India ranked 121 among 181 economies around the world in terms of starting a business in India, according to a recent report published jointly by World Band and International Finance Corporation named ‘Doing Business 2009’. The study was conducted across 181 economies that include 46 economies in Sub-Saharan Africa, 32 in Latin America and The Caribbean, 25 in Eastern Europe and Central Asia, 24 in East Asia and Pacific, 19 in the Middle East and North Africa and 8 in South Asia, as well as 27 Organisation for Economic Co-operation and Development (OECD) high-income economies as benchmarks. However, compared to its corresponding report published in 2008, India slightly declined from its earlier position, which was at 114 in ‘Doing Business 2008’.
The report stated that a company requires 13 procedures, 30 days and costs 70.09 per cent per capita gross national income (GNI) to start a business in India. The 13 procedures include:
· Obtaining director identification number (DIN) on-line
· Obtaining digital signature certificate on-line
· Reserving the company name with the Registrar of Companies (ROC) on-line
· Stamping the company documents either at the Superintendent or an authorized bank
· Presenting the required documents along with the registration fee to the Registrar of Companies to get the certificate of incorporation
· Making a seal
· Visiting an authorized franchise or agent appointed by National Securities Depository Services Limited to obtain a permanent account number
· Obtaining a tax account bumber for income taxes deducted at source from the Assessing Office in the Mumbai Income Tax Department
· Registering with Mumbai Shops and Establishment Act, 1948
· Registering for VAT before the Sales Tax Officer of the ward in which the company is located
· Registering for profession tax
· Registering with Employees’ Provident Fund Organization
· Registering for medical insurance (ESIC)
The report further ranked India in some other specifications also that include dealing with construction permits, employing workers, registering property, getting credit, paying taxes, trading across borders and closing business as well.
— IndiaRetailing Bureau
