registering a company in india is pain in the ass.
i wasted ~ 2 lakhs to learn about these mistakes while starting a business in india.
> if u wanna build a profit-first business (esp software) w/o raising money, don't go for pvt ltd.
> pvt ltd is a pain in the ass.
> the cost of registering a pvt ltd company in india isn't 10k as marketed by most gooners.
> it'll cost around 1 Lakh in most states (renting office, furniture, banner, and oil to massage gov babus)
> also consider 30k-40k a year after that for required compliances. even if ur revenue is 548 INR.
> fun fact: closing a company costs >40k. enjoyed that??
> each compliance has a deadline, and missing those deadlines will cost you more money. all hail EaSe oF DoINg bUSiNess.
> prefer sole pro if you are alone. have tight budget. and wanna keep it simple.
> go for LLP if you're two ppl and need a separate entity.
> rent an office near the bank u wanna open the current acc.
> most bank mfs are softies, and they won't put an extra step if ur office doesn't fall in their radius.
> always register the company through a local CA not some fancy dream-big-agency you saw on the internet.
> banks will force u GST from the day one. fuck that. (unless it's required)
> finalize the office and bank before registering the company.
> a small mistake in the address can fuck up ur whole mind and business.
> bottom line: consider a pvt ltd company only when:
- you wanna raise money
- ur business is operation heavy
- you wanna hire a very big team
- you have 5-10 lakhs of initial budget
- it is mandatory for the type of business u doing.