch our eCommerce related videos Hi Friends How are you all? Hope you all are fine Today We will discuss about How many types of business Registration are available in India and For your business Which business registration you should do So Watch this video till the End Hi Friends, I am Moumita and welcome to our channel This is a common question often asked by a new entrepreneur Which type of Business should be registered? So In our country basically there are 5 types of Business registration So today lets talk about every Business Registration, Advantages,Disadvanages, What will be the requirements and expense or Set Up Cost Hope you will get help to decide Which type of business registration you require to do Lets go to the screen So Friends basically There are 5 types of Legal Business Registration available 1.Private Limited Company 2. Limited Liability Partnership (LLP) 3.One Person Company 4.Partnership Firm Registration And Sole Proprietorship Firm Lets Talk about Private Limited Company First Pvt Ltd Company Registration is popular We all know whenever it calls Company registration first name comes on mind is Private Limited company Private Limited is called Proper Legal entity Now lets talk about advantages of Private Limited Company Like I said Private Limited company is popular and even trustworthy I have used “Trustworthy” word means Private Limited is having so many compliances there are so many processes as well So easily Private Limited could not be able to involve any fraud activity 2. You can easily raise funds from Angel Invenstor,Venture Capitalist If you are registering Private Limited On Share basis you can raise fund from angel investor from Venture capitalist and even from Banks Angel Investor & VC always invest funds in exchange of company shares If you are thinking for getting investment in your Start Up If you think your business ideas will need enough fund to run later on Then you should register Private Limited Company for your business So that means you can easily get the funds in your business through Private Limited Company 3. If you want to expand your business within States or Globally like you want to open Branch offices in different states Then you can register private limited company and expand to different places 4. Company Directors liability are limited Limited Liability means If you have taken any loans If you have raised funds in company name so at the time of recovery liability always will be on company and company assets and your personal assets will remain untouched Next advantage is 5.Business name whichever you want to register that should be unique and nobody can take the same business name for their respective company So your business name will be remain protected with business registrar of MCA Now lets talk about Disadvantages of Private Limited Company First, is set up cost means registration cost will be higher than compare to other Business registration Secondly,Private Limited Company should follow many Annual compliance Annual compliance includes Annual General Meeting Board Meeting required Company secretary & CA also will be required for company audit Even to close private limited company ,there are many compliance need to be followed even closing costing for private limited company is also near to Same amount of Registration These all are disadvantages of Private Limited Company now the Requirement of Private Limited: Minimum 2 persons are required to start Private Limited Company You can include your family member as well You may include your wife, you may include your father or mother anybody so minimum 2 persons who can be anybody to start And set up cost will be approx Rs.14000 Somewhere cost can be Rs.12000 or somewhere cost can be 13000 So within Rs.14000 you can register your Private Limited company 1 Important fact is you may start your private limited company with 2 persons only but later you may add more Directors to your company Now Lets talk about Limited Liability Partnership Advantage 1. Like Private Limited company here is also you can get the feature of limited liability like I told before in Private Limited company Liability part In LLP there are no Directors term instead of Directors in LLP Business Registration everybody called Partners like partnership firm In LLP, set up cost will be less as compare to Private Limited and in LLP additionally there will be some features of Private Limited also like Limited liability,business name protection these all features will be add on in LLP Annual compliance will also be less unlike Private Limited Company compliance Like in the time of Audit,Taxation there will not be much compliance required such as Annual General meeting,Board Meeting etc As per Disadvantages of LLP If you want to raise fund to your company in future through Angel or VC In LLP raising fund is not possible and second disadvantage is you will not able to expand your business globally If you are thinking to expand your business in future so complications may come in LLP Due to complexity of LLP Lets talk about Requirement Like Private Limited minimum 2 persons may start LLP You may include your family member in LLP Set Up cost will be approx Rs.8000 Now Lets talk about One Person Company Advantages includes features will be same like Private Limited Company Single person has to register as a Founder of the Company It is called One Person Company means only 1 single founder will be the legal status of the company 2nd Advantage is You can raise funds from investors like private limited company And Your business name will be protected like Private Limited & LLP means whichever business name you may register for your company will be protected Now Disadvantages are In Private Limited company you can register 2 persons initially but later you can add more persons Unlike Private Limited company you can not be able to add any person once you register One person company 2nd Disadvantage is Set up means Registration cost will be higher likePrivate Limited Company Nearly same like Pvt Ltd Requirement is only 1 person Set Up cost will be near to Rs.13000 Lets talk about Partnership Firm Registration Nowadays not so popular Because Partnership Firm Registration is best for Family Traditional Business In Partnership Firm Registration terms are decided by the Partners by the Family members No rules are followed in Partnership Firm Registration only depends upon partners terms & conditions Thats why its best for Family Traditional Business where all terms are set by Family members only Now lets talk about Disadvantages Set Up cost is nearby LLP but no feature of LLP Flexibility will not be available like LLP or any other company registration You will not be able to raise funds from angel investors & VC Firms You will not be able to expand your business across country & globally as well And even there will be no Business Name Protection as all terms are conditions are set by own Same business name can be used in other’s business also even within Same Area Like example Mohanlal & Sons is one partnership Firm in one Area, Same Business Name Mohanlal & Sons can be registered by somebody else in same area Requirement is minimum 2 Persons & Family members can be included Set Up cost means Registration cost comes around Rs.7000 Now Lets talk about Sole Proprietorship Firm Advantages are like Easy to Register & easy to Shut Down Documents are required less and cost is low so in minimum cost you can start or close Sole Proprietorship Firm Annual compliance for taxation is also very less as compare to other type of business registration 1 important advantage is If you start with Sole Proprietorship Firm initially later you can convert & Register your firm to any other type of business like Private,LLP etc Now the disadvantages are Liability will be completely on Proprietor means if Proprietor is borrowing loans from Banks Or others so only proprietor will be liable for recovery of any types of Loans and if recovery can also be taken from Personal assets Many other disadvantages are You can not be able to raise funds from investors You can not expand your business Business name also can not be protected Requirement will be 1 Person to start Family member name even can be used to start Sole Proprietorship Firm For Proprietorship there is no such certificate available from government So No charges applied for Set up of Sole Proprietorship firm But how you can register Sole Proprietorship Firm? First of all to register your business name for sole proprietorship Firm there are 3 Ways of Register 1. You can apply for local license or Shop Act License 2. You can go to any CA and get Certificate on your business name 3. You can register under MSME For Online selling you can register Sole Proprietorship Firm Then you can apply for GST How To register under MSME, We will give you the information in our next video If you want to register Sole Proprietorship Firm from CA or Legal Business Provider Cost will be approx Rs.2000 to 3000 These are the types of Business Registration So Friends I hope you got the clear idea how many types of business registration are available In our next video I’ll discuss how you can register Sole Proprietorship by your own under MSME So see you on next video If you get helpful information from this video then Like & Share this video If you are new to our Chanel Then Subscribe our Channel Be Happy always

74 Comments

  • Yash Kumar

    e commerce start krne ke liye kya kya equipment chaiye or computer km se km konsa hona chaiye like duol core. core2duo ya i series or Sam questions printers Ka h km se buggut me bataye or printer kon c company Ka plz ans

  • VIJHAY CHANDHAR PUTTA

    if want to start online selling business in amazon.in and flipkart… minimum how many products should I list? can I start 1 or 2 products.

  • krishna veni

    Hi madam,
    i have a question regarding products.
    where to buy products for selling on Amazon or flipkart?
    please help me on this.

  • Be champion

    mam mai student hu kyia mujha ECOMMERCE business start karna ka lyia GST mil jayaga or kon sa regestration karna padga MSME ma
    or local muncipality sa koie document v lana padga
    please mam mujha replay kara

  • Chitra Ahire

    hi,mam which registration should I do to start selling on Amazon,flipkart means what would be your preference

  • Avinash Pol

    Madam I had seen one of other youtuber videos, In that video I had seen there a Amazon seller university page in that page we have to see where is low competition there is opportunity to sell products, Amazon recommended that which product have to sell, I had just registered on amazon please tell me where should i see that information

  • GLOBE TRADING.

    Hello mam
    i want to know can we photoshoot products clothing on mannequin and upload to amazon, flipkart etc to sell is there any restrictions as i didnt saw any mannequin on sites? im going to buy mannequin would I or not?

  • nDs log

    hello mam,
    how r uh ? hope everything is going gud..
    I live in Dehradun, uttarakhand.
    I wanna start e-commerce business. but any of e-commerce websites like amazon, flipkart, etc
    are not providing pickup service of product in uttarakhand.?? so I need your help…
    plz contact me on whats aap 885-999-1234 … plz help me

  • Sushilgg

    medam ji online selling ke liye companies se authorisation letter ki jaroorat hota hai ya nahi sirf purchase bill se hi sell kar sakte hai? authorisation letter kaise le iss par koi video banaiye plzz

  • Noman Ur Rehman

    e commerce compny commission& shipping charge pr tax lgati hai uska credit kaise milega…
    iske liye koi video bnaye

  • Sree Dpak

    thq u mam for making this video nd gvng information…. nd can u please tell me mam, how to buy products to sell in amazon.in nd where to buy products…. nd this is 1st time to me doing this e commerce business mam, so for the 1st time how many prdocuts can i sell in amazon.in nd can i take nly one product to sell or i have to take multiple products??? nd how much quatity i hve to buy the products for the 1st business….??? please help me with dis doubts mam……….

  • Lakshay Sachdeva

    will you pls help me
    where can I get selfdeclaration format in flipkart and what type of primary packaging they want
    can I give address of manufacturer of some other country??

  • Muhammad Jamil

    Hi me ecommerce site par ladies garments ka business karna chahta hoon par kuch problem hai main ab tak jitne bhi local ladies garments manufacturers se mila unhone kaha ke hamare paas jo collection hai wo 15 ya 20 din baad naya aata hai to agar main apni inventory me baar baar change kar ke naye products sell karoonga to kya isse mere seller rating par kuch asar hoga ya nahi agar hoga to mujhe kya karna chahiye
    Mujhe ek supplier ne bataya ke baar baar ek hi product sell karne se customer bor hota hai aur aap ka sell kam hota to mujhe kya karna chahiye guide kar

  • Muhammad Jamil

    Mam product ke niche jo star hote hai wo products ke star rating hote hai ya seller ratings star hote hai

  • KeyUR Bhatt

    me gst registered small e-seller hu.. me jis wholesaler k pass se maal le raha hu vo without Gst no. ka bill de raha hai

    to kuch problem to ny??

  • Mahesh Kasthuri

    For those who want to sale seasonal products on eCommerce websites and make profits please contact with us at [email protected] We are upcoming wholesalers and will give you best quality and best price for bulk orders (MOQ: 10).

  • TEC - Corner

    Could you make video about E-commerce GST returns submitting on GST portal. I am waiting to that because i am going to start online business.I am studying online E-commerce business through your videos so that i request you to the final part of E-commerce(GST returns )

  • Yo-Yo Aalya

    omg you're types of people have Help our prime minister " make in India " better

    I feel proudly you are doing great.. & I'm with you
    thanks you…

  • Rajroshan Jaiswal

    mam mere ek Question hai plz help me, mere already (Sole proprietorship firm) tours and travels ka gumasta licence hai aur wo * tours and travels ke naam pe register hai. but ab mujhe online eCommerce business bhi start karna chahta hun to ye ho skata hai ki main apna tours and travels ka business bhi start rahe aur main online business bhi start kar saku. ek hi business registration pe possible hai kya? . plz suggest ..

  • DR NISHANT ROY

    If i want to start a private label brand it will come under manufacturer​ or services..

    As i will import produts from China as my private label produts

  • sandeep bonavate

    Good morning mam,
    I have couple of queries abt packaging. If I want to start an online business and want to sell some other branded products suppose frm China. So do I have to use my own packaging to sell or is it OK to use there branded package?
    2. What 'cloudtale' does under such situation?

  • rizwan solanki

    Hello
    I want to know 3rd party invoicing software for ecommerce selling
    Easiest way in which i can make product bill automatically
    That software sync with my sells channel and auto generate invoice for product .
    Its hard to generate manual invoice for every product

    Please help if anyone knows it

    Regards

  • Tittu Mazumdar

    maam, Amazon pe product sell karne k liye kya business registration karna jaruri hai..? agar jaruri hai to pls mujhe bataiye

  • harish shahi

    you took a long time to explain all these which were not required to take more than 5-7 minutes… i will suggest you to speek fast.

  • Manoj a myp

    so you mean I want to start computer shop sales and service ,so I no need to get company certificate ,just GST registration is enough

  • Pratik Fagadiya

    main new online selling ka bussiness karna chahta hoon lekin mere pas khud ki shop nahi hain i mean i am j student or main naya bussiness start karna chahta hoon ghar se small bussineas lekin form main GST anivarya hai is liye mujhe GST number kadhana padenga lekin meri to khud ki shop hi nahi hi n hi busssnessto kis base pe main GST number loon ?? kYuki GST registration form main bhi bussiness pancard chahta hai lekin vi bhi nahi hai to kya karu ? ghar pe bhi mana kar rahe hai ki small busainess ke liye pancard nahi nikalna hai isliye plz ans me

  • Pratik Fagadiya

    lekin madem aisa to nahi honga na ki GST register main mere papa ke naam se karu or amazon me bank account detailt mare naam pe rakhu aisa possible hai ?

  • vasudevan namboodiri

    Hiii , Thank you very much for your informative videos. 1. If I want to get GST No. in my own residence address,what doc. I have submit instead of rent agreement ? 2. When i apply for GST whether I have specially mention as "online" or can I use this GSTIN for both online and offline?

  • Rimpa Dutta

    Hi.. I make some handmade craft item. can i sell on Amazon or flipkart? but iske liye kya mujhe gst registration karna parega? please help me out

  • shubhangi kadam

    Mam mujhe ghar se hi business start karna he aur online sell karna he to online sell ke liye company name aur tin number register karna ho ga kya agar ha to registration process kya he plsss guide me

  • Chandrajit Mundafale

    Mam Mai Dubai me rahata hu or mujhe India me ola cabs type ka business karna hai….starting me chota business karna chahta hu….. please mam iske liye mujhe Kya documents lagenge…..or registration ke liye mujhe India ana padenga Kya?
    Please ans mam aap Facebook PE bhi ans de sakate hai Mera name chandrajit Mundafale hai.. thanks mam

  • Nawa Friends Entertainment

    Thanks for the Information. Easy to understand. I`m already registered as a sole proprietorship and now want to converted in Private Limited Company. what documents I need for PVT. LTD.

  • SSC STUDY

    Hello
    I m about to a start a food business ( honey).
    So should I start with solo proprietorship company and next year should change it in private limited company..
    Is it the right way plzzz tell me

  • Zeus Kumar

    Hello Mam,
    Its a good video. But I am looking for a video which guide a person step by step to open account in flipkart or amazon. I have seen your videos that shows how to register to amazon seller account but it doesn't show how to get gstin number and TAN number. Please make a video which shows end to end registration process from getting legal name, gstin no. and tan.
    Thank you and keep sharing informative videos.

  • Shahid Bhaiya

    Apni e-commerce website ke liye " sole proprietorship " me registration karana zaruri hai kya. Jaha pr multiple types of products sale karna chahta hu. Ya bina registration ke ho jaega sirf GST le kr. Please help me mam

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