Business Registration Services & Licensing

An LLP offers limited liability. This means that company debts aren’t paid off with personal assets. A Limited Liability Partnership may be the creator of fun gadgets or behind daily needs. Either way, it has become a popular means of incorporation. It works well for small & medium enterprises. MSMEs get relief once they experience business registration services as it enables a smooth process of business formation.

The main features of LLP company are:

• LLPs are corporate bodies and legal entities separate from their partners. The LLP has a perpetual succession.
• The Rights & Duties of partners of an LLP (and those of the LLP and its partners) shall be governed by an agreement between partners or between the LLP and the partners.
• In an LLP, the Liability of partners is limited to their agreed contribution. This may be tangible or intangible in nature or both tangible & intangible in nature.
• LLPs shall maintain annual accounts reflecting the true and fair view of its state of affairs. A statement of accounts and solvency shall be fielded by every LLP with the Registrar every year.
• The Central Government has the power to investigate the affairs of an LLP, if required, by appointment of a competent Inspector.
• The Indian Partnership Act, 1932 shall not be applicable to LLPs.
• Every LLP shall have at least two partners, of whom, at least one shall reside in India.

In a partnership,  two or more people own a business. These owners share in profits, losses, and risks. Partnerships give protection to the Partners.  For example, a predetermined ratio of loss is given to each partner. And, even minors can share in the revenue.

Interestingly, a partnership is not a separate legal entity.  Furthermore, a partnership must be formed via a legal agreement between all the Partners. To ensure the smooth formation of a Partnership firm, it’s important for an entrepreneur to avail of business registration services.

• Unlimited Liability:  There’s a unique feature to Partnerships, all partners have unlimited liability.  Partners are individually and jointly liable for the firm and payment of debts. This means that even the personal assets of a partner can be liquidated to reimburse debts.  And, if a single Partner bears all debts, that Partner can sue.

• Continuity: A partnership cannot be carried out in perpetuity: death, retirement, bankruptcy, insolvency, or insanity of a Partner will dissolve the firm. The remaining Partners may continue the Partnership if they so choose, but a new contract must be drawn up. Also, the partnership of a father cannot be inherited by his son. If all the other partners agree, he can be added on as a new Partner.

• Members: As you may know, there must be at least two members to form a Partnership. However, the maximum number varies. A few conditions affect this.  The Partnership Act itself is silent on this issue, but the Companies Act, 2013 provides clarity. For a banking business, the number of Partners must not exceed ten. For a business of any other nature, the maximum number is twenty.

• Mutual Agency: In this type of organization, a business must be carried out by all the Partners together. Or alternatively, it can be carried out by any of the Partners (one or several) acting for all of them or on behalf of all of them. So this means every partner is an agent as well as the principal of the Partnership.

Sole Proprietorship is owned and managed by a single person, a solo-flyer. The crux of it, the owner is not legally separated from the business. This means that they will take all the profits home, but will have to shoulder all financial responsibilities such as debts. Hence it is important for a proprietor to opt for business registration services for a smooth process.

Features of Sole Proprietorship:

• One Man Ownership.
• No Separate Business Entity.
• No Separation between Ownership and Management.
• Unlimited Liability.
• All Profits or Losses are owned by the Proprietor.
• Fewer Formalities.

Not all companies have the objective of making profits by carrying out trade and commerce. Many companies primarily have charitable and non-profit objectives. Such entities are referred to as a Section 8 Company because they are recognized under Section 8 of the Companies Act, 2013. It’s important for Non-profit making companies to gain a smooth opening process, hence our business registration services will allow them to experience one.

Features of Section 8 Company:

• Section 8 companies do not aim to make profits. Their objectives are purely charitable & religious in nature. They aim to further causes like science, culture, research, sports, religion, etc.
• Section 8 companies, unlike all other companies, do not require a prescribed minimum paid-up share capital.
• Members of these companies can only have limited liability. Their liabilities cannot be unlimited in any case.
• Such companies can function only if they have the Central Government’s license. The Government can revoke this license as well.
• Since these companies possess charitable objectives, the Companies Act has accorded several benefits and exemptions to them.

Professional tax is a state-level tax that is imposed on income earned by way of profession or employment. The tax is based on slabs depending upon the income of individuals who may be self-employed or working as employees of an entity. At present, the maximum tax that can be imposed is restricted to is Rs. 2500/-.

Every employer in specific states is required to deduct taxes from salary when paid to one or more employees when payment made exceeds Rs 5000 (this limit is for Maharashtra) and deposit with the state government. That entity is required to obtain a registration certificate.

MSME stands for Micro, Small, and Medium Enterprises. In a developing country like India, MSME  industries are the backbone of the economy. When these industries grow, the economy of the country grows as a whole and flourishes. These industries are also known as small-scale industries or SSI’s.

Benefits of MSME Registration:

• Due to the MSME Registration, the interest rate on the bank loan becomes cheaper compare to the regular interest loan.
• They are allowed credit for minimum alternate tax (MAT) to be carried forward for up to 15 years instead of 10 years
• Once registered, the cost of getting a patent done, or the cost of setting up the industry reduces as many rebates and concessions are available.
• MSME registration helps to acquire government tenders easily as Udyam Registration Portal is integrated with Government e-Marketplace and various other state government portals, which give easy access to their marketplace and e-tenders.

Before going global, you need to follow several procedures and laws in place and get different registration and license. IEC (Import Export Code) license is one of such prerequisites when you’re thinking of importing or exporting from India. It is also known as Importer- Exporter Code.

IEC (Import Export Code) is required by anyone who is looking to kick-start his/her import/export business in the country. It is issued by the DGFT (Director General of Foreign Trade). IEC is a 10-digit code which has a lifetime validity. Predominantly importers merchant cannot import goods without the Import Export Code and similarly, the exporter merchant cannot avail benefits from DGFT for the export scheme, etc. without IEC.

FSSAI – Food Safety and Standards Authority of India is an autonomous body established under the Ministry of Health & Family Welfare, Government of India.

FSSAI License or FSSAI Registration is mandatory before starting any food business. FSSAI Registration is required for all food-related businesses such as manufacturers, traders, restaurants, small eateries, grocery shops, importers, exporters, home-based food businesses, dairy farms, processors, retailers, e-tailers. Those who are involved in the food business must obtain a 14-digit registration Number or a Food license number which must be printed on food packages or Displayed on Premises. This 14 digit FSSAI license number gives data about the producer’s permit or enrollment subtle elements, and the assembling state.

FSSAI registration is segregated into three different types as Basic registration, State registration, and Central registration, the FSSAI fees for these registrations are mentioned below:

• Basic FoSCoS FSSAI License – Annual turnover below 12 lakhs
• State FoSCoS FSSAI License – Annual turnover above 12 lakhs and below 20 crores
• Central FoSCoS FSSAI License – Annual turnover above 20 crores

In simple words, trademarks are unique signs that are used to identify goods or services from a certain company. They can be designs, pictures, signs or even expressions. It is important because it differentiates your products from the competitions. It can be associated with your brand or product. Trademarks are classified as intellectual property and therefore are protected from infringement. Trademarks and its rights are protected by the Trademark Act, 1999

To get the protection of trademark rights one has to register the trademark. It is important to register your trademark because it prevents others from copying your mark and misrepresenting other products with your mark. Trademarks help the customers to recognise the brand and the brand value in one look.