Kerala is quickly establishing itself as a business destination. The Kerala government wants to develop an environment that will make it easier for the state to become a business hub and a famous investment destination. If you want to start a business in Kerala, you must first register with the state or central government. In this guide, I’ll guide you through the process of registering a new business in Kerala.
TYPES OF BUSINESS REGISTRATION
1) Sole Proprietorship
3) Limited Liability Partnership (LLP)
4) Private Limited
5) Public Limited
6) One Person Company (OPC)
A sole proprietorship, also known as a sole trader or simply a proprietorship, is a Business owned and operated by a single person with no legal distinction between the owner and the business.
i.e. The company is owned by the sole entrepreneur, who is completely responsible for all debts and legal liabilities. All profits (subject to business-specific taxes) go to the owner, who also takes full responsibility for all losses and debts. The proprietor owns all of the company’s assets and is responsible for all of the company’s debts.
A partnership is a type of business entity in which two or more people join together to provide the necessary services and share profits in a predetermined ratio. Persons who choose to form a partnership type of business entity are referred to as partners. Furthermore, the individuals that form a partnership are referred to as a “firm.”
The minimum number of people needed to form a partnership is two, according to the Companies Act of 2013 and, the maximum number of members does not exceed 100.
LIMITED LIABILITY PARTNERSHIP (LLP)
Limited liability partnerships (LLPs) are a type of partnership in which each partner’s liability is limited to the amount of money they invest in the company. It means that creditors will not be able to seize a partner’s personal assets or profits if the partnership fails. It is commonly used by professional businesses such as law firms, accounting firms, and investment managers.
The most common and popular form of corporate legal entity in India is the private limited company. The Companies Act of 2013 and the Companies Incorporation Rules of 2014 govern the formation of private limited companies. A private limited company must have at least two shareholders and two directors to be registered.
Companies that sell their shares on the stock exchange or issue fixed deposits are known as public limited companies. A public limited company must have at least 3 directors, 7 shareholders, and a maximum of 50 directors to be registered, as well as Rs 5 lakhs in paid-up capital.
A business can be formed with only one director and one member, according to Section 2(62) of the Company Act 2013 is known as OPC. It is a form of company with fewer compliance criteria than a private corporation.
STEPS TO REGISTER YOUR BUSINESS ONLINE
Step 1: Go to the website of the Ministry of Corporate Affairs. Fill out DIR3and DSC forms. Then apply for DIN online. Submit the documents on required fields such as,
Address Proof, Passport size Photo, Educational Qualification, Occupation, and Passport.
Step 2: Fill out the application for the company name. Give at least 4 different company name options.ROC will then approve the name that is appropriate and its availability.
It can take up to two days for the ROC to respond. You must pay Rs 500 in fees when filling out this form. After the name has been registered, you must apply for company registration within the next six months. If you wait any longer, the process will have to be restarted from the beginning.
Step 3: Next step is to Draft the Memorandum of Association (MoA) and Articles of Association (AoA).
You must submit these documents to the RoC for approval once they have been produced. If the documents are approved by the RoC, you must print them in order to get them notarized. Once that is completed, you can file them with the rest of the documents that are required to register your company.
Step 4: Once you’ve completed all of this, you’ll need to pay the registration fees so that your business can be registered.
Step 5: You must register it in the state in which you work. If all goes well, the RoC will issue you a Certificate of Incorporation, indicating that your business is officially registered. As soon as that is completed, you can then start conducting your business.
Step 6: After you’ve registered your business, you’ll need to complete a few more steps that are needed. You should file for a GST number. Then, you can use a service like Razor pay Invoices to help you create GST-compliant invoices
Are you the one who wants to start a new business but unaware of all the legal formalities? Then we can help you get your business registered .Prohub process can assist you in registering your business online. We are one of the top consultancies for business registration and GST Registration in Kerala. Our team helps all small and existing businesses all over India so they can conduct their business without any interruption.