giants, or expand your business through a new wing, you may be considering registering your business or setting up a company in India. People prefer to go for private limited company registration in Delhi since it involves various benefits to the entities.
In this world of corporatization, registering a business in India can be a great way to expand your company and ensure your success while hiking your ROI. Not only the registration will lower your tax rates, but it will also make you free of liability which means that you can focus on turning your business into the lucrative venture that you always wanted it to be. Company registration in India has tons of benefits.
Some of these are outlined below. Have a look!1. You can reduce your personal liabilities
Online Company Registration in India whether Public or Private Limited Company registration for your business is important because even if your business doesn’t function in brick and mortar and you just have your prominent online face, selling a defective product or making an error can make you personally liable because of your sole ownership or partnership. Running a business like this can be risky as this can mean that your personal assets are also on the line. But if you are registered, debts that attach to the company, it will not attach to you. The Company formation procedure is quite easy and smooth.
2. You can raise significant capitalAdequate funding in formation of company is the backbone of a business. If you are registered as a full-fledged company, then your ability to raise money and attract investors will be much easier. Registration gives you the liberty to incur debt and to borrow but more importantly raise equity capital and sell shares.
3. You can prevent conflict with your co-foundersOne thing that no one can deny from is that for setting up business in India, registering a company helps enormously if any conflict arises with your co-founder. While registering the company the subject of shares for each owner and the controlled powers are also clearly distinguished which helps the owners to have a clear understanding of their investment and assures that in case of any disputes share allocation determines the most-decision making power.
4. You can minimize your tax liabilityIf you opt for one person Company registration, then you are more likely to pay less tax under a company structure which will depend on how much revenue your business brings in. Also, your company can exercise the benefit of being entitled to a range of tax deductions for advertising, repairs and maintenance and education.