It often happens that when a person decides to set up a company, he finds himself in a dilemma. And this is where the intervention of company formation services in India becomes a must.
Company formation services in India serve as the best support and simplest solution to get rid of all the formalities and duties related to forming a company.
Every business plan begins first with market research, which is a necessary element for forming a company. It is then necessary to work on the forecast, which consists of quantifying your business project to obtain economic and financial visibility.
The forecast constitutes an element of the answer to the following questions:
- Is my idea for forming a company profitable?
- How much funding is needed to launch my company?
- What income can I expect from my future activity if my first years correspond to my estimates?
The development of the forecast is again limited here to the activity itself the turnover projections and the expenses necessary for the exercise of the activity (investments, purchases, overheads, staff costs, etc.).
At this stage, you can also start looking for your future suppliers and service providers (insurer, accountant, lawyer, advertising, telephony, etc.). The proposals obtained by the latter will allow you to refine the forecast.
The other parameters will be adjusted later depending on the choice of the legal form of the company, its tax regime, and the social status of the manager.
Depending on the results of your forecast, you get an initial idea of the funding envelope you will need to launch your company. It is strongly recommended to provide a larger budget than the calculated financing need.
Sometimes, certain projects do not need any financing but there are others (those for which investments are to be made) that require raising funds.
It will then be necessary to take the calculated amount of financing and allocate to it:
- The personal contributions you can make,
- The contributions of investors that you can bring into the project,
- The financing you can expect to obtain from credit institutions,
Another essential step in any business creation project: finding a place to carry out your activity.If you start a business and decide to work from home or with your customers directly, it’s not very complicated.
On the other hand, if a commercial premise is essential, it is a little more complicated and it can take time. In addition, it is an important item of expenditure for the forecast.
When the forecast is finished and the financing of your project is defined, the entrepreneur must face an essential stage in the creation of a business:
- The choice of the legal form of the company
- The choice of the social status of the entrepreneur,
- The protection of your assets,
- The choice of your corporate name,
- And construction of financing (disaggregation between possible solutions).
It is strongly recommended, in this essential step, to be accompanied by company formation services India. These professionals will justify the choices to adapt and answer any other questions regarding the issues related to the company formation process.
At the same time as these reflections, you must continue to make progress on arranging the financing for the company.
This content is meant for information only and should not be considered as an advice or legal opinion, or otherwise. AKGVG & Associates does not intend to advertise its services through this.
Posted by
CS Neetu Saini
AKGVG & Associate