India is an emerging market with wide scope and opportunities for both Indian and foreign investors. The Government of India offers entrepreneurial friendly policies which makes invasion and growth of businesses in India easier.
Every business plan must include the following:
- Cover page
- Table of contents
- Executive Summary
- Development and Production
- Resource Requirement
- Format and Presentation
- Writing and Editing
- There are various forms of business entities in India:
- Private Ltd Company
- Public Ltd Company
- Unlimited Company
- Sole proprietorship
- Joint Hindu Family business
- Limited Liability Partnership(LLP)
- Liaison Office
- Branch Office
- Project Office
- Subsidiary Company
Private Ltd Company
A private company has the following features:
- Restricts the right of the shareholders to transfer their shares.
- Has a minimum of 2 and maximum of 50 members.
- does not invite public to subscribe to its share capital
- Must have a minimum paid up capital of Rs. 1 lakh or such a higher amount which may be prescribed from time to time.
Public Ltd Company :
A public Ltd company has the following characteristics:
- It allows the shareholders to transfer their shares.
- Has a minimum of 7 members, and for maximum there is no limit.
- it invites the general public to subscribe to its shares
- Must have a minimum paid up capital of Rs 5 lakh or such a higher amount as may be prescribed from time to time.
Unlimited Company is a form of business organization under which the liability of all its members is unlimited. The personal assets of the members can be used to settle the debts. It can at any time re-register as a limited company under section 32 of the Companies Act.
Sole proprietorship is a form of business entity where a single individual handles the entire business organization. He is the sole recipient of all profits and bearer of all loses. There is no separate law that governs sole proprietorship.
Joint Hindu Family
Joint Hindu Family is a form of business organization wherein the members of a family can only own and manage the business. It is governed by Hindu Law.