Did you ever want to know how long it takes to establish a business in India? How long it might take to cut through the tangle of procedures? Do you know what the ‘Due Diligence’ is?

See this table from www.doingbusiness.org for a snapshot of what takes how long and what it might cost you :

Registration Requirements:

Procedure 1. Present name of company for approval to the Registrar of Companies (ROC); Get the Memorandum and Articles of Association vetted by the ROC and printed
Time to complete: 7 days

Cost to complete: INR 500
Procedure 2. Make an application to the Superintendent of Stamps or an authorized bank requesting for stamping of the Memorandum of Association and Articles of Association.
Time to complete: 1 day

Cost to complete: INR 200 (for MOA) + INR 1000 (for AOA) for each slab of INR 500,000/- or part thereof + INR 100 (stamp paper for declaration Form 1)
Procedure 3. Present the required documents along with the registration fee to the Registrar of Companies to get the certificate of incorporation
Time to complete: 9 days

Cost to complete: Unknown
Procedure 4. Obtain a company seal
Time to complete: 3 days

Cost to complete: INR 350
Procedure 5. Visit the UTI Investors Services Limited to obtain a Permanent Account Number
Time to complete: 7 days

Cost to complete: INR 71 (INR 66/- for Fee and INR 5/- for Application Form)
Procedure 6*. Obtain a Tax Account Number for income taxes deducted at source from the Assessing Office in the Mumbai Income Tax Department
Time to complete: 7 days (simultaneous with procedure 5)

Cost to complete: INR 55
Procedure 7*. Register with Mumbai Shops and Establishment Act, 1948
Time to complete: 2 days (simultaneous with procedure 6)

Cost to complete: INR 5000
Procedure 8*. Register for value added tax (VAT) before the Sales Tax Officer of the ward in which the company is located
Time to complete: 12 days (simultaneous with previous procedure) Cost to complete: INR 5025
Procedure 9*. Register for Profession tax
Time to complete: 2 days (simultaneous with procedure

Cost to complete: no charge
Procedure 10*. Register with Employees’ Provident Fund Organization
Time to complete: 2 days (simultaneous with procedure 7)

Cost to complete: no charge
Procedure 11*. Register with ESIC (medical insurance)
Time to complete: 1 day (simultaneous with procedure 7)

Cost to complete: no charge

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