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Proprietorship to Private Limited Company
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Sole Proprietorship is a business entity is wholly owned and controlled by an individual;
it is a good form of business for individuals who want to start small business.
Initially, when a business is established, the most preferred choice is a sole
proprietorship structure because of its low compliance requirements. A few
years after of a business owner runs his/her Sole Proprietorship successfully,
it becomes clear that the next logical step would be to expand the business’
operations by operating as a Private Limited entity for greater advantages.
Such changes can help you to expand your business, have better access to
financing, protect your assets, risk-manage your liabilities, enjoy corporate
tax incentives, attract investors and recruit quality talent on board your team.
On the other hand, a Sole Proprietorship has completely opposite
characteristics and positions the burden on the owner itself.
As
a business grows, the demands of business and the drawbacks of a proprietorship
firm could force businessman to start the process for conversion of proprietorship
into private limited company. We aware that a Sole Proprietorship is a business
entity is wholly owned and controlled by an individual; it is a good form of
business for individuals who want to start small but as business grows it
necessitate converting it into some greater form for greater advantages. And it
is advisable to opt for private limited company as private limited company
offers significant advantages over the proprietorship form of business.
| PAN Card | Self attested
PAN Card issued by I.T. Department |
| Aadhar Card | Self attested
Aadhar Card issued by UIDAI |
| Id Proof | Self attested id
proof (Voter ID/DL/Passport) |
| Address Proof | One month Bank
statement/ telephone bill |
| Photographs | A latest
passport-size colour photographs |
| Utility Bill | Latest
electricity bill with NOC/ Rent Agreement |
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consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse
cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non
proident, sunt in culpa qui officia deserunt mollit anim id est laborum.
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Incorporate House is one the leading professional services provider. Submit the required documents and we will assist you with the whole registration process without any delay.
Our Step-By-Step Registration Process
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Review of Documents
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Helpline Number: +91-9311234414 Email Id: hello@incorporatehouse.com
Condition for Conversion
- A takeover agreement or sale agreement needs to be entered into between the sole proprietor and company.
- The Memorandum of Association (MOA) needs to carry the object “The takeover of a sole proprietorship”.
- All the assets and liabilities of the sole proprietorship must be transferred to the company.
- The shareholding of the proprietor should not be less than 50% of the voting power, and the same must continue to be held for a period of 5 years.
- The proprietor does not receive any additional benefits either directly or indirectly, except to the extent of shares held.
Need assistance? Don’t worry, experts are here to help!
Call us at: +91-9650456099 or Email us: sales@incorporatehouse.com
Documents required
PAN Card
Self attested
PAN Card issued by I.T. Department
Aadhar Card
Self attested
Aadhar Card issued by UIDAI
Id Proof
Self attested id
proof (Voter ID/DL/Passport)
Address Proof
One month Bank
statement/ telephone bill
Photographs
A latest
passport-size colour photographs
Utility Bill
Latest
electricity bill with NOC/ Rent Agreement
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