The sole proprietorship is the simplest business form under which one can operate a business. The sole proprietorship is not a legal entity. It simply refers to a person who owns the business and is personally responsible for its debts.

Sole Proprietor

• The most common and simplest form of business is a sole proprietorship.
• An individual proprietor owns and manages the business and is responsible for all transactions.
• The owner is also responsible for all debts and liabilities.
• The owner pays taxes on income from the business as part of personal income tax payments.

Registered Office:

• Any place can be made as the registered office of the sole proprietor even the residential place can be used as the registered office of the sole proprietor.

1. Apply PAN and Aadhar of Sole Proprietor
2. Select name of the Business (Eg. Patel & Co.)
3. Apply for any of the Government license in the name of the Business
4. Apply for Shop and Establishment License, if any
5. Open Bank Account with the Business Name

Advantages

 1.EASE OF FORMATION
2.TAX BENEFITS
3.EMPLOYMENT
4.DECISION MAKING

Disadvantages

 1.UNLIMITED PERSONAL LIABILITY
2.LIMITED ABILITY TO RAISE CAPITAL
3.LIMITED EXPERTISE AND GROWTH POTENTIAL
4.LIMITED LIFE EXPECTANCY