In India, Startups are the most preferred business model among those who wish to start their own business. As you know you can start a Startup company with any amount of capital, with any level of resources, Both online and offline and sometimes you do not require money or even office to start a startup company.
The Indian Government is also seeing Startup companies as a way to get rid of the unemployment problem in India and therefore the government is making a scheme to encourage people to open more and more Startup companies In India.
So If you wish to Start a Startup company, Then You must have these below-listed documents.
1) Trademark and Patent registration Certificate
As you might have seen Startup companies are known to bring innovative and new products to the market. So If you have come up with an innovative product then to protect it from getting copied by other companies and to get acknowledgment for your innovative product, you must secure a Trademark or Patent registry certificate. And it is also important to get these certificate as it proves your ideas or invention to be useful and marketable.
2) Business Registration Certificate
To get recognition as a startup you require the Certificate of incorporation for Ministry of Corporate Affairs, if you go with the simple legal entity like Partnership Firm Registration or Proprietorship Firm then it’s not required but needs the tax registration certificate like GST etc to open a current bank account on the firm name.
3) Employee contracts and Offer letter
You should draft an employee contract and offer letter so that employee will have a clear understanding of the job, job position, and Duties that are associated with that job. Your employee contract and offer letter should properly state employees position, Job designation, salary package and Hr Policies etc. you can seek the help of legal document expert to draft employment contracts and offer letter.
4) Tax & Other Act Registration Certificate
Indian startups have to required the Tax Registration certificate also like the GST. Its required mainly when your turnover is more than 20 lakh rupees in a year. Apart from this, you need to have the ESIC Registration if you have more than 10 employees. If you are dealing in the food segment then its also required the FSSAI License. These days startups are looking for the Import export, in that case, you need the IEC Code Registration.
5) Non Disclosure agreement
It is a very important and very essential legal document that should be made in the startup firms as startup firms are opened with the main aim to bring new and Innovative business models and products and services. When you bring innovative and new products to the market and if it becomes successful among people and you capture a huge market share. There are always people and companies that want to duplicate your product or want to know the internal business model and technological aspect of your product and that where there try to extract that information from employee and other people working in the organization that where nondisclosure agreement will prove to be useful in protecting your trade secrets.
Conclusion
Legal documents listed above are the basic legal documents that are required to be present in the startup company. Before you commence a startup company you should make a check list of all document required so that you do not fail to acquire these five documents.