Checklist for Startup Business in India

August 12, 2024

Registrationwala

India is filled with millions of startups and many of them are performing really well. If you’re planning to open a startup business, there are numerous things to be done. While you might be aware of most things required, you might accidentally skip on a few. In this blog post, we’ll provide you with the checklist for startup business in India. We’ll mention each and everything which you must do for opening your startup in India. This will save you a whole lot of time, money and unnecessary stress!

Deciding the Kind of Startup you Want

You must decide the kind of startup business you want to start. Generally, startups are associated with digital innovation and technology. However, many startups are associated with fintech, biotech and renewable energy.

It is recommended to choose to open a startup related to your field of expertise. For example, if you’re a financial expert or a team of financial experts, it’ll be a good idea to start a fintech company. A startup business might seem risky but if it’s got what it takes to succeed, the sky's the limit.

Choosing your Business Structure

You must choose the business structure of your startup based on your budgetary requirements and the business activities you want to carry out. If your budget is limited and you only want to run a small business initially, you can go for sole proprietorship. However, in this case, you’ll be the only one owning and controlling the business. Also, you won’t get limited liability protection in case of a sole proprietorship.

If you want to open your startup business with a partner or multiple partners, you can go for a partnership firm for your business. However, it may not offer limited liability protection either. If you want limited liability protection, you can register as a limited liability partnership. If you want a big startup company that has directors, CEO, CFO and 100s of employees, you can open a private limited company.

Of course, there are other types of business structures in India. Ultimately, you must decide which one is suitable for you.

Gathering all the Important Documents for Startup Registration and Filing Application with RoC

You must gather all the necessary documents required for registration of a startup business. This includes Aadhaar card, PAN card, driver’s license and office address proof. This step can be avoided if you open a sole proprietorship or partnership firm. They do not require registration with RoC. So you will save up the money for company registration.

But if you choose to register as a public limited company, private limited company or one person company, it is mandatory to file an application for company registration with RoC and all the documents mentioned, along with any other additional documents, will be required. If you get a certificate of incorporation from RoC, your startup business will seem more legitimate and investors might be interested in helping you out! Everything has its pros and cons and you must calculate them properly before making your decision.

For filing a company registration application with RoC, you can seek Registrationwala’s assistance.

Opening a Business Bank Account

You must open a business bank account when your startup business is launched. Using this bank account, you can receive and make payments for your business. This step is extremely important to ensure compliance with the income tax department. Your bank statement is extremely important for filing the income tax return.

Hiring a Team of Professionals

You will require a team of professionals who can help you in your startup business journey. Make sure to hire each and every employee carefully. It is necessary to ensure that they’re hardworking individuals who are passionate about your startup just as much as you are. If they’ve got relevant experience, it’s even better. But even if they’re freshers, as long as they’re hardworking and determined, their inclusion will be beneficial for your startup business.

Securing Funding

While you might already have the basic money/personal savings to open a startup business, you might want to secure funding in future. In the first few months, the startup businesses generally witness less business operations but as they start growing and require more manpower and machinery, it becomes crucial for them to secure funding through loans, angel investors or government.

Establishing a Brand

You must establish your startup business as a unique brand. You can get trademark registration for your products so that others cannot steal or copy them.

You must build a strong presence on all the social media platforms like Instagram, YouTube, Facebook and X. If it’s in your budget, you can also get your brand advertised in newspapers and magazines. The more people know about your startup business through social media and advertising, the more customers you’re likely to get.

Remember to build a brand that people can relate to. Your startup business must be able to deliver what the public demands. If your startup business supports a social cause such as animal cruelty, gender inequality, poverty and unemployment, your business will attract customers who support these causes.

Staying Compliant with Regulatory Requirements

Make sure your startup business stays compliant from the very beginning. Your business must fulfill all the regulatory requirements of RoC, Income Tax Department, GST Department, etc. While operating your business, you must obtain all the necessary licenses and certificates. Non-compliance with the guidelines and requirements set by regulatory authorities can land you in trouble. On the other hand, compliance can benefit your startup business in getting more customers and investors.

Conclusion

After reading this blog post titled “Checklist for Startup Business in India”, you must have an idea about all the basic requirements for startup business in India. There might also be some additional requirements such as GST registration depending on your annual turnover and approvals from different regulatory authorities. If you need professional advice and assistance in registering your startup business in India, you can connect with Registrationwala’s startup registration consultants. We’ll make your startup registration journey as smooth and stress-free as possible.