The proprietor form of business is the simplest form of business to start in India, It can be started in a day with no requirement for separate registration to start your business.
There is no separate procedure to register a proprietorship firm business, and you will not get a separate pan number for your proprietary business. So you may have a question “If there is no separate registration for a proprietary form of business then how to start my business, and what is proof for starting my business? “ The answer is you have the option to register MSME registration which was also called SSI registration earlier, and now it is called udyam registration msme registration.
Top 8 Points to consider proprietorship registration
- When your business doesn’t have any risk of high third-party claims.
- When your business turnover will be very less and the cost of registering other business forms is not economical, e.g.: computer sales and services.
- Business does not require a proper form of registration, e.g.: provision store.
- Your business depends on personal relations and sales are only due to word of mouth and face value.
- Freelancer form of business.
- Your business does not require a brand value.
- Your business concentrates only on a certain local area.
- Tax benefits and minimum compliance.
Coming to the final point, when your business is testing business prospects you can go for this form of business, the establishment is so easy and there is no requirement for formal closing of your business when you decide to close.