A proprietorship is a type of unregistered business which is owned and managed by a single person. It is the most common and prevalent forms of business in India, used generally by micro and small businesses of unorganised areas. Proprietorships are very easy to start and have very minimal regulatory compliance. However, proprietorship’s does not provide the promoter benefits such as limited liability protection, separate legal entity, transferability, perpetual succession – which are desirable features for any business. Therefore, proprietorship registration is suited only for unorganised and small businesses.

There is no mechanism for the registration of a Proprietorship. But proprietorship must be established through tax registrations and other business registrations as is required to have as per the rules and regulations. For instance, VAT, Service Tax, GST Registration, Registration under Shop & Establishment Act can be obtained in the name of the Proprietor to establish that the Proprietor is operating a business as a sole proprietorship.

Compex is the easiest path for proprietorship registration. The average time taken to complete a proprietorship registration is 5-7 working days, subject to government processing time and client document submission. We offer a free consultation for proprietorship registration by scheduling an appointment with a Compex Advisor.