There are many good some reasons why it makes ample sense to Register One Person Company in India Online your specialist. The first basic reason is guard one’s own interests and is not risk personal belongings to the purpose of facing bankruptcy in case your business faces an emergency and and that is forced to close down. Secondly, it is a lot easier to attract VC funding as VCs are assured of protection if this company is disclosed. It provides tax benefits to the entrepreneur typically in a partnership, an LLP and even limited group. (These are terms which have been described later on). Another valid reason is, just in case a limited company, if one wishes managed their shares to another it’s easier when an additional is registered.
Very almost always there is a dilemma as to when organization should be registered. The answer to which is, primarily, in case business idea is sufficiently good to be converted to a profitable business or not. And if the answer to that is a confident properly resounding yes, then it’s time for one to go ahead and register the startup. And as mentioned earlier on it will be beneficial to write it as a preventive measure, before important work saddled with liabilities.
Depending upon the type and size of corporation and the way you want to grow it, your startup can be registered as among the many legal formats for this structure of a company on the market.
So permit me to first fill you in with needed information. The various company structures available are:
a) Sole Proprietorship. That’s a company owned and operated or run by one particular individual. No registration is actually required. This is the method to if you should do it on your own and the goal of establishing the company is to realize a short-term goal. But this puts you subject to losing every personal assets should misfortune strike.
b) Partnership firm. Is owned and operated or run by at least two or more than two individuals. In the a Partnership firm, as laws are not as stringent as that involving Ltd. Company, (limited company) it requires a lot of trust between the partners. But similar in order to some proprietorship there is a risk of losing personal assets in any eventuality.
c) OPC is a one Person Company in that the company is a separate legal entity which usually effect protects the owner from being personally liable for any losses.
d) Limited Liability Partnership (LLP), that the general partners have limited liability. LLP combines the best of partnership firm and an organisation and the partners are not personally prone to lose their personal wealthiness.
e) Limited Company that of 2 types,
i) Public Limited Company where minimal number of members needed are 7 and there is no upper limit; the associated with directors end up being at least 3 and
ii) Private Limited Company where minimal number of needed are 7 by using a maximum maximum of corporation. The number of directors must be 2.