Simplest business structure owned and managed by one person with unlimited liability, minimal compliance.
Sole Proprietorship is the simplest form of business organization where one person owns, manages, and controls the business. There is no separate legal entity - the owner and business are the same. Registration requires obtaining a few basic licenses like Shop & Establishment, GST (if applicable), and MSME registration. No formal registration as a proprietorship is needed under any specific law.
Obtain PAN Card in personal name → Open a current bank account in business name → Apply for Shop & Establishment license (if applicable) → Apply for GST registration (if turnover exceeds ₹40 lakh / ₹10 lakh for special states) → Register as MSME under Udyam (optional but recommended)
Ensure you have a PAN Card in your name
Open a current account in your business name
Register under Shop & Establishment Act of your state
Register for GST if turnover exceeds threshold limit
Register under Udyam for MSME benefits (optional)