What Are The Essential Processes For Setting Up A Business In India?

India is now one of the biggest startup hubs with over 80,000 startups. Investors are taking an increasing interest in investing in them. If you have a business idea and want to start a business, then you should know the steps involved in setting up a business.

Due to the various reforms, the entire process of doing business in India has changed. You can start a business in any sector and offer products or services. The sectors seeing the highest growth are technology and IT, fintech, E-commerce, healthcare and pharmaceuticals and green technologies.

Before you start a business, you should decide on the business structure. India supports different business structures such as public limited company, private limited company, sole proprietorship, one-person company and limited liability partnership. You should go through the features, pros and cons of each of the business structures and decide which is the best for your business.

Steps to start a business

• Think over your business idea and check every factor before deciding to start your business. Once you have finalised your business idea, you should research the market and identify your potential competitors and partners. This will help you understand the specific industry.
• Acquire the relevant skills and get the required training to run your business successfully. You can enroll in specialised training courses or work with different clients to get the required skills. Your experience and knowledge in the specific industry will help you understand business better.
• After going through the different stages of learning, you should document your business plan. Creating a document plan will help you present your business in a better way. It will help to present your ideas professionally, and prospects will take an interest in knowing your plan.
• You will have to find sources to fund your business and start it. You will have to get estimates, calculate the finances and find a reliable way to finance your business. The main sources of financing can be Angel investors, Venture capitalists, banks and self-financing.
• You can now develop your product or service and find the manufacturer, decide the pricing strategies, make the product and take a trial run of your product or service.
• In the early stages, only you will be working for your business, but you may have to build a team over time. You can consider taking partners, employees or freelancers depending on your needs.
• Decide on the location of your business based on the target market that best suits your business and your qualifications. You can start a small shop or an office in your preferred area. You should not compromise on the location as your business is dependent on it.

Now is the time to register your business in India with the Ministry of Corporate Affairs (MCA). You will have to decide on a business structure for your startup. The startup registration in India can be done online by you, or you can approach a service provider.

1. You have to first decide on your business's name. The name of your business should be unique, and it should align with the purpose. The name of your business should not match any of the businesses already registered.
2. You will have to get a Digital Signature Certificate (DSC) for the document you submit online. The director of the business will have to obtain a Director Identification Number.
3. The forms to fill and the documents to submit vary as per the business structure. You should fill out the registration forms and submit the documents accordingly. The Certificate of Registration gives your business a legal existence.

You can then apply for recognition under the Startup India Scheme.

To register on the Startup India portal, you can go to their website and create a user account. Fill the form online and submit the required documents along with the registration certificate. The DPIIT (Department for Promotion of Industry and Internal Trade) will verify your application, and if valid, your startup will be granted DPIIT recognition. The Startup India Recognition Certificate can be downloaded easily.

• You can identify your target market and grow your customer base by putting ads, sampling, sales promotion and other strategies. You can offer superior products or services and grow your business.