There are a couple of good the actual reason why it makes ample sense to Register One Person Company in India Online your network. The first basic reason is guard one’s own interests but not risk personal assets to the point of facing bankruptcy in case your business faces an emergency and and that is forced to shut down. Secondly, it is simpler to attract VC funding as VCs are assured of protection if this company is accredited. It provides tax benefits to the entrepreneur typically in a partnership, an LLP and even limited enterprise. (These are terms which have been described later on). Another valid reason is, any time a limited company, if wishes managed their shares to another it’s easier when enterprise is recorded.
Very often there is a dilemma as to when the company should be registered. The solution to which is, primarily, when your business idea is good enough to be converted into a profitable business or truly. And if the answer to and also confident and also resounding yes, then then it’s time for someone to go ahead and register the new. And as mentioned earlier on it is often beneficial to do it as a preventive measure, before you are saddled with liabilities.
Depending upon the size and type of corporation and like you would want to be expanded it, your startup can be registered as one of the many legal formats for this structure on the company available to you.
So let me first fill you in with necessary information. The various company structures available are:
a) Sole Proprietorship. Would you company managed or run by only individual. No registration it will take. This is the method in order to if you wish to do it yourself and the reason for establishing business is obtain a short-term goal. But this puts you at risk to losing your own personal assets should misfortune strike.
b) Partnership firm. Is owned and operated or run by at least two a lot more than two individuals. In the event of a Partnership firm, when your laws are not as stringent as that involving Ltd. Company, (limited company) it relates to a associated with trust within partners. But similar together with proprietorship you will find a risk of losing personal assets in any eventuality.
c) OPC is a 60 minute Person Company in that the company is really a separate legal entity which in effect protects the owner from being personally to blame for any losses.
d) Limited Liability Partnership (LLP), that the general partners have limited liability. LLP combines the very best of partnership firm and a supplier and the partners are not personally prone to lose their personal power.
e) Limited Company that of 2 types,
i) Public Limited Company where the minimum number of members needed are 7 and there isn’t any upper limit; the number of directors end up being at least 3 and
ii) Private Limited Company where the minimum number of needed are 7 along with a maximum maximum of corporation. The number of directors must be 2.