NOT Easy to Do Business
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# | Submitted | User | IP address | It was | Sector / Industry | State / UT | City | Response-time of officials | Number of documents to be submitted | Availability of information about the process | Overall Rating | It was an attempt to | Other | The problem was | Other cause | Details of experience | Advice for others(desc) | Share my story with | Name | Contact no | Privacy Policy | Contact me | Display it | |
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35 | 16 Nov 2016 - 18:03 | Anonymous (not verified) | 203.122.16.122 | Not Easy to Do Business | E-Commerce | Maharashtra | Mumbai | 3/5 | 3/5 | 1/5 | 3/5 |
Register the business Trade outside state/ country |
Submitting the same document to different departments |
The biggest problem is the lack of clarity in the process. I went to the company registrar's office and took a form, filled it and submitted it to the officer. He gave me 'n' number of reasons explaining why they cannot accept the form, and I was given a long list of documents needed for my form to be accepted. Now to get each of these documents, I had run around to different departments of the government. No one offered help at the government office, because they expected a bribe to solve my queries. I collected all my documents from all the offices to submit these documents to the same officer only to know another set of reasons why my form won’t be accepted and another set of documents to be submitted. At this point, I was so frustrated that I asked the officer why he didn’t tell me about these reasons and documents earlier. And he simply smiled and said, I forgot. There will be lot more things you experience when you visit a government office. The officer was busy with some government work, which he was not supposed to be given in the first place. So this is used as an excuse to not meet you but the real reason is that he somehow wants to extract bribe from you. The more frustrated you are, the more he earns. Government employees could find a million reasons to not deal with you or your issue, and there is nothing you can do about it. According to the standard government procedure one can complain to his higher officers but the higher officers are equal partners in taking bribe. All have defined what charges will be taken as a bribe when you want something from them. How do I know about this? I am a son of a government officer (not company's registrar, but another government department) and despite that I tried to register my company honestly. I know both the sides of the coin. My dad tried to fight this as an honest officer when he was young. He has to visit courts till this date because some senior officers framed him in the wrong case. The last case has been running for last 2 years. My dad tried to contact everyone he can above his officers but all told him to shut up and be part of the system or else he will be in jail for sure. If you ask me for a solution, then it's done already in passport offices. TCS is running that department amazingly. The process is exactly described on their website. No local laws affect that procedure. And your turn is decided once you register online. You will surely be able to finish with the procedure in 1 or 2 hours. You know exactly what is needed before going to that department. |
Don't plan on doing business in India. Move abroad! |
Senior Department Officials Keep it Anonymous |
Sanjay Gedam | 8652786590 | gedamsanju@yahoo.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
2 | 12 Apr 2016 - 17:57 | Shashi | 203.122.16.122 | Not Easy to Do Business | Banking | Delhi | N Delhi | 3/5 | 1/5 | 2/5 | 2/5 | Other | Open Bank account | Can’t find information | I wanted to open a bank account for my proprietorship firm. Banks kept me asking for the PAN card for the firm and Service tax / sales tax registration certificate. However, for a proprietorship firm, PAN card of proprietor works for firm as well. Also, being a new firm, and not foreseeing the turnover crossing 2 lakh for the first year, it wasn't necessary to go for service / sales tax registration. | Don't start a proprietorship firm if you are looking at a very small turnover. | Both | Vikram Saluja | 9999999999 | vikram.saluja@vsaluja.com | I have read and I agree with the Privacy Policy mentioned below | Keep me updated about responses to my report and experience. | Yes | |
14 | 1 Nov 2016 - 22:19 | Anonymous (not verified) | 110.225.55.126 | Not Easy to Do Business | Hospitality | Delhi | Delhi | 1/5 | 1/5 | 1/5 | 1/5 | Get credit | Corrupt officials who asked for bribes | A bank manager asked for bribe for approval of loan. | Don't take loan from government banks. | Keep it Anonymous | Anonymous | 9818248285 | sonusth2005@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
32 | 16 Nov 2016 - 17:56 | Anonymous (not verified) | 203.122.16.122 | Not Easy to Do Business | Software | Delhi | Delhi | 3/5 | 2/5 | 2/5 | 3/5 |
Register the business Pay taxes File returns under labour laws, environmental laws, tax laws, etc. Other |
Acquiring another business | Submitting the same document to different departments |
I had a difficult time starting my software business in Delhi. I didn’t have to pay a bribe to register a Pvt. Ltd Company but had to pay a bribe to complete the registration of a proprietorship. There is no clarity on taxation. For example, when you pay someone for their services you have to deduct 10% TDS. I had no idea of any sorts if that person is Amazon or a MNC who have their offices in India and if I had availed their services did I need to deduct 10% TDS. Amazon demanded a full payment. I contacted a dozen charted accountants and even a friend of mine who is in the Indian Revenue Service. None of them had a clue. But all of them suggested paying TDS to be on a safer side. So I had to pay the full amount to Amazon and on the top of that 10% to the dear Government of India. There are so many scenarios where there is no clarity at all. Investment laws are a total mess. God help you if you ever receive a FDI. I received it once only to the return the amount of Rs. 5 lakhs. This is because the amount of running about I would have to do was not worth the amount. The legal system is terrible. If I may say, it is effectively a joke. An acquisition of one my products fell through because the acquirer did not want to make disputes subject to the Indian jurisdiction in the contract. In the acquirer’s own words – “the Indian legal system isn’t held in very high regard here” (in Australia). There are high costs involved in doing business especially in India. My gateway charges a 5% premium (so a 3% + a 5%) for the Indian Businesses because of the increased cost of operations. So an American Company charges only 3% whereas I have no option but to settle at 8%. There are innumerable other hassles as well. It is like a death by giving thousand cuts. |
Even in the software industry, regulations are very high. Be patient and prepared to wait for a while to get through. |
Keep it Anonymous | Anonymous | 02026634513 | director@siu.in | I have read and I agree with the Privacy Policy mentioned below | Yes | ||
13 | 17 Oct 2016 - 07:41 | Anonymous (not verified) | 122.162.93.116 | Not Easy to Do Business | Education | Delhi | Delhi | 2/5 | 2/5 | 2/5 | 2/5 | Get building plan approved | They keep asking me to submit some new document every time | Its a visious circle | Find out a mediator who knows everything and can get things done at one go - a lawyer or a charted accountant. | Keep it Anonymous | Anonymous | 01122222222 | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
39 | 23 Nov 2016 - 18:05 | Prashant | 203.122.16.122 | Not Easy to Do Business | Hotel | Maharashtra | Murud Janjira | 2/5 | 1/5 | 2/5 | 2/5 |
Register the business Get construction permit Get registration and licenses under labour laws Get electricity connection Get water connection Pay taxes Resolve the court dispute Get through bankruptcy |
Other | Getting a license to serve alcohol was a problem | It was a tough time getting licquor licensed to put up a bar in the restaurant. It was a fight we fought for so many years | Follow your instinct and do a strong market study. Don't do what everyone is doing. In our time we were the pioneers in the business in our vicinity. However today, we are facing a lot of competition | Both | Kumudini Tavsalkar | 9769564269 | tanvi.tavsalkar@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Keep me updated about responses to my report and experience. | Yes | |
66 | 14 Dec 2016 - 17:40 | Anonymous (not verified) | 106.51.241.213 | Not Easy to Do Business | Media | Karnataka | Bangalore | 2/5 | 4/5 | 2/5 | 3/5 | Register the business | Corrupt officials who asked for bribes | Initially we tried to register our company ourselves. But the officials kept on delaying for reasons only known to them. Every time we went to the office to submit the documents asked to submit, we were asked for some different documents. Then we approached an agency and they were able to do the work easily. So we were not able to register by ourselves and had to approach a third party. |
For registering business, the process will be easier only when you approach some agencies or know some insider. Many agencies have come up with packages as the process is cumbersome. For example: http://www.legalwiz.in/private-limited-company?gclid=CJ2w8fjS89ACFc4SaAodUy4PAg is a website which is quite helpful in this regard. |
Keep it Anonymous | Anonymous | 9886918876 | ranjith@knappily.com | I have read and I agree with the Privacy Policy mentioned below | Keep me updated about responses to my report and experience. | Yes | ||
63 | 14 Dec 2016 - 16:11 | Prashant | 203.122.16.122 | Easy to Do Business | Media | Delhi | Gurgaon | 2/5 | 2/5 | 1/5 | 2/5 | Register the business |
For me, the only real problem was to find the appropriate CA to do my work for me. I never intended to do the running around, so finding a CA was the primary step for me. He tried to explain the procedure to me, but I told him not to bother - I just asked him which documents were required from my side, and how many copies of it would he require. My whole procedure was finished within a week, and I had no issues because I hired a CA who could be trusted. |
Get a good CA, and conducting business won't be a problem. Yes, the CA might be a little costly, but most comforts are. If you want to save on time and want a hassle-free start, that is the only way out. | Keep it Anonymous | - | - | abcd@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | ||||
60 | 13 Dec 2016 - 10:51 | Anonymous (not verified) | 1.186.60.46 | Not Easy to Do Business | Service | Maharashtra | Mumbai | 3/5 | 3/5 | 3/5 | 3/5 | Get registration and licenses under labour laws | Confusing laws that say different things | I am an auto driver, I own the autorickshaw and I also have the permit. I am doing this business since almost three decades. It was not so easy to start as you have to understand the laws of RTO. To get the permit for the autorickshaw is a difficult task. You have to run around and make sure you show your face to the concerned officer everyday. But I would say that despite it is difficult you've to try your best to have your own start-up. | Get all the information first and then start your business. A bit of research is required before you start your business. | Keep it Anonymous | Anonymous | 9892792055 | heenathakker0509@gmail.com | I have read and I agree with the Privacy Policy mentioned below | Yes | |||
104 | 6 Oct 2021 - 03:17 | Anonymous (not verified) | 23.95.51.30 | Not Easy to Do Business | Bxxypyt | Kerala | Hellendoorn | 4/5 | 3/5 | 4/5 | 2/5 | Get registration and licenses under labour laws | Confusing laws that say different things |
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Keep it Anonymous | Janette Rodd | Ipqea e Evdc | janette.rodd@yahoo.com | I have read and I agree with the Privacy Policy mentioned below | Keep me updated about responses to my report and experience. | Yes |