Proprietorship
A proprietorship is a business owned and operated by a single individual. It’s easy to set up, with full control and all profits going to the owner. However, the owner also faces unlimited personal liability for business debts and obligations. It’s common for small businesses and freelancers.
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Partnership
A partnership is a business owned by two or more people who share profits, losses, and management responsibilities. Partners contribute resources and skills, and have joint liability for debts. It’s simple to form but requires trust and clear agreements to avoid conflicts. Common in professional services.
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One Person Company
A One Person Company (OPC) is a type of business entity owned and managed by a single individual. It combines the benefits of a sole proprietorship and a company, offering limited liability protection to the owner while allowing full control. Ideal for solo entrepreneurs seeking formal business structure.
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Limited Liability Partnership
A Limited Liability Partnership (LLP) is a business structure where partners have limited liability, protecting their personal assets from business debts. It combines the flexibility of a partnership with the benefits of limited liability, making it ideal for professional firms and small to medium businesses.
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Private Limited Company
A Private Limited Company is a business entity owned by a small group of shareholders, typically limited to 50. It offers limited liability protection, separate legal status, and easier capital raising, while restricting share transfers. Common among startups and small to medium enterprises.
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Section 8 Company
A Section 8 Company in India is a non-profit organization established under the Companies Act, 2013, for promoting commerce, art, science, sports, education, research, social welfare, religion, charity, or environmental protection. Profits must be reinvested in the purpose.
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Trust Registration
Trust registration in India involves creating a legal entity to manage charitable or religious activities. It is governed by the Indian Trusts Act, 1882 (for private trusts) or state-specific acts (for public trusts). A trust deed is essential, outlining objectives, trustees, and operational rules.
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Public Limited Company
A Public Limited Company (PLC) is a company that offers its shares to the general public and has limited liability. It is governed by the Companies Act, 2013 in India. PLCs can raise capital from the public through stock exchanges and must adhere to strict regulatory and disclosure requirements.
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