when a business is owned and administered by one individual it is known as a sole proprietorship firm or company.
This sort of business can be begun in 15 days and consequently makes it a standout amongst the most prevalent sorts of business to start in the unsystematic area, explicitly among vendors and little brokers. For a sole proprietorship business, enrollments are not required as they are recognized by alternate registrations, for example, GST registrations.
In any case, its risk is unlimited and it additionally doesn’t have a continuous presence.
Sole Proprietorships have minimum compliance as this firm is identified by its government and tax registrations. Therefore, the degree of its agreement is confined to the yearly filing of the service, sales or professional taxes.
Any sole proprietorship is simple to begin. One needs to simply have a GST Registration in place. Hence, the procedure is not complicated. Therefore, the sole proprietorship business can be set up in 15 days with the help of a PAN card for identity and proof of address.
When compared to an OPC or One Person Company, a Sole Proprietorship is economical due to its minimum compliance requisites. Even in the long-term perspective, it is still inexpensive.
It works out much cheaper because one would not need to hire an auditor. One of the main reasons why small merchants and traders choose it.