Both Sole Proprietorship and Pvt. Ltd. Co. are different business structure. Company form of business is more advantageous as the shareholders of the Company have limited liability only up to the shares subscribed by the owners whereas liability of Sole Proprietor in proprietorship firm is unlimited.
Sole Proprietorship is having no separate legal entity whereas Company has a separate legal status.
While deciding the form of business many other factors also need to be considered, such as number of persons involved in the business, future requirements of Funds, amount of capital investment etc.
Hence if the business is at the starting stage then one has to consider all factors in details and go ahead with business formation be it Sole Proprietorship Firm with no compliance or as a Private Limited Company with more creditability and limited liability.
If you are looking for registering your business under Sole Proprietorship or Registration of private Limited Company, feel free to contact our experts on call at 1800 313 4154 or write us at support@legalwiz.in
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