🔹 What is Firm Registration?
Firm registration refers to registering a Partnership Firm or a Sole Proprietorship.
✔️ Sole Proprietorship
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Owned and managed by a single individual.
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Easiest to start with minimal compliance.
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Ideal for freelancers, small traders, or home-based businesses.
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Registration is not mandatory but recommended for opening a current account and obtaining licenses.
Documents Required:
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Aadhaar and PAN of the proprietor
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Utility bill of business place
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GST Registration (optional but recommended)
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MSME Registration (optional)
✔️ Partnership Firm
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Owned by two or more partners.
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Governed by the Indian Partnership Act, 1932.
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Can be registered or unregistered, but registered firms enjoy more legal protections.
Documents Required:
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Partnership Deed
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PAN of the firm
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Address proof
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Registration form and identity proofs of partners
🔹 What is Company Registration?
Company registration involves incorporating a business as a legal entity under the Companies Act, 2013, regulated by the Ministry of Corporate Affairs (MCA).
✔️ Private Limited Company (Pvt Ltd)
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Most popular for startups and scalable businesses
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Separate legal entity with limited liability
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Can raise funds from investors
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Requires at least 2 directors and shareholders
✔️ Limited Liability Partnership (LLP)
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Hybrid of a partnership and a company
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Offers limited liability to partners
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Suitable for professionals, consultants, and growing businesses
✔️ One Person Company (OPC)
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Designed for solo founders who want corporate status and limited liability
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Only one shareholder allowed