16 September 2015
ECommerce Business is trend in India but entrepreneurs are confused about the business registration and other legal Compliance.
Business Formation - its a very important part that every ecommerce must have to register with the government so they can protect their business and not faced any legal issues from their customers.
So Any ECommerce Entrepreneurs have many Options to register their business .
a) Proprietorship Registration- its a very Simple Process to doing any business in India. in a Proprietorship Firm Main Objective is Opening a Current Bank Account but banks need minimum 2 legal registration to open a current account in the name of business.
So these 2 legal registration are -
VAT Registration Certificate or Shop License if they are operating from Shop Chartered Accountant Certificate regarding the nature of business.
b) Partnership Registration :- its need minimum 2 Partners. its a best registration where you are working in MNC's and One Day your friends and you are thinking about trying the business and that is eCommerce then must choose Partnership Registration. Process :-
Make a Partnership Deed on Stamp Paper Register with Authority Get the PAN Open Current Account
After the Partnership Registration you have to apply for the VAT Registration also if your turnover exceed 5 Lakh Rupees or your Initial purpose is selling on Marketplace like Flipkart/Snapdeal/Amazon.
c) Limited Liability Partnership(LLP) :- LLP minimum requirements is 2 Persons. its a new concept in India and its a best for any startup in India. Mostly ECommerce Startup choose LLP Mostly because they can enjoy all Major Company Features in the LLP at the Lowest Costing. Process :-
Apply for DIN/DSC/Name Application Getting Incorporation and Filing Agreement Open Current Bank Account
d) Private Limited Company :- Private Limited Companies is choose by the Startups when they have investors and their initial plan is for the funding then Private Limited Company is the best option. in the Private Limited Company
e) One Person Company :- if you are single owner and wish that you wanna enjoy all company features and a legal status of the company then must go for the One Person Company.
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