As an entrepreneur, you may be preoccupied with the thought of organising resources and putting things in order with a view to beginning your business with a bang. But, the reality is that despite all those planning beforehand, you will not be capable to make much headway unless you register the business with the appropriate authority in your niche market. Having said that, we mean, you must consider your business registration as the steppingstone here and give it a due priority. To precise, without this registration, you will fail to achieve scale in business. After all, it works as an identity of your business.
Why should you Register your Business?
This is a good question indeed. After all, knowledge is power to you. Here is a list of things to consider for the purpose.
- Creating an identity: With the completion of the registration process, you give your business a legal entity that is recognised by the laws of the land. Having said that, we mean, your business is separate from you. It, therefore, needs a legal entity and that is achieved with its registration. In the draft document of your business, you have to define the purpose and the nature of your business, scale of operation, and the source of funding etc. that are an integral part of the process. On the flip side, for a company, the process is a bit more complicated that mandatorily requires the articles of association and the memorandum of association along with other details like authorised capital, subscribed capital, board of directors and their addresses etc.
- Availing tax benefits: When you do business registration, you will be entitled to claim tax rebates according to the laws of the land. For instance, the governments of almost all countries offer tax relief to some export units and/or to the industries that are built in special economic zones. The government may provide land at a subsidised rate and so on for the purpose. All those will be available to you after registering your business.
- Returns submission: Every country follows a financial accounting year and the businesses operating there are to file its’ returns mandatorily at the end of each year. This can only be possible after the registration of your business since your business after registration will be provided with unique identification number and permanent tax account numbers. If you don’t file the returns of your business, your business will be subject to a physical scrutiny at any point and may be asked to stop functioning.
- Branding: Registering your business, you will have the opportunity to create your own brand that consists of people’s perception about your product, your logo etc. Having said that, we mean, you give birth to a brand and its followers in your niche market. In the process, you would be able to levy a premium on your products and scale new heights for your business.
Likewise, you may find some more reasons working in favour of the business registration. In short, such a registration is more than a necessity with a view to reaping the most benefit of your endeavours here.