4 ms·
By "basic company" – you mean sole proprietorship (aka as a sole trader). There is a similar formation called partnership, but since you did this yourself as a
by rdsubhas 4y ago
By "basic company" – you mean sole proprietorship (aka as a sole trader). There is a similar formation called partnership, but since you did this yourself as a solo person, I would assume you did a sole proprietorship. It is not an entity by itself, it's completely tied to you as an individual. It doesn't need a bank account or separate taxes. You use your bank account. When you file taxes as an individual you also declare taxes for your propretorship on your name. There is no corporate tax filing. You are just expected to maintain books (just like freelancers do) and file taxes on your name. Not to belittle – but a sole proprietorship is almost like registering a "brand name" to a freelance business. It does not have any legal requirements, it's all on you as an individual.
GmbH (LLC or limited liability company) is a completely different beast than sole proprietorship or partnerships.