Sole Proprietary Concern
A.R.Mukundan
(Querist) 07 January 2011
This query is : Resolved
Hi
A Company comes into existence when it is being issued a certificate of incorporation to that effect.
A partnership firm is registered with a deed.
1.How a Sole Proprietary Concern come into existence?
2.Which is the authority or regulatory body handling such things?
pl. Clarify
Regards
A V Vishal
(Expert) 07 January 2011
Since the proprietor and the business are one and the same there is no registration of such proprietary businesses.
Amit Minocha
(Expert) 07 January 2011
you can immediately start a sole prop firm
1) by opening a bank current account by that name
2) making/ calling yourself a prop of it
3) printing letter head and stamps
All your communications on behalf of prop firm should be signed as
"for XXXXXXXX(name of firm)
(Your name)
Proprietor
Nothing else,
from amitminocha@yahoo.com
Advocate Bhartesh goyal
(Expert) 07 January 2011
For Properietorship concern there is no any requirement of registration and other formalities
nishad
(Expert) 07 January 2011
At the time of opening CD account ,u may just want to submit a properietorship Declaration..and thats it and u r your own..
Advocate. Arunagiri
(Expert) 08 January 2011
the proprietory concern comes into existence in the very moment he starts his business preoperative works.
Shashikant V. Patil
(Expert) 08 January 2011
I agree with the learned friends including suggession given by SKJ.
M V Gupta
(Expert) 09 January 2011
Starting a proprietory concern does not involve any legal formalities as stated by the experts. But it needs to be registered under the local Shops & Establishments Act. The certificate of registration is required to be exhibited in the shop compulsorily. The cetificate should be renewed every year by paying the prescribed fee. Failure to comply with the above requirement results in prosecution under the Act.
Sunlawseeker
(Expert) 11 January 2011
There is no specific act to control Sole proprietorship business. It is a unlimited liability concern. Owner has unlimited liability.
No registration like partnership or company is required for sole proprietorship business.
But, Some other registrations PAN,TIN, Bank Current Account, Proprietor Seal and under shops and Establishment etc., may be required.
Proprietor is for the all the activities of his business. Proprietor's personal assets will also be affected if business assets are insufficient to settle business liabilities.
Tax liability is in the name of proprietor or in the name of proprietary concern.
But, in the eye of law business and proprietor both are same persons as per section 3 of Income Tax Act 1961.
