A Sole Proprietorship is the simplest form of business structure in India. It is owned and managed by a single person and is ideal for small businesses, freelancers, and local traders. Unlike companies or LLPs, it does not require incorporation with the Ministry of Corporate Affairs. Instead, the registration is done through various licenses and tax registrations depending on your type of business.
If you’re planning to start as a sole proprietor, here’s a complete guide to the documents required for Sole Proprietorship registration
✅ 1. Identity Proof of Proprietor
Since a sole proprietorship is linked directly to the individual, identity documents are mandatory.
PAN Card of the proprietor (mandatory for tax purposes)
Aadhaar Card / Voter ID / Passport / Driving License
✅ 2. Address Proof of Proprietor
To verify the proprietor’s residence:
Aadhaar Card / Passport / Voter ID
Utility bills like electricity, water, or telephone (latest)
✅ 3. Business Address Proof
Depending on whether you own or rent the business premises:
If Owned: Property tax receipt / electricity bill in your name
If Rented: Rent agreement and landlord’s NOC (No Objection Certificate)
✅ 4. Bank Account Proof
A current account in the name of the proprietorship is generally required. For this, banks usually ask for:
PAN Card
Identity & Address proof of proprietor
Proof of business (GST registration, Shop & Establishment license, etc.)
✅ 5. Licenses and Registrations (as per nature of business)
GST Registration: Mandatory if turnover exceeds the threshold limit (₹40 lakh for goods, ₹20 lakh for services in most states).
Shop and Establishment License: Required by most state governments to operate a shop/office.
Udyam Registration (MSME): For small business recognition and government benefits.
Trade License / Local Municipal Registration: In some cases, depending on state/local rules.
FSSAI License: If you’re dealing with food business.
? Quick Checklist of Common Documents
PAN Card of proprietor
Aadhaar Card / Voter ID / Passport (ID proof)
Address proof of proprietor (utility bill, Aadhaar, etc.)
Business address proof (ownership or rent agreement + NOC)
Bank account details of proprietorship
Relevant business license (GST, Shop Act, FSSAI, Udyam, etc.)
? Final Note
The document requirements for sole proprietorship registration are simpler compared to Pvt Ltd or LLP registration, but they vary depending on the nature of your business and state laws. With these documents in hand, you can quickly set up your business, open a current account, and start operations smoothly.
