A Sole Proprietorship Firm is very easy to form due to its minimal registration requirement and it requires only one person to incorporate.

The proprietor can choose any business name as per his/her wish to create a Sole Proprietorship Firm. However, the business name should not be same as of a registered trade mark.

No, the Sole Proprietorship Firm cannot restrict any other person to use its business name, unless it gets its name registered under Trade Mark.

Income earned by Sole Proprietorship Firm is considered as income earned by the owner and thus, taxed in its individual hand. Accordingly, the tax shall be computed as per slab. However, it is to be noted that Income-tax Act, 1961 provides (almost) common rules for the calculation of taxable business income for all entity structure (say, company, partnership, sole proprietorship firm etc.)

The liability of a sole proprietor is unlimited. As the Government does not differentiate between the Sole Proprietorship firm and a Sole Proprietor, the proprietor is personally liable for all the debts incurred by the Sole Proprietorship Firm.

Legal Terminus can help you with registration of Sole Proprietorship Firm for you, as and when required, in a hassle-free manner within a reasonable time span and for competitive professional fee. To know more, please book a telephonic appointment with one of our consultants free of charge.