Is it important to register a company?

Question

I want to know why should I register my company.
Can I continue my company without registering legally?

Answer 1

Registering your company gives you the ability to borrow and incur debt but more importantly, sell shares and raise equity capital.

You can continue without company registration but, then you would need to pay taxes on your personal income tax statement even if that money is staying in the business.

Registering a company can be one of the best ways you can expand your business and help ensure its success. Not only will you be free of liability, but lower tax rates will mean that you can focus on turning your business into the lucrative venture you want it to be.

Comments

Simple words, yes you can. But it has many problems as I discussed in my answer. You were not able to collect funds etc.

All countries trying to make the company registration process as simple as possible. Just required an online portal and you can register.

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Ok! now I got it. thanks :)

Answer 2

Business registration is very important as it establishes the business as a legal entity. Without business registration, your company cannot be legally considered and will not be protected under any grievance procedures, etc. It will also not be protected from any economic, legal, or social instability.