New Company Registration in India

If New Company Registration is any indication, India growth story is far from over, as some of the naysayers would like to believe. BRICS nation comprising on India, China, Brazil, Russia and South Africa were seen as the future engines of world economy. Brazil, Russia and SA were derailed to an extent and now even China is seeing a slowdown in the economy. India, with all it’s problem notwithstanding, has been the only constant performer and is still seen as a country which has strong fundamentals and ample growth opportunity. If number of people who have done New Company Registration is any indication, India growth story will continue to boom. We discuss below 7 points which reinforces our belief in India Growth Story:

New Firm Registration number grew exponentially in last quarter and the number of SME as per some estimate is over 80 millions. This definitely is no sign of slowing down.

Indian economy has grown with 7.5%+ rate and is slated to grow so. Gurgaon, which is the story of India’s growth, has seen a sharp rise in New Company Registration in Gurgaon

Apart from New CompanyRegistration, India has seen over thousands of foreign fund houses setting up shop in India

All the big daddies of e-commerce are queuing up to set shop in India. Online Business Registration in India has seen a stupendous growth and is slated to grow over 10% YoY

Private Limited CompanyIncorporation and Company Formation in India has shown a high increase in the profits posted. This definitely shows that India is a land of opportunity.

Digital India, Make in India, Start Up India campaign has infused India Inc with a renewed vigor. Infact the Pvt Ltd Company Registration Online has broken all previous records.

Company Registration in Gurgaon, the IT and BPO hub of India is now the city (Delhi-NCR) which has highest GDP in India. The GDP of Delhi-NCR is more than many a countries!!!

Accounting consultant in Delhi-NCR

Accounting is a serious job. Anaccounting consultant can save lot of money for their clients through Tax Advisory, can help raise money through proper accounting and due diligence compliance and keep their client safe by proper regulatory compliance.

There are various accounting firms in Delhi and hundreds of accounting consultants in Delhi but it is important to know how to make best use of the immense knowledge an accounting consultant possess.

Tax Optimization: 

An accounting consultant helps a client to optimize their taxes properly and in the process saves a lot of money for their clients. There are various ways to optimize your tax like booking the expense, taking credit on GST etc. etc. In a survey, it has been found that a company can save up to 5% of their operations tax with correct advice from accounting consultants.

Fund Raising:

 Correct accounting practices and proper due diligence is a pre-requisite for raising any form of funds, be it equity or debt. One of the major way an accounting consultant can help you is to ensure that you are always covered on this front.

Regulatory Compliances: 

Accountancy firms helps a company to always ensure that they are compliant and there is no chance of any unwanted notice from any government department.

Hence it makes sense for owners/founders/managers to opt for best accountant firms and use their accounting consultant proactively to grow the business.

Accounting company in Delhi-NCR

Accounting is mainstay of any business. Apart from the mandatory government compliances, accounts helps the founders/owners/managers of the business to understand the direction in which company is going, issues with accounts receivable, financial health etc. etc.

Hence it is paramount to have the best accounting company looking after your finances. Next question which arise is how to select the right accounting company for your business. Choosing an accounting company is not an easy job and there hundreds of accounting companies in Delhi alone. ‘One size fits all’ principle does not apply with accounting company and every business has different requirement and should select the right accounting company for them.

For start-ups with less than 1 million of Revenue or less than 200 transactions a month::

Such start-ups should maintain their accounts on their own in excel, keep tab on all the bills received and try to spend maximum through Bank Accounts. It is also mandatory to get the Audit done by year end from an Accounting Company. Also, they should speak to CA once every month to understand if there has been any changes in the regulation.

For companies with 1 million-5 million of Revenue or doing 200-1000 transactions a month::

Such companies should have an accountant company visit their office once a month, and do all the accounting inappropriate software. They have to do various tax registrations as well as deposit taxes. Such company should opt for accounting company which is in their city (like for someone in NCR, they should go for accounting company in Delhior NCR).

For companies with 5 million-50 million of Revenue or doing 1000-10000 transactions a month::

Such companies should have an in house accountant (fresher or with less than 2 years of experience) and the accountant should be supervised by professional from accounting company. These companies should look/opt for accounting company whose CA can give personalized service as the business is growing and regulations would matter for such companies

For companies with over 50 million of Revenue or doing more than 10000 transactions a month::

Such companies should have at least a team of 2-3 people in accounts department (with a senior accountant heading the team) and a professional from accounting company having quarterly audit and directly reporting to the owner.

Accounting Services for Start-Ups and SME in Delhi

Accounting is one of the major challenges for any Small Business or Start-Ups. For any business, whether it is a a multi dollar MNC in Manhattan or a bootstrapped e-commerce venture in Gurgaon, the basic principle remains the same viz,

1- Increase Revenue

2- Optimize Cost

3- Focus on expansion (geographically or otherwise)

And the problem faced by founders, promoters and Top executives also remains the same, They lose the sight of above mentioned cardinal principle. It has been observed and ratified by various experts across globe is that founders/executives do not normally pay attention to planned budget and monitor them regularly leading to such issues.

Best habits are inculcated young and we very strongly advice to all entrepreneurs is to focus on their accounting and book-keeping right from Day 1 and keep an eye on the various parameters on monthly basis (if not weekly).

Some of the key parameters they should have an eye on are mentioned below:

Revenue: Revenue is the ‘actual’ amount which hits your accounts. (Even if you are bitten by GMV bug, an eye on ‘actual’ revenue is an absolute must)

Cost of Operations: This will include Salary, office Rent, Electricity, Admin cost etc etc.

Cost of Marketing: You can consider including salary of marketing employees of you have dedicated marketing employees

Accounts Receivable: A lot of ‘profitable’ businesses have gone bust just because their account receivable management was poor. Please remember that money which sits in your bank is ‘real’ money

Cash in the account: If your bank account shows cash of less than 10 months(bare minimum) amount of cash equivalents of the amount you need to run the operations at same level, it is time to panic. So increase your revenue, optimize your cost or start looking for funds (And Pray Hard!!!)

Regular Accounting and Book Keeping helps companies to ensure that all government compliances Like TDS Returns, GST Returns are complied with (Another advantage of regular accounting and Book-keeping services is that helps to manage Tax more efficiently. Just to enumerate few points:

1- TDS deducted by clients are accounted properly

2- GST Credit is utilized properly

3- All the expenses are properly accounted (Petrol Bills to Mobile Bills to Restaurant Bills could be booked as expense)

If your business is small in size (Revenue of less than 5 Lacs per month or Less than 300 Transactions per month), you can easily manage accounting and Book-keeping in-house. But beyond that it is strongly advisable to take a professional help. There are various professionals who provides accounting service in Gurgaon or in Delhi.

To choose accounting service consultants, following points should be kept in mind

1- Experience of service provider

2- Location (for eg. It is better to have a Delhi accountant for company in Delhi and Gurgaon accountant for company in Gurgaon)

3- Cost

Accounting Services in Delhi or Gurgaon starts from Rs. 1,200/- per month.

Accounting Service for Small Business

Lot of small business sees Accounting services as necessary evil, something which has been imposed on them by Government and they have to pay for it. Unfortunately nothing can be farther from truth and small businesses are the ones who suffers most if they do not keep their accounting properly.

Small Business runs with tight finance and seldom have room to manoeuvre during bad times. Some of the way small business could get help from online bookkeeping services are:

1- They can keep tab on account receivable and follow up for any delay on payment

2- They can book expenses like mobile bill, restaurant bill, petrol bill and get GST Credit

Coming to second part of accounting service which scares small business is the cost attached with it. This fear is also uncalled for as online bookkeeping services comes starts with Rs 1,200 per month (a small price for all the benefits it brings).

Thirdly account services helps a business to continue complying with all government regulations.

Last but by no mean the least, accounting services helps you to plan for future. If small business gets a month on month figure on growth and have all the compliances in place, the chances of raising funds goes up substantially.

The other facet of having online bookkeeping for small business is that all the cost are accounted for at all times.

If small business is having revenue less than Rs 5 Lacs per month (or less than 300 transactions per month), there are various online bookkeeping tools which are really cost effective. On the other hand if the business has revenue of over 5 lacs but less than 1 Crore, they business should hire a professional accounting service provider.

All the entrepreneurs of small business or start-ups, please do remember that even Dhiru Bhai had a small business once upon a time!!!

All you need to know about GST return filing

                                                               

All PrivateLimited Company, LLP, Firms, Individual having GST Registration must file GSTR-3B in the month of August and September by 20^th of the month.  We are trying to simply put the GST Return Filing process in this article. In this sense GSTR-3B is a temporary provision till October 2017.

Q: Who should file GSTR-3B return (GST Return)?

A: All companies and individuals having GST Registration must file GSTR-3B until the normal schedule for filing of GST return commences in the month of October 2017.

Q: Due date for filing GSTR-3B return?

A: GSTR-3B return is due on the 20th of August and 20th of September 2017. After that, from October onwards all GST Registered entities would be required to file GSTR-1, GSTR-2 and GSTR-3, as per normal schedule.

Q: Penalty for not filing GSTR-3B return?

A: There is no penalty for not filing GSTR-3B return. Though for not filing GSTR-1, GSTR-2 and GSTR-3 returns from the month of October, there is a provision of penalty of Rs.100 per day.

Q:  Details to be provided in GSTR-3B return?

GSTR-3B is a simplified GST return but it is advisable to use service of a professional to file the returns accurately to help fulfil your compliances.

Though for the companies with GST Registration, they would need the details of outward supplies/invoices and inward supplies/invoices.​

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Is your PAN Card Activated?

Government of India had asked for linking of Aadhar Card to PAN Card and after the exercise was done there were about 1.1 million PAN Card which were made unactive. The PAN Card were of Individuals or Firms (Not Private Limited Company or LLP).

If you are wondering whether your PAN Card is still active, you can find out yourself in 4 simple steps:

Step 1: Go to the Income Tax Department's e-filing website (http://incometaxindiaefiling.gov.in/)

Step 2: Once you reach Income Tax Website, Look into Left side panel under category ‘Service’ wherein you will get click on the 'Know Your Pan' option. This opens to a page where you need to fill in you details. For instance, name, status (Company, Individual, Hindu Undivided Family), gender, date of birth and phone number

Step 3: Confirm the details are correct and then click the submit button

Step 4: You will receive an OTP or one-time password on your mobile. Enter the number in the given space to 'Validate.'

If your PAN Card is OK, in next page you will see a message your PAN is 'Active' and you can also see the jurisdiction under which the PAN is active. For instance, WARD 5(1) Patna.

Hope this helps you to get the status of your peace of mind and know whether your PAN Card is active or not. Infact even if you have a Private Limited Company or Limited Liability Company (LLP), you can check the status of your PAN Card.