Business Registration

Business Registration

Before you register your business, you must decide between on the legal form for your company. These are

· Sole proprietorship

· Partnership

· Corporation

· Non-Profit

Sole Proprietorship

This is the simplest legal form. Simply by beginning operations, and selling your product or services, you are deemed to be a sole proprietor. As a sole proprietor, you are the business – that is, you are not an employee, but a subcontractor of the firm. The net income of the business becomes your net income and is added to your personal income. A sole proprietorship is responsible for all debts, and the business automatically ceases to exist when the owner abandons it.


Two or more people jointly own this kind of company. Depending on their investment and involvement, each partner agreeably owns a different proportion of the company and splits any liabilities or losses accordingly.


This is a legal form of ownership that requires more detailed legal filings. An incorporation creates an independent entity that is separate from the “shareholders” or owners. An owner is paid with dividends or shared profits, and/or as an employee.




A corporation can issue shares thereby raising capital.


Initial cost of set up is much higher.


An owner is indemnified or protected against corporate debt or liabilities (in most cases).

Higher administrative costs


Incorporation may enhance the image of the firm or may be customary in the relevant industry.

Higher annual filing fees

Possibility of income tax advantages at specific levels of net income.



This business category offers a good or service to the neighbourhood, like a club or charity.

Contact Mak Tax to register your business today!

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