I am planning to start a home-based saree business with a small investment. What legal formalities do I need to perform?
Saree business from home, that sounds interesting, congratulations!For business like yours, best and economical way to go about this is start a sole proprietor.Referring to this content from Wazzeer - Smart Platform for Legal, Accounting & Compliance services.A sole proprietorship is a business that is owned and managed by a single person. It is very popular among the unorganized sector, particularly small traders and merchants. There is no such thing called registration, Proprietorship recognized by other registration. Liability of the proprietor is unlimited and the firm cannot have continuous existence. It should ideally only be considered by small merchants and tradersImportant registrations (in some cases 1 would be sufficient):Professional Tax RegistrationGST RegistrationShops and establishment registrationMSME Registration (Cheapest and best option, get this done for INR 1000/- from www.wazzeer.com)Once your company scales up, you can convert or register to other entities based on the deciding factors like:In case you have further queries, visit Counsel Application of Wazzeer to get reliable legal and accounting advice from a Lawyer or CA for free.
How can I get loan for my startup in India from any banks?
After you are done with setting up your unit ( registration part), and obtaining relevant licenses and clearances, you can approach a Bank. The Bank will need a DPR ( Detail Project Report), which will forecast every detail of your business; Your product, your marketing strategy, your business projections including financial projections ( 3 to 8 years), depending on whether you ate applying for only working capital or term loan or both. You should also mention whether your unit is eligible for any Government subsidy.The bank will process your loan application, check your credentials, make assessment of the viability of the project and then take a decision. Make sure you have no default reference against you or other Partners in cibil, then your loan proposal will most likely get rejected.You are expected to contribute 25% of the Project cost and Bank will finance maximum upto 75%. However, the Bank may ask you to increase your stake ( margin) because its a new exposure for them.In today`s volatile credit situation, Banks are most certainly going to ask for tangible co lateral security. It can go up to even 125% of loan granted in certain cases.The time taken for processing the proposal will vary between 30 to 60 days, depending upon the quantum of loan, since there are several tiers your proposal may have to pass through.If your requirement is less (say upto Rs 10 lakhs) you may try loan under Mudra scheme. There are also certain Government schemes where you can get up to Rs 100 lakhs without security.Banks processing of loan are a bit cumbersome and it may help you to get in touch with a consultant. They are good at preparing Bankable proposals for a fee.for any specific query you may contact: pharmacon334@gmail.com.
How do I take loan under the Mudra Finance Scheme (MUDRA Yojana)?
MUDRA Loans can be obtained from any of the banks participating in the Pradhan Mantri Mudra Yojana (PMMY). These include 27 well-known public and private sector banks such as State Bank of India (which is the lead bank for the scheme), Bank of Baroda, Syndicate Bank, Central Bank of India, Punjab National Bank and ICICI Bank. These schemes are available in rural banks, cooperative banks and scheduled banks too.You need to prepare a business plan to present to the bank along with your filled-up application form and the required documents related to identity and the business. The business plan should contain the commercial idea, your projections for the business, the past performance if the business is already set up, the amount you require as loan and how you plan to use it, etc.You also need to know which category your business would fall under. The Mudra Loan Scheme has gives loans in 3 categories:Shishu: This is for business units that need finance to start up. You get up to Rs. 50,000 under this category.Kishor: This is for business units that have been started but need a finance boost to establish themselves. You get between Rs. 50,000 to Rs. 5 lakh under this category.Tarun: This is for units that are already established but want to expand their business. You get between Rs. 5 lakh to Rs. 10 lakh under this category.If your business plan is clear and well planned and your documents are in order, there is no reason why your loan should be rejected.Check out the link mentioned below to find the right plan according to your specific needs:https://www.bankbazaar.com/perso...
What are the procedures to apply pmegp loan?
hipmegp is a central govt Scheme for only new entrepreneurs who want to start there manufacturing or service business… its a subsidy Schemesubsidy will be from 15% to 35% of total approved project costowners contribution will be 5% to 10% of total approved project costi have availed this loan for my project in bangloreGet ready with the project you want to doprepare a project report on itidentify the place where you want to start you projectapply online application in kvic websitethere will be an interview process by kvic/dic/kvib chosen nodal agencybefore interview talk to banks who is ready to give loan to your projectget a communication letter from bank and submit in interviewif your project is selected it will get forwarded to banksubmit all required (asked) documents to bankbank will process the application and they will do inspection of your project placebank will sanction the loan.. get sanction later from bank and submite in kvic/kvib/dicget EDP trainingsubmit EDP training training certificate to kvic/kvib/dic and bankyour subsidy will be sent to bank by govt.every process/agency/bank has its own operation methodEligibilityImplementing AgenciesArea of projectdocumentations are very important to get subsidydownload population certificate here pmegp loanfor any further information please email me raghu.pr19@gamil.comi will help youplease check out my blog PMEGP Prime Minister Employment Generation Programme guideImportent Notes :-Be aware of fraud financing agency (specifically from delhi ) many people called and informed me about they have given money to thees fraud agency's2. Do not give money to any agents or brokers (hence it is a online process will not work like that)3. Interest rates will be same as reguler business loan depending on banks 9%to 12% (NOT 4%)4. Subsidy is max 35% not more than that5. Max loan amount under pmegp is 25 lakhs not more than that6. Your own contribution to the project will be 5% to 10% which should be deposited to your business current account in your bank do not give this money to any agents or brokers or financial agency7. Consultant your bank or kvic / dic/ kvic for any financial advice8. Do not share your documents with any 3rd party they will miss use it
I like to start a small scale Textile power loom. My project cost is 10 lakh and Can I get loan?
While starting a powerloom business one should keep in mind that the major subsidy of TUFS (technology Upgradation Fund Scheme) which is 25%-35% is not provided by the government.There are many schemes of loans and other governmental benefits for women entrepreneurs. You can get a loan from Nationalised banks at lower rates for women entrepreneurs.There are also some benefits under Startup India Standup India for setting up a new business. You must produce the seed fund before the bank to get the loan.