Starting a business under sole proprietorship is easy and convenient. A sole proprietorship is neither a company nor a corporation. The business is owned by an individual. The sole proprietorship firm registration is done with a motive to open a current bank account and start a small business.
When an individual who owns any products or services and starts selling it, they are nothing but automatically establishing themselves as the sole proprietorship. Many entrepreneurs are running and selling their product under sole proprietorship. The income is basically reported as the business income or losses by the owner in his/her individual income tax return.
Sole proprietorship registration is required for the individual owned business and India is toward ease of doing business, hence it is suggested to obtain the given below registrations to make his business function smoothly and legally. You can select any of registration from the below:
- Shop and Establishment Registration under the laws of the respective states
- Registering as SME
- GST Registration