What is Incorporation?
When starting a company, once the company idea is decided, and the company is about to start business, the first thing that needs to be done is, the company has to be registered. After the company is registered with the Govt., then it can start business. The process of registering a company is known as incorporation.
Most of the people reading this article are entrepreneurs. They have decided to start their own business. If you are one of them, we strongly suggest that you read the “How to start a company?” article. That article covers all the basics you need to consider and know before you think about starting the business.
“This” article talks about how you should go about the process of turning your business idea into a registered business. It talks about the various kinds of options available and gives you the information that you will require while making these choices.
If you are starting a business, there are different kinds of legal structures among which you can choose your business to be. These are:
- A Sole Proprietorship
- A Partnership Firm
- A Private & Public Limited Company
You could move directly to the kind of legal structure you are interested in if you know what you want. If you are not sure, we suggest you read though all the structures. This will give you a much better idea about what choices you have.
Note: Even though, forming sole proprietorship and partnership firms are not technically referred to as incorporation, we have explained them too in this article for the benefit of everybody.