Business

Retail describes the sale of a product or service to an individual consumer for personal use. Retail transactions occur through different sales channels, such as online, in a brick-and-mortar storefront, in direct sales, or via mail. The defining feature of a retail transaction is that the end user is the buyer. What is retail? This selling of goods can take place in a variety of ways, such as in-store at a brick-and-mortar location, online, through direct sales or via postal services and it includes anywhere from department stores to corner convenience shops. The retailer is the shop or business that is selling the goods and the consumer is the person who purchases those goods for use. Types of retail business Department stores Department stores usually have a wide selection of products on offer, from homeware to children’s toys. These large retailers often stock both products from their own range and goods from other companies under the same roof. In the UK, stores such as John Lewis and Selfridges fall under this category. Online stores E-commerce, otherwise known as electronic commerce, involves the selling of goods by electronic means, including on mobile devices and computers. E-commerce is a hugely popular and profitable retail business type, accounting for a whopping £2,089.6 billion in the UK as of 2022. Convenience stores The classic corner shop (or convenience store as it’s also known) is a staple addition to streets in every town in the UK. These small stores stock all of a consumer’s everyday essentials, from milk to biscuits. The retail merchants in convenience stores are often central members of a local community and their businesses are long-standing and loved. Supermarkets Supermarkets are large marketplaces that stock a large variety of products, focused primarily on food and household objects. These stores are very often chain companies with brick-and-mortar locations all around the country and sometimes even around the world. Examples of supermarkets in the UK include Asda and Tesco. Speciality stores This retail type focuses on offering consumers a specific product type or category that it specialises in. For example, a store offering a selection of women’s clothes would be considered a speciality retail business given the breadth of products on offer to consumers. Retailer vs. retailing Independent retailer- An independent retailer is an entrepreneur who builds a retail business from the ground up. They often juggle multiple roles, from buyer to salesperson to brand marketer. Franchise- A franchise is a ready-made business. Franchises have trademarked names, product lines, and an existing business model. Retail establishments can enter into deals to become a franchisee and benefit from the franchisor’s established market position—in return for a fee. Retail supply chain The retail supply chain consists of four players: Manufacturers who produce goods Wholesalers or distributors who buy goods from manufacturers Retailers who buy goods from wholesalers Consumers who buy goods from retailers 1. Manufacturers Manufacturers start the retail supply chain by transforming raw materials into finished goods. For example, a toy manufacturer might take plastic, paint, and other materials to create a line of action figures. 2. Wholesalers Wholesalers buy goods in bulk from manufacturers at lower prices and then sell them to retailers. For instance, a book wholesaler might buy thousands of copies of a new novel from a publisher, and then distribute them to bookstores nationwide. 3. Retailers Retailers buy goods in large quantities from wholesalers or directly from manufacturers, then sell those goods in smaller quantities to the end users. A local hardware store, for example, might buy pallets of paint from a wholesaler and then sell them individually to shoppers. 4. Consumers The consumer is the end of the retail supply chain. They buy goods from the retailer in small quantities to satisfy personal needs or wants. Consumer retail purchases can be anything—from buying a snack at a convenience store to hiring a landscaping team for your backyard. FAQs What is retail? Retail refers to selling goods or services to an end user. Retailers buy goods from wholesalers, manufacturers, or other retailers and then sell them to consumers for a profit. In other words, retail is the direct selling of goods and services to a consumer. What are 3 types of retailing? Brick-and-mortar retailing: This type of retailing involves traditional physical stores that customers can visit in person to shop for goods. Online retailing: This type of retailing involves purchasing goods through websites and other online marketplaces. Mobile retailing: This type of retailing involves buying and selling goods through mobile apps and devices. What is considered retail? Retail is the sale of goods or services from a business directly to a consumer for their use. It can include physical stores, online stores, and mobile stores. Retailers range from large department stores to small, independent businesses. Practice area’s of B K Goyal & Co LLP Income Tax Return Filing | Income Tax Appeal | Income Tax Notice | GST Registration | GST Return Filing | FSSAI Registration | Company Registration | Company Audit | Company Annual Compliance | Income Tax Audit | Nidhi Company Registration| LLP Registration | Accounting in India | NGO Registration | NGO Audit | ESG | BRSR | Private Security Agency | Udyam Registration | Trademark Registration | Copyright Registration | Patent Registration | Import Export Code | Forensic Accounting and Fraud Detection | Section 8 Company | Foreign Company | 80G and 12A Certificate | FCRA Registration |DGGI Cases | Scrutiny Cases | Income Escapement Cases | Search & Seizure | CIT Appeal | ITAT Appeal | Auditors | Internal Audit | Financial Audit | Process Audit | IEC Code | CA Certification | Income Tax Penalty Notice u/s 271(1)(c) | Income Tax Notice u/s 142(1) | Income Tax Notice u/s 144 |Income Tax Notice u/s 148 | Income Tax Demand Notice | Psara License | FCRA Online Company Registration Services in major cities of India Company Registration in Jaipur | Company Registration in Delhi | Company Registration in Pune | Company Registration in Hyderabad | Company Registration in Bangalore | Company Registration in Chennai | Company Registration in Kolkata | Company Registration

In the supply chain, before a product reaches to end customers, it will first reach at least three stakeholders: a manufacturing company or a national supplier, distributor, and retailer. The sales transactions from each level of stakeholders have different names: primary, secondary, and tertiary sales. Primary Sales Primary sales refer to sales from the first stakeholder—a manufacturing company or national supplier to a distributor. In other words, the transaction between a manufacturing company/national supplier to a distributor in one city/state/region called “primary sales” transaction. A company makes an invoice of the product at distributor price and the revenue from the transaction is the net revenue of the company. Factors Determining Primary Sales Primary sales in a company are determined by various factors, including: The company’s popularity The company’s distribution network, how large it is The secondary sales The consumption pattern of a certain product, whether it is slow or fast. Those factors determine a Mystery Shopping company’s primary sales. The primary sales contribute to the company’s profits and revenue, thus, it is the main focus of the company. However, primary sales must be done with secondary sales to make it effective. Secondary Sales: After a product reaches a distributor, it will be invoiced to a retailer, thus, the transaction is called secondary sales. Distributors will keep its margin and set the product at dealer/retailer price. In the secondary sales, a distributor sells the product to a retailer. Nevertheless, a distributor can also sell it directly to an end customer. In modern retail, it works on the two-tier concept where the primary sales are from the company to the retail outlet and the secondary sales are from retail outlets to customers. Factors Determining Secondary Sales Secondary sales are determined by several key factors, including: The company’s popularity and brand equity of the company Stock availability The involvement of distributors and retailers Credit and trade promotions, the better trade promotions, the higher the sales are. Secondary sales are more important than the primary sales to a manufacturer industry because it affects the primary sales though it is not the responsibility of the manufacturer but the distributors/retailers. At this point, if the distributors do not show well performance, the companies have to find new distributors will better performance. This will ensure the fast movement of the company. In the final level of sales are tertiary levels. Tertiary sales are typically observed only if it’s on the three-tier distribution. For example, if the company sells a distributor who sells the product directly to the customers, then the tertiary sales will not exist. Tertiary Sales Tertiary sales are when a retailer sells the product to an end customer. On this transaction, the product is sold at MRP (maximum retail product) or MOP (market operating price). Tertiary sales involve end costumers which are the most important sales of all. Thus, companies should focus more on these sales to maximize their tertiary sales. If the tertiary sales are high, the secondary and the primary sales will automatically happen and these all will be done by mystery shopping. Factors Determining Tertiary Sales: Several key factors that determine tertiary sales are: Customers’ convenience to buy the product The marketing strategies to attract customers to make a purchase The company’s brand equity, the more popular the company, the more the tertiary sales will be appreciated by Market Segmentation. Product alternatives—a cheaper or a higher quality alternative of products Overall market movement. FAQs How do tertiary sales impact the supply chain? Tertiary sales complete the supply chain cycle, indicating the final consumption of products and influencing future production and distribution plans. Who is responsible for secondary sales? Distributors or wholesalers are responsible for secondary sales, selling products to retailers or consumers. How is primary sales different from secondary sales? Primary sales involve transactions between manufacturers and distributors, while secondary sales occur between distributors and retailers or end consumers. Practice area’s of B K Goyal & Co LLP Income Tax Return Filing | Income Tax Appeal | Income Tax Notice | GST Registration | GST Return Filing | FSSAI Registration | Company Registration | Company Audit | Company Annual Compliance | Income Tax Audit | Nidhi Company Registration| LLP Registration | Accounting in India | NGO Registration | NGO Audit | ESG | BRSR | Private Security Agency | Udyam Registration | Trademark Registration | Copyright Registration | Patent Registration | Import Export Code | Forensic Accounting and Fraud Detection | Section 8 Company | Foreign Company | 80G and 12A Certificate | FCRA Registration |DGGI Cases | Scrutiny Cases | Income Escapement Cases | Search & Seizure | CIT Appeal | ITAT Appeal | Auditors | Internal Audit | Financial Audit | Process Audit | IEC Code | CA Certification | Income Tax Penalty Notice u/s 271(1)(c) | Income Tax Notice u/s 142(1) | Income Tax Notice u/s 144 |Income Tax Notice u/s 148 | Income Tax Demand Notice | Psara License | FCRA Online Company Registration Services in major cities of India Company Registration in Jaipur | Company Registration in Delhi | Company Registration in Pune | Company Registration in Hyderabad | Company Registration in Bangalore | Company Registration in Chennai | Company Registration in Kolkata | Company Registration in Mumbai | Company Registration in India | Company Registration in Gurgaon | Company Registration in Noida | Company Registration in lucknow Complete CA Services CA in Delhi | CA in Gurgaon | CA in Noida | CA in Jaipur | CA Firm in India RERA Services RERA Rajasthan | RERA Haryana | RERA Delhi | UP RERA Most read resources tnreginet |rajssp | jharsewa | picme | pmkisan | webland | bonafide certificate | rent agreement format | tax audit applicability | 7/12 online maharasthra | kerala psc registration | antyodaya saral portal | appointment letter format | 115bac | section 41 of income tax act | GST Search Taxpayer | 194h | section 185 of companies act 2013 | caro 2020 | Challan 280 | itr intimation password |  internal audit applicability |  preliminiary expenses |  mAadhar |  e shram card |  194r |  ec tamilnadu |  194a of

A money lender is someone who lends small amounts of money at a higher rate of interest. The reason for charging higher rates of interest is that the money lender faces a higher risk of default than normal banks due to various reasons. People who are desperately in need of money but at the same time do not have a bank account, people with bad credit histories and those who can’t get money from friends or relatives approach a money lender for credit facilities. In India, money lenders are governed by the Money Lenders Act in different states. The Rajasthan Government controls the money lending process in accordance with the Money Lenders Act, 1957. Factors to issue a license Money lender license is usually granted by the Revenue Department within 3 to 4 months from the date of submission of the application form. Once the application is received, it is valid for one year. However, there are a few factors that have to be taken into consideration while issuing/renewal/endorsement of a license: Whether the person has the competency to run a money lending business. Whether the applicant’s premise is an apt place to run the business. Whether granting the permission would be against the public interest. Who is a Money Lender? ‘Money-lender’ means an individual or an undivided Hindu family, or a company (not being a banking company as defined in section 5 of the Banking Regulation Act, 1949), body or institution other than such of them as may, by notification in the Official Gazette, be exempted from the provisions of this Act by the State Government on being satisfied that it is necessary or expedient so to do in public interest, or] an un-incorporated body of individuals, who or which,- carries on the business of money-lending in the State; or supplies, as a trader or dealer, goods other than agricultural goods on credit on condition of payment of interest by the buyer at a rate higher than that prescribed in section 29 in case the payment of sale price is not made within the stipulated period; or] has his or its principal place of such business in the State; What are the requirements for starting money Lender Business in Rajasthan? For commencing the business of a money lender in Rajasthan, the following requirements have to be satisfied by the applicant: Fit and Proper Person No Disqualifications Proper Firm Name Premises Stakeholder or Public Interest Documents requirement for Money Lender License Application form. Identity proof. Ration Card Bank account details Address of the shop or business (proof of address) Fees paid details (Challan and details) Education details Residential Proof: Residential Certificate issued by Local administration office/ Aadhaar card / Passport / Driving License / Ration Card / Govt. Id card / Defence ID Card / PAN Card. Age proof (birth certificate / school certificate) Applicant passport size photograph. Aadhaar card Affix stamp as advised by authorities if required. Important Note: All original and copy of original with self attestation as advised by respective authorities to be submitted as per requirement. Apart from the above documents authorities may ask to submit additional information or documents. Please provide them for processing. Procedure to apply for Money Lending License tep 1: Visit the Tahsildar Office The applicant has to visit the nearest Tahasildar office Step 2: Receive the application The applicant has to pay a fee of Rs. 100 to receive the application form from the Tahasildar. Step 3: Enter the details The applicant has to enter the required details in the application form. Step 4: Submission of the form The form has to be submitted to the Tahasildar’s office. FAQs What is a money lender license? A money lender license is a legal authorization granted by regulatory authorities to individuals or entities that wish to engage in lending money as a business. Why do I need a money lender license? A money lender license is required to ensure that lending activities comply with regulatory standards, protect consumers, and maintain the integrity of the financial system. Who issues money lender licenses? The issuance of money lender licenses is typically done by financial regulatory bodies or licensing authorities at the state or national level. Practice area’s of B K Goyal & Co LLP Income Tax Return Filing | Income Tax Appeal | Income Tax Notice | GST Registration | GST Return Filing | FSSAI Registration | Company Registration | Company Audit | Company Annual Compliance | Income Tax Audit | Nidhi Company Registration| LLP Registration | Accounting in India | NGO Registration | NGO Audit | ESG | BRSR | Private Security Agency | Udyam Registration | Trademark Registration | Copyright Registration | Patent Registration | Import Export Code | Forensic Accounting and Fraud Detection | Section 8 Company | Foreign Company | 80G and 12A Certificate | FCRA Registration |DGGI Cases | Scrutiny Cases | Income Escapement Cases | Search & Seizure | CIT Appeal | ITAT Appeal | Auditors | Internal Audit | Financial Audit | Process Audit | IEC Code | CA Certification | Income Tax Penalty Notice u/s 271(1)(c) | Income Tax Notice u/s 142(1) | Income Tax Notice u/s 144 |Income Tax Notice u/s 148 | Income Tax Demand Notice | Psara License | FCRA Online Company Registration Services in major cities of India Company Registration in Jaipur | Company Registration in Delhi | Company Registration in Pune | Company Registration in Hyderabad | Company Registration in Bangalore | Company Registration in Chennai | Company Registration in Kolkata | Company Registration in Mumbai | Company Registration in India | Company Registration in Gurgaon | Company Registration in Noida | Company Registration in lucknow Complete CA Services CA in Delhi | CA in Gurgaon | CA in Noida | CA in Jaipur | CA Firm in India RERA Services RERA Rajasthan | RERA Haryana | RERA Delhi | UP RERA Most read resources tnreginet |rajssp | jharsewa | picme | pmkisan | webland | bonafide certificate | rent agreement format | tax audit applicability | 7/12 online maharasthra | kerala psc registration | antyodaya

Profit After Tax refers to the amount that remains after a company has paid off all of its operating and non-operating expenses, other liabilities and taxes. This profit is what is distributed by the entity to its shareholders as dividends or is kept as retained earnings in reserves. What Is an After-Tax Profit Margin? Profit After Tax is an important measure of the company, since it shows the actual amount that a company is making in that operating year. It shows the cost and the cash earnings of the company, which then determines the operational efficiency and performance. Often analysts pit companies’ profit after tax against other companies in the same market segment to compare the health of businesses. This figure is also used in other ratios and complex equations such as profit-after-tax margin, which gives a more objective and detailed look of the company. It is significant in showing the competency of a business in being able to turn its revenue into profits. Highlights of Profit After Tax It had many other names such as Net Operating Profit After Tax (NOPAT) or simply Net Profit After Tax. Profit After Tax is often an effective figure used to calculate ratios which measure the profitability and efficacy of the company Profit After Tax margin uses PAT to show how any change in the value will manipulate the stock prices when the company is publicly listed. If the company is listed, Profit After Tax is calculated on a per share basis too and it appears on the income statement of the company. If the PAT value is high, it shows high efficacy and vice versa. PAT is directly proportional to the dividends paid to equity shareholders; more profit after tax, better dividends are paid. When the profit after tax is negative, it is considered as a loss and therefore it is not taxable. It makes the company unsustainable during a loss period. What an After-Tax Profit Margin Indicates A high after-tax profit margin generally indicates that a company is being run efficiently, providing more value in the form of profits to shareholders. The after-tax profit margin alone is not an exact measure of a company’s performance or determinant of the effectiveness of its cost control measures. However, taken along with other performance measures, it can help create a useful picture of the overall health of a company.  This financial measure communicates how much income a company is earning per dollar of sales. Some industries inevitably have considerable costs. As a result, their margins may be low. However, that does not equate to poor control of costs. For this reason, it is important for investors to compare a company’s after-tax profit margin only with other companies in its industry rather than with companies in general. How to Calculate an After-Tax Profit Margin The formula for calculating a company’s after-tax profit margin is simply: After-tax profit margin=net incomenet sales /After-tax profit margin=net sales net income​​ Net income is the company’s total income minus taxes, expenses, and the costs of goods sold (COGS). It is often referred to as the bottom line because it is the final line item on an income statement. Expenses include wages, rent, advertising, insurance, etc. Costs of goods sold are the costs associated with the production of products. Such costs include, but are not limited to, raw materials, labor, and overhead.   Net sales, the other component for calculating after-tax profit margins, is the total amount of gross sales after subtracting returns, allowances, and discounts. Also factored in net sales are deductions for damaged, stolen, and missing products. The net sales figure can be a good indicator of what a company expects to attain in sales for future periods. It is an essential factor in forecasting, and it can also help identify inefficiencies in loss prevention. After-Tax Profit Margin vs. Pre-Tax Profit Margin The after-tax profit margin is the net profit margin, including taxes. The pre-tax profit margin is similar, except that it excludes taxes. The pre-tax profit margin is useful when comparing companies that have meaningfully different tax rates, such as those of different sizes and scale, or those operating in different countries and tax jurisdictions.  For example, corporations in Pennsylvania pay a top marginal income tax rate to their state of 8.99%, while those in neighboring West Virginia, pay a top marginal rate of 6.50%, according to the Tax Foundation. In addition to income taxes, companies may be subject to other state taxes, which can also vary from one state to another.Pre-tax profit margin can also be more useful in comparing the same company’s performance over time, especially if tax rates or penalties have varied during that period. The reasoning behind using the pre-tax profit margin is that tax payments have little to do with the efficiency of a company because they are not something that the company has much control over.  FAQs What Is a Good After-Tax Profit Margin? What constitutes a “good” after-tax profit margin or net profit margin can vary widely from industry to industry.  What Is Operating Profit Margin? Operating profit margin is another measure of a company’s performance. In contrast to net profit margin or after-tax profit margin, it is calculated by dividing a company’s operating income by its revenue. Operating income is revenue minus operating expenses, but doesn’t include any other, non-operating expenses, such as interest and taxes. What Is Gross Profit Margin? A company’s gross profit margin is calculated by dividing its gross profits by its revenue. Gross profit, in contrast to operating profit or net profit, is calculated by subtracting its cost of goods sold (COGS), but not any other operating or non-operating costs, from its revenue. Practice area’s of B K Goyal & Co LLP Income Tax Return Filing | Income Tax Appeal | Income Tax Notice | GST Registration | GST Return Filing | FSSAI Registration | Company Registration | Company Audit | Company Annual Compliance | Income Tax Audit | Nidhi Company Registration| LLP Registration | Accounting in India | NGO Registration | NGO Audit | ESG | BRSR | Private Security Agency | Udyam Registration | Trademark Registration | Copyright Registration | Patent Registration | Import Export Code | Forensic Accounting and Fraud Detection | Section 8 Company | Foreign Company | 80G and 12A Certificate

Overdraft (OD) is a credit facility in which the money can be withdrawn from the current or savings account, even if the account balance is zero or even below. Overdraft facility is a type of extension of the credit limit offered by the banks. The sanctioned limit is said to be ‘overdrawn’. An authorized Overdraft limit is assigned for each customer depending on their relationship with the Bank. The customer can withdraw money up to the assigned limit. Banks charge interest rates only on the utilized amount from the total sanctioned limit and are renewed every 12 months. What is an Overdraft Facility? An overdraft facility is a financial arrangement between a bank and a customer, that allows the customer to withdraw more money than is currently available in their account. Almost every bank or financial institution in India provides an overdraft facility to its customers. The bank decides the loan amount and interest rate criteria. Let’s learn what an overdraft facility entails and how Terkar Capital simplifies the application process. As the name suggests, the bank gives overdraft facilities to borrowers.  It is to withdraw money more than the balance available in their bank account to overcome working capital requirements. OD is a short-term loan that must be repaid as determined by the bank. It can be available even if the account balance is zero. Such a facility is available in both secured and unsecured ways. The borrower can be individuals, self-employed professionals, etc. OD Facility Example- To effectively manage your money, it is critical to understand the concept of an overdraft. So, let’s simplify using the example below: PQR Private Ltd, a company with a current account at XYZ Ltd Bank, has a credit balance of Rs 750 Lacs. The company needs to make a payment of Rs 820 Lacs to one of its vendors. After analyzing the expenses, the company realizes that it needs additional cash to make the payment. Hence, the company approaches its banker and applies for an overdraft of up to Rs 850 Lacs. The banker approves the application at a reasonable ROI. Thus, the company can now use the overdraft amount as and when required and will pay interest on the amount used above the credit balance. Overdraft (OD) Terms The terms of a loan may vary depending on the borrower’s profile, repayment capacity, relationship with the banker, financial history etc. Features of OD Facility The overdraft facility helps in the effective working capital management of the company. It solves the immediate cash crunch. Also, It gives flexible repayment options to the current account holders. The credit limit depends upon the relationship of the borrower with his banker and also his credit score. Generally, the credit period is 12 months. Thus, the borrower has to renew the facility according to their requirements. The interest is charged only on the extra amount used. Other than the credit balance of the bank account which varies as per the amount of the Overdraft. The repayment of the OD is not done through EMIs. However, the borrower can pay as and when he is available with cash but before the end of the credit period. Pros & Cons of an Overdraft Facility Advantages Disadvantages Helps in managing business cash flow Higher interest rate Fulfills urgent cash crunch requirements Offered only to bank account holders Interest is paid only on the utilized amount The sanctioned limit depends upon the applicant’s financials Can be withdrawn at short notice Short-term borrowing – revises every year No collateral required by banks Not suitable for long-term finance Types of Overdraft (OD) Banks offer different types of Overdraft accounts that have diverse eligibility criteria, some of those are mentioned below: 1. OD against Salary Salary accounts opened by the businesses for their employees are eligible for this facility. The minimum requirement to avail Overdraft facility in a salary account is to have a regular monthly salary credited by the company and the company should be on the approval list of the bank. Features: Banks offer Overdraft amount up to 3 times the current salary of the customer The facility is offered at minimal documentation and an easy-repay feature Customers are required to pay interest only on the utilized amount with the flexibility to repay the amount anytime without pre-closure charges The minimum salary limit varies from Rs. 15,000 to Rs. 1.25 lakh according to specific banks This type of Overdraft does not require any security or collateral Some banks even offer Overdraft amounts of up to Rs. 4 lakh, depending upon the salary   2. OD on Savings Account Despite being a relatively new concept in the country, Overdraft on saving accounts has become quite popular due to being backed by the government. All the savings accounts opened under Pradhan Mantri Jan Dhan Yojna are eligible for an Overdraft of Rs. 5,000 or 4 times the monthly accent balance (whichever is lower). The accounts must be satisfactorily operated for a period of 6 months to avail this facility and only one member of a family is eligible for it. The facility is granted to the earning member of the family, preferably women. The account must be linked with an Aadhar card. The account holder must have another savings account for compliance with the RBI directive as well. Minors and KCC (Kisan Credit Card) individuals are not eligible for the scheme. There is also a renewal fee associated with the facility. However, the interest rate cannot exceed 2% above the base rate. This facility does not attract any processing fee. Another good example of Overdraft on a saving account is Citibank Suvidha Savings Account. This is a form of instant cash credit that allows you to get instant mocashney up to 5 times of net monthly salary. The bank fixes the minimum EMI amount along with the interest rate. However, the customer can choose to increase the amount of EMI at his/her convenience at any time. This scheme does not include a prepayment fee. 3. OD against Time Deposits

In order to promote the transparency in awarding of petrol pump license and franchise by Oil Marketing Companies, a new dealer selection process has been formulated. Under the new process, the applicant is first checked against pre-established eligibility criteria. All applicants conforming to the eligibility criteria are selected for the next round, wherein lots are drawn or a bidding process is used to select the dealer. Hence, eligibility criteria now play an important role in the determination of the petrol pump dealer. Setting up a petrol pump in India involves a structured process, and obtaining a license is a crucial step in this venture. With the increasing demand for fuel across the country, the petrol pump business presents a lucrative opportunity. However, navigating the licensing procedures is vital for a smooth establishment. To initiate this process, individuals or entities must adhere to the guidelines laid out by the government. The licensing authority, typically the State Level Coordinator of Oil Industry & Petroleum Planning, governs the issuance of petrol pump licenses. The application process encompasses various stages, including eligibility checks, site feasibility assessments, and compliance with safety standards. Basic Requirements For Opening An Indian Petrol Pump To be eligible for a fuel pump license and open a petrol station in India, one must meet specific requirements outlined by Income Tax regulations.  The applicant must be an Indian citizen and a resident of India, having spent at least 182 days in the country during the preceding fiscal year to qualify for the citizen of India certificate.  Additionally, the candidate should fall within the age bracket of 21 to 55.  Note – Supporting documents such as a photocopy of the individual’s birth certificate, secondary school graduation certificate, 10th standard board credential, passport, age document, or an identification card issued by the election commission must be submitted as proof of the individual’s age. What is the minimum education requirement to open a petrol pump in India? All applicants making an application for a petrol pump dealership must have basic education. Rural petrol pump applicants who are SC/ST or OBC must have passed minimum 10th standard and all other applicants must have passed a minimum 10+2 level of examination. In case of an application under an open category, the applicant must have passed a minimum 10+2 level of examination for rural petrol pumps. For open category applicants other than rural areas, the applicant must have an educational qualification from any of the universities under an Act of the Central or State Legislature in India or any other educational institution under an Act of Parliament or to be as Deemed University. Hence, for open category applicants other than rural areas, it requires a Graduation in any field or Chartered Accountant or Company Secretary or Cost Accountant or Diploma in Engineering. What Are the Criteria for Opening a Petrol Pump? The person must be an Indian citizen. The applicant should be a resident of India, meaning they must have stayed in India for more than 182 days in the preceding financial year. The age of the applicant must be between 21 and 58 years. Individuals classified as freedom fighters are not eligible. A valid identification document is mandatory. How Much Money Required for a Petrol Pump License? To obtain a petrol pump license in India, candidates must demonstrate the financial capacity to invest a minimum of Rs. 25 lakhs for a standard petrol pump and Rs. 12 lakhs for a rural petrol pump. Institutional investors can use various methods such as bonds, shares of listed companies in demat form, national savings certificates, deposits with banks, registered companies, postal schemes, shares of mutual funds, and more to meet the investment requirement.  It’s important to note that assets with unproven provenance, such as IOUs and jewellery, will not be considered. Additionally, only 60% of the total value of shares, collective investment schemes, and notes will be considered in the assessment. Additionally, a Chartered Accountant must provide the necessary investment assessment certification for the petrol pump license application. How Much Land Required for Petrol Pump Dealership? Securing land is a crucial step in establishing and operating a petrol pump or gas station. The process involves several factors, and prospective business owners should have a thorough understanding of the complexities involved. When considering a petrol pump dealership, one of the key criteria is land acquisition. Here are the essential factors related to land acquisition: Proximity to the Highway: The land should ideally be located alongside a highway, ensuring easy accessibility for customers. Ownership or Rental Contract: Candidates must either own the land or have a valid rental contract for a suitable property near the proposed site. Formal Offer for Acquisition: Preferential consideration is given to candidates who have a formal offer for acquiring or entering a long-term rental agreement for a suitable piece of land. Documentation: Applicants must provide various documents demonstrating ownership of the property or their intent to acquire the specified piece of land. The size of the land should meet the specified requirements. Property Improvement: If selected for the petrol pump franchise, applicants must enhance the property to street level by appropriate earthwork procedures. This includes creating a concrete structure and a composite wall with a minimum height of 1.5 meters, considering soil conditions. Understanding and fulfilling these criteria are essential steps in the land acquisition process for establishing a petrol pump dealership. FAQs What is the total cost to open a petrol pump? The total cost to open a petrol pump in India can range from Rs. 15-20 lakhs for a new business, depending on the location and type of retail outlet. What is the license fee for petrol pump in India? The license fee for a petrol pump dealership in India ranges from Rs. 18/KL to Rs. 48/KL for motor spirit, depending on the category of the retail outlet. Can I sell petrol without a license? No, it is illegal to sell petrol without a license in India. A petrol pump business requires various licenses

Not open to the public, the interior of an online dark store may appear like those that are found in a conventional market set out with aisles of shelves that contain groceries and other items for sale. However, they are not located in shopping malls or High Streets but in gritty and grim areas where good road connections are present. The building themselves are frequently non-descript and utilitarian from the outside. Inside, the stores dispense with assistants who provide clients with product advice, point of sale displays and check-out counters. After the orders have been processed online, they are sent to the shop floor. These electronically generated orders are then routed and processed according to the store’s layout for optimal picking. Unlike a traditional store where a picker moves around the aisles with a shopping trolley, they stay in a single spot. A mechanized system or goods-to-person pick station sends lower selling products such as spices and cordials from storage along a conveyor belt to the picker. Goods that usually sell fast such as bananas and Coca Cola are placed on shelves in aisles in another portion of the dark store. More than one order can frequently be collected simultaneously. Fulfilled orders are then delivered to customers through the use of a fleet of vans that return throughout the day to be refilled. What is a Dark Store? A Dark Store is a micro-fulfillment center dedicated to rapid online order fulfillment. It is a kind of small, local store but without the customers. It has has aisles with shelves and racks for groceries. When a customer makes an order comes, dark store staff picks and packs the items immediately available in the stock. Then they ship the order directly to the customer’s address or to a convenient collection point specified by the customer. Benefits of the Dark Store Quick Shopping- Dark Stores offers the convenience of online shopping with the benefit of instant delivery of your products. It also helps maintain the safety and social distancing measures during the pandemic. This is why dark stores have created a space for quick and contact-free shopping. Dark Stores allow consumers to purchase from a brick-and-mortar without even entering it. Fast Delivery- The dark store is the best way to provide faster order fulfillments and deliver more efficiently by including a variety of distribution options. It helps bring the products closer to a specific part of the market. Better SKU Management- The main benefit of the Dark Store concept is that it can improve SKU management by focusing on capabilities such as storage and click-and-collect. It is good for a grocery store to have as many SKUs as there are customers. Range of Products- The dark store layout can be planned for more storage and better picking capabilities. Improved storage capacity means better product management, more room for an extensive range of products, and faster order fulfillment. Inventory Control- Dark Store also supports the concept of inventory control in the same geographic region. As these dark stores are kind of warehouses that are customer-free, better inventory control can be managed for larger order volumes. Relevance of Dark Stores After the Pandemic Converting a brick-mortar store into a dark store has been a great way to optimize the supply chain, and improve customer experience. Many retail companies have benefited from the Dark Stores during the pandemic situation. And it is likely that the concept of Dark Stores is not only here to stay but will continue to evolve in the coming years.The pandemic has not only accelerated the shift in consumer behavior but has already pushed a shift from brick-and-mortar stores to online shopping. The concept of Dark Store has changed the way grocery retail brands operate in the market space. Dark Stores will be the best way for improved storage and distribution of products for many brands. The Challenges of Dark Stores Potentially higher transportation costs. If not dropshipping from the closest location, these costs come from the need to provide home delivery from, and transport click-and-collect orders to, the dark store facility. Goods handling costs are sometimes higher as well — especially for retailers who deal in perishables. Taken together, these can offset some of the savings achieved through greater dark store efficiencies. Cannibalization of in-store sales. For many retailers, an online order gained is an in-store sale lost, yet the fixed costs of operating a traditional self-service outlet remain the same. This means that over time, the profitability of a retailer’s brick-and-mortar locations will decline. Increased competition and customer-base erosion. Once consumers become accustomed to buying certain items online, it is very easy for them to switch to an alternative source for their products. Selling points that previously allowed a retailer to hold onto its customer base and control the customer interaction — such as convenient store locations, familiar store layouts and superior customer service — are no longer relevant or play out very differently in the online world. Dark Store Order Fulfillment: How Does It Work? Dark stores improve order fulfillment in several ways, depending on their customers’ preferences and the type of goods or merchandise they provide. The three most common methods are: Ship to customer delivery, which became hugely popular at the start of the pandemic, when people were homebound and online shopping surged. Since then, consumers have become accustomed to the ease and convenience of having their orders delivered to their doorstep and now prefer this way of shopping for many items. Most dark stores provide home delivery; it has become virtually synonymous with the dark store concept. Curbside pickup is also utilized by many dark stores, especially dark supermarkets and others that sell perishable goods — this grew significantly during the pandemic. When this method of fulfillment is employed, the dark store usually provides dedicated parking spaces for customers and a store employee brings the order to the car, so that the person receiving the order doesn’t have to leave the vehicle. This approach is both convenient for consumers and makes it easy for the store to follow customers’ social distancing practices,

Contingency planning is a management tool that involves all parts of an organization. It can help ensure timely and effective humanitarian aid to those who need it most. Making a contingency plan involves making various decisions as an organization before an emergency happens. These decisions range from how to manage human and financial resources, how to best coordinate internally and with partners, and what communications procedures to put in place.  The contingency planning process can be broken down into three simple questions: What is going to happen? What are we going to do about it? What can we do ahead of time to get prepared? It is often used when there is a specific threat or hazard which is likely to impact an organization. But it is also important to consider less likely scenarios and develop contingency plans accordingly.Contingency planning must be a collaborative effort. And plans must be linked to the plans, systems and processes of governments,  What Is Contingency Planning? The term contingency planning refers to the process of preparing a plan to respond to any risks or unexpected events that might affect an organization. Contingency planning starts with a thorough risk assessment to identify any risks and then develop a contingency plan to resolve them or at least mitigate their negative impact. Contingency planning takes many shapes as it’s used for helping businesses and projects across industries. Even governments use contingency plans to prepare for disaster recovery or economic disruption, such as those caused by natural disasters. What Is a Contingency Plan? A contingency plan is an action plan that’s meant to help organizations mitigate the negative effects of risks. In simple terms, a contingency plan is an action plan that organizations should execute when things don’t go as expected. Benefits of Contingency Planning Saves time: Management is not stopping to develop a plan. All they need to do is assess the situation and implement the contingency plan. Saves money: Downtime for a business is costly. Contingency plans limit the costs of being forced on the sideline. Quick recovery time: Contingency plans redirect everyone so what they are doing is productive despite the adverse incident. Minimizes damages: A contingency plan can reduce the effects of a disastrous situation that would otherwise lead to massive damages to the business’s property and equipment. Avoid negative press: When things go wrong, the press can get wind of it, which can be negative publicity for the company. Contingency plans keep the business running with minimal impact on operations. How To Create a Contingency Plan in 7 Steps Step 1. Create a Policy Statement A policy statement is the outline of the authorization that exists to develop a contingency plan. This might be something as simply stating a possible scenario and noting that owners have put this plan in place. Step 2. Conduct a Business Impact Analysis This step digs into what would happen if no contingency plan existed. It prioritizes the systems that are imperative to the business functions. Step 3. Implement Preventative Controls This step is designed to mitigate any adverse scenario’s impact on the business. The goal is to reduce the costs associated with running the business on a contingency plan basis. Step 4. Develop Contingency Strategies These are recovery strategies that help the business ensure that it will recover quickly and efficiently after a disruption occurs. Contingency strategies may be specific to the type of disruption that happens. Step 5. Write Out the Contingency Plan This step takes the strategies and writes out an action plan that is designed to overcome the disruption. It is a detailed response that allows the business operation to continue to work. Step 6. Test and Train Employees Every contingency plan should be shared with employees well in advance of needing to enact the plan. Employees should be trained on what to do in specific scenarios and help keep the business operations running as smoothly as possible. Step 7. Maintain the Plan Keep the plan updated based on current systems and organizational changes. You don’t want to implement the plan and then run into a hiccup because a key employee is no longer with the firm or the system doesn’t allow you to do what you want to do. Business Contingency Plans A business contingency plan is an action plan that is used to respond to future events that might or might not affect a company in the future. In most cases, a contingency plan is devised to respond to a negative event that can tarnish a company’s reputation or even its business continuity. However, there are positive contingency plans, such as what to do if the organization receives an unexpected sum of money or other project resources. The contingency plan is a proactive strategy, different from a risk response plan, which is more of a reaction to a risk event. A business contingency plan is set up to account for those disruptive events, so you’re prepared if and when they arrive. While any organization is going to plan for its product or service to work successfully in the marketplace, that marketplace is anything but stable. That’s why every company needs a business contingency plan to be ready for both positive and negative risk management. FAQs What is the purpose of a contingency plan? A contingency plan exists to deal with unexpected adverse situations, often disasters that disrupt your ability to run your business. What is another term for contingency? Other terms for contingency planning include crisis management, emergency planning and risk management. What is a good contingency plan? Good contingency plans address the many possible disasters that may happen. It might address natural disaster scenarios or supply chain issues. A good contingency plan helps you address many different types of disruptions. Practice area’s of B K Goyal & Co LLP Income Tax Return Filing | Income Tax Appeal | Income Tax Notice | GST Registration | GST Return Filing | FSSAI Registration | Company Registration | Company Audit | Company Annual Compliance | Income Tax Audit | Nidhi Company Registration| LLP Registration | Accounting in India | NGO Registration

ntellectual property (IP) refers to creations of the mind, such as inventions; literary and artistic works; designs; and symbols, names and images used in commerce. IP is protected in law by, for example, patents, copyright and trademarks, which enable people to earn recognition or financial benefit from what they invent or create. By striking the right balance between the interests of innovators and the wider public interest, the IP system aims to foster an environment in which creativity and innovation can flourish. What Is Intellectual Property? Intellectual property is a broad categorical description for the set of intangible assets owned and legally protected by a company or individual from outside use or implementation without consent. An intangible asset is a non-physical asset that a company or person owns.The concept of intellectual property relates to the fact that certain products of human intellect should be afforded the same protective rights that apply to physical property, which are called tangible assets. Most developed economies have legal measures in place to protect both forms of property. Intellectual property is a category of assets that are intangible. This means that they cannot be held and don’t necessarily have a physical presence. These assets are created using human intellect. Intellectual property can take many forms and includes things like artwork, symbols, logos, brand names, and designs, among others.Companies are diligent when it comes to identifying and protecting intellectual property because it holds such high value in today’s increasingly knowledge-based economy. Also, producing value intellectual property requires heavy investments in brainpower and time of skilled labor. This translates into heavy investments by organizations and individuals that should not be accessed with no rights by others.Extracting value from intellectual property and preventing others from deriving value from it is an important responsibility of any company. Although it’s an intangible asset, intellectual property can be far more valuable than a company’s physical assets. It can represent a competitive advantage and, as a result, is fiercely guarded and protected by the companies that own the property. Special Considerations Many forms of intellectual property cannot be listed on the balance sheet as assets since there aren’t specific accounting principles to value each asset. However, the value of the property tends to be reflected in the price of the stock since market participants are aware of the existence of the intellectual property.Some intangible assets, such as patents, are recorded as property because they have an expiration date. These assets are recognized by a numerical value through the process of amortization. Amortization is an accounting method that decreases the value of an intangible asset over a set period of time. This process helps the company to reduce its income by expensing a set amount each year for tax purposes as the useful life of the intangible asset winds down. For example, a patent might only have 20 years before it’s registered as public domain. A company would assign a total value to the patent. Each year for 20 years, the patent would be expensed or amortized by the same amount by dividing the total value by 20 years. Each year the amortized asset amount would reduce the company’s net income or profit for tax purposes. However, intellectual property that is considered to have a perpetual life, such as a trademark, is not amortized since it doesn’t expire, Types of Intellectual Property Patents- A patent is a property right for an investor that’s typically granted by a government agency, such as the U.S. Patent and Trademark Office.2 The patent allows the inventor exclusive rights to the invention, which could be a design, process, improvement, or physical invention such as a machine.Technology and software companies often have patents for their designs. For example, the patent for the personal computer was filed in 1980 by Steve Jobs and three other colleagues at Apple (AAPL).3 Copyrights- Copyrights provide authors and creators of original material the exclusive right to use, copy, or duplicate their material. Authors of books have their works copyrighted as do musical artists. A copyright also states that the original creators can grant anyone authorization through a licensing agreement to use the work. Trademarks- A trademark is a symbol, phrase, or insignia that is recognizable and represents a product that legally separates it from other products. A trademark is exclusively assigned to a company, meaning the company owns the trademark so that no others may use or copy it. A trademark is often associated with a company’s brand. For example, the logo and brand name of Coca-Cola is owned by the Coca-Cola Company (KO). Franchises- A franchise is a license that a company, individual, or party–called the franchisee–purchases allowing them to use a company’s–the franchisor–name, trademark, proprietary knowledge, and processes.The franchisee is typically a small business owner or entrepreneur who operates the store or franchise. The license allows the franchisee to sell a product or provide a service under the company’s name. In return, the franchisor is paid a start-up fee and ongoing licensing fees by the franchisee. Examples of companies that use the franchise business model include United Parcel Service (UPS) and McDonald’s (MCD). Trade Secrets- A trade secret is a company’s process or practice that is not public information, which provides an economic benefit or advantage to the company or holder of the trade secret. Trade secrets must be actively protected by the company and are typically the result of a company’s research and development (R&D), which is why some employers require the signing of non-disclosure agreements (NDAs). Examples of trade secrets could be a design, pattern, recipe, formula, or proprietary process. Trade secrets are used to create a business model that differentiates the company’s offerings to its customers by providing a competitive advantage. Digital Assets- Digital assets are also increasingly recognized as IP. These would include proprietary software code or algorithms, and online digital content.   Types of Intellectual Property IP Protection Duration (in the U.S) Patents Inventions, industrial designs, computer code 20 years Trademarks Unique identifiers for a business or its products or services (e.g., logos, brand names) As long as the trademarked material remains active Copyrights Works of authorship, including books, poems, films, music, photographs, online content 70 years after the author dies6 Intellectual Property Infringement Patent infringement occurs when a legally protected patent

Trade license is an important document that allows you the right to operate your business in a particular municipal limit. The provision of a trade license is laid down by the State government to monitor and regulate various trade activities within a city. entrepreneur with dreams of starting your business empire in the vibrant state of Rajasthan? Well, get ready for an exciting journey to success! But before you take the plunge, you have to take one crucial step: get a trade license. Beneath Rajasthan’s majestic heritage lies a dynamic system that promotes fair trade, protects the public interest, and paves the way for thriving businesses. The trade license is the golden key that opens the door to this realm of possibilities. It not only validates your business operations but also assures your customers, partners, and stakeholders that you are a responsible player in the game.Trade License is known as “Shop and Establishment Registration” or “Trade License” in many states and “Gumasta License” in Maharashtra. What is a Trade License? The permission to operate a specific trade or business in a specific location is given by a trade license, which is a document or certificate presented to the applicant (a person who intends to start a business). It has ensured that all the safety regulations laid down by the state municipal corporation are followed while doing business or trading. It protects residents from health risks. However, the license only gives the holder the ability to carry out the company or activity for which it was issued. In addition, nothing in this authorization grants Licensee any type of property ownership. The rules and regulations governing this registration of a trade license vary from state to state; for example, the procedures for registering a business license in Rajasthan will be different from registering a business license in Tamil Nadu. Therefore, before applying for a business license, the applicant must familiarize himself with the relevant laws in the jurisdiction. An application for registration of a trade license in Rajasthan must be made within 30 days of incorporation. In most states, applications for new licenses and license renewals are accepted by the Commissioner of the Company. Why trade licenses are important in Rajasthan? Legitimacy and Compliance: A trade license is a legal document issued by the municipal corporation, which grants authorization for a specific commercial activity. By obtaining a trade license, businesses in Rajasthan demonstrate their compliance with the applicable laws, regulations, and standards set by the government. It ensures that businesses operate within the framework of the law and contribute to a fair and transparent business environment. Health and Safety Measures: Trade licenses require businesses to adhere to specific health and safety standards set by the government. This ensures that businesses in Rajasthan maintain a clean and safe environment for employees, customers, and the general public. It helps prevent the spread of diseases, fire hazards, and other potential risks, thereby safeguarding the well-being of individuals associated with the business. Municipal Revenue Generation: Trade licenses contribute to the revenue generation of the municipal corporation. The fees collected through the issuance and renewal of trade licenses are utilized by the local authorities to develop and maintain public infrastructure, facilities, and services. This revenue helps in enhancing the overall business environment and promoting economic growth in Rajasthan. Consumer Protection: Trade licenses play a crucial role in protecting consumers’ interests. Before granting a trade license, the municipal authorities conduct inspections to ensure that businesses meet the required quality standards, maintain fair pricing practices, and provide genuine products or services. This helps in minimizing fraud, malpractices, and the sale of substandard goods, thereby enhancing consumer confidence and trust. Urban Planning and Regulation: Trade licenses enable effective urban planning and regulation. By having a record of licensed businesses, the authorities can monitor and manage the distribution and concentration of various commercial activities across different areas in Rajasthan. This helps in maintaining a balanced and sustainable urban development, avoiding overcrowding, and preventing unauthorized businesses from operating. Access to Financial Assistance and Incentives: In some cases, having a trade license is a prerequisite to accessing financial assistance, loans, and incentives provided by the government or financial institutions. By obtaining a trade license, businesses in Rajasthan become eligible for various schemes, subsidies, and support programs aimed at fostering entrepreneurship, business growth, and development. Documents required to get a Trade License in Rajasthan License Application If the applicant is a legal entity, the relevant documents for company registration and the PAN card must be submitted Aadhaar Card Real estate tax documents The rental agreement or a copy of it should be offered Statements and Khata certificates in any form Occupancy Documents If the business is located in the neighborhood, a letter of objection from the neighbor is required Sanction Records. Procedure for Obtaining a Trade License in Rajasthan Access SmartRaj Website Step 1: Applicants have to visit the official site of Rajasthan to apply for the trade license through the portal. Step 2: After which, the applicant must click on the ‘Trade License Application/Pay’ option which will open up a new page. Login to portal Step 3: The applicant must log in with their username and password to operate the License applications received from the citizen. Step 4: If a new user then registers yourself with the portal by clicking on the ‘Register Here’ option. Apply Trade Application Step 5: Then you need to click on the ‘Apply Trade Application’ option on the web portal. Fill in the right credentials Step 6: Then, the applicant has to complete all the requested details such as New traded license details, Applicant’s address details, other owner details, Type of license, etc. and click on the ‘Save’ details. Upload Requested Documents Step 7: Then you have to upload the below following documents that are mentioned above. Pan card and Aadhar card Lease Deed or Legal Occupancy Certificate Address Proof ID Receipt of UD Tax Ownership Document. Step 8: After uploading all the requested documents (scanned documents), click on the save button. Generate Application Number Step 9: After