- Make a business plan. It will change many times, but you need to start somewhere.
- Follow that up with a detailed marketing plan for your product or service.
- Employ the services of a chartered accountant(s). They will help you get through the startup formalities.
- Decide the business structure you want your new business to have – a private or public limited company, a sole proprietorship or a partnership. Company formation is more complex and expensive, and you need to approach the Registrar of Companies in the chosen location for this purpose. On the other hand, a sole proprietorship is the simplest form of business (check our older blog post).
- Evaluate the funding options. The promoters have to bring in some money to start with (a lakh of rupees for a private limited company). Also look at loan options. Almost all banks in India have specific loan products for Small and Medium Enterprises.
- Open a bank account for the new business.
- Check out mandatory requirements stipulated by government agencies at different levels (central/ state/ municipal). Does your business need a license?
- Apply for the PAN & TAN numbers, Service Tax/Profession Tax/ VAT registration numbers.
- Identify business premises and fit it out with necessary furniture and equipment.
- Recruit key employees.
Discuss issues relating to entrepreneurship, starting and building your own business in India.
Monday, October 15, 2007
Requirements for Starting a Business in India
What is the first thing to be done to start a business in India? What are the key issues that must be addressed before others? Here’s our top 10 compilation.
No comments:
Post a Comment