Startup: Choosing a Legal Form for Business

India is the new buzzword for starting up new business. It is an emerging market with vast opportunities for both Indian and foreign investors.

Before starting a new business it is importantant for an investor or enterpreneur to plan properly. The first important decision he has to make is as to the type of legal entity that has to be established. This decision depends on various factors like industry, ease of doing business, availability of capital / finance, etc.

Types of Business Entities in India :-

  • Unlimited Company
  • Public Limited Company
  • Private Limited Company
  • One Person Company
  • Limited Liability Company
  • Partnership Firm
  • Joint Hindu Family (Hindu Undivided Family)
  • Subsidary Company
  • Joint Venture
  • Liason Office
  • Branch Office
  • Project Office

Types of Other Entities (Not for business / Profit) :-

  • Sec. 8 Company
  • Society
  • Co-operative Society
  • Trust