Difference between pvt. ltd & proprietor firms

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

23 September 2015 Dear Sir,

Good Day !!

With reference to the above subject, you are requested to clarify difference between PVT. Ltd & Proprietor firm.

Which option is best to start the business, as we are planning take a distribution-ship with some of imported makes authorization, so please suggest accordingly.

At the same time we are planning to start manufacturing set-up as an other organization.

Please clarify and suggest in right way to go ahead in this regard.

Thanking you & Best Regards,

Veeru Thota

Guest

Guest (Expert)

23 September 2015 If you are going to invest less than Rs One crore, I would recommend you to do it as proprietor firm. If you do as private limited, there are various requirements - like tax is at 30%, audit to be made, ROC filings etc to be made. But if it is done as sole propretiership, tax will be at slab rates and audit is required only if your turnover is more than 1 crore.

However, if you want brand name it is better to incorporate as private limited but then you have to do all legal compliances like i said before.

Message likes : 1 times

Querist : Anonymous

Querist : Anonymous (Querist)

23 September 2015 Attn: Mr.Karthikeyan.B,

Good Noon !!

Thankyou verymuch for your prompt reply, please let us know the benefits between pvt. ltd. firm & propretiership firm.

Why they will go ahead with PVT.LTD firms generally ??

Now we are planning to start-up distributionship of imported makes, this is one thing.

At the same we will be planning to manufacturing with compact machinery, so please suggest us whether pvt. ltd. / proprietor ship is best option.

We are in dailemma situvation, please suggest us best option to go ahead in this regard.

Thankyou verymuch for your support.

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Guest

Guest (Expert)

23 September 2015 If the risk of loss is high u can go for private limited since there will be protection to you against legal actions by suppliers. For manufacturing u may start as private limited since risk is high.

Querist : Anonymous

Querist : Anonymous (Querist)

23 September 2015 Dear Sir,

Also please let us know the auditor fee for pvt. ltd. for below 1 Cr. turnover company.

Please clarify why most of companies will go with PVT. LTD., is there any benefited ??

Please do the favourable.

Regards,
Veeru Thota

Guest

Guest (Expert)

23 September 2015 it is difficult to explain in online threads. Please give me ur mobile no so that i can explain u over phone.

Querist : Anonymous

Querist : Anonymous (Querist)

24 September 2015 Kind Attn: Mr.B.Karthikeyan,

Good Day !!

you are requested to let you are requested to let us know your e-mail address & telephone nos, so that before we will drop a mail with our quairies and than we discuss accordingly.

Thanking you & Best Regards,
Veeru Thota

Guest

Guest (Expert)

24 September 2015 You can mail me at karthik2971985@gmail.com. Please email me ur no/email ID so that I will send the Mobile no in your email.

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