Firm registration

Sir/Madam

My client has a small retail shop dealing in textiles.The turnover is close to 15 lakhs. He wants to apply for a loan, for which the bank asked for firm registraion. He wants to know which one will be beneficial to him.

1. Sole proprietor firm

2.Partnership firm

Replies (3)

His has to opt for the private limited company. its benefical for the loans or else go for the proprietorship firm. in the pvt ltd comany they can raise also equity based funding. To know about Checkout How to Register a Proprietorship Firm in India

The turnover of your client is close to Rs.15 lakhs and as you said it is a small retail shop in textile. For taking loan from banker, if he is running the business as a proprietor, he can obtain " Trade Licence" from the local municipal authorities. He can also obtain " Labour Licence" from conccerned labour department of the local area. ANy one of these two or both will serve the purpose. But remember these are to be renwed pediodically. You can file IT returns as well. If he is already running the business as a partnership firm, take the partnership deed and file Form No.1 under Partnership Act alongwith other papers like, rent deed, photos of the partners etc., depending upon the state the business is located ( the procedures and stamp duites change from State to State). In case of further assistance, feel free to contact

thanks you sirs :)

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
19 October 2026
Accountants/Articles (Freshers/Experienced)

ADY & CO.

New Delhi

Graduate (Any)

View Details
Company
Featured ARTICLESHIP 06 October 2026
Semi Qualified

AJAY SINGH AND CO LLP

Thane

CA Final

View Details
Company
06 October 2026
Assistant Manager - Audit and Compliance

Ravi K Jain & Co

Noida

Others

View Details
Company
Featured 29 October 2026
Accounts Executive

Synergy Keystone

Chennai

B.Com

View Details
Company
ARTICLESHIP 07 October 2026
Article Trainee/ CMA Trainee

RMA And Associates LLP

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 29 October 2026
Article Assistant (CA Inter / CMA Inter) - Thrissur

Varma Raja & Associates

Thrissur

CA Inter

View Details
Company
Featured ARTICLESHIP 28 October 2026
CA- Inter and Articles

N N V Satish & Co.,

Hyderabad

CA Inter

View Details
Company
12 October 2026
Chartered Accountant - Internal Audit

HKC | Chartered Accountants & Business Advisors

Ludhiana

CA

View Details