To start a business in India, it is crucial to carefully consider the legal structures available. Establishing an entity involves navigating various regulatory requirements, statutory compliances, tax implications, and liabilities to ensure a sustainable business presence.
Whether establishing a new subsidiary, acquiring, or investing in an existing Indian business, these decisions can impact business strategies,
market access, and financial planning.
This article outlines the key factors entities should consider when setting up a business in India. It also discusses the different legal structures and
regulatory aspects involved. Choosing the right business structure is a pivotal decision for entrepreneurs in India, as it significantly impacts a
company’s legal and financial landscape.
By understanding the unique characteristics and implications of each structure, entrepreneurs can select the one that best aligns with their
business goals, risk tolerance, and long-term aspirations. This article will delve into the key factors to consider, the available business structures,
and the regulatory requirements associated with each.
Entity Structures in India
- Proprietorship Firm
- Partnership Firm
- One-Person Company (OPC)
- Limited Liability Partnership (LLP)
- Private Limited Company
- Public Limited Company
- Section 8 Company
- Joint-Venture Company
