How To Open A Bank Account For Partnership Firm

In the today’s topic we at myonlineca discuss about How to Open a Bank Account for Partnership Firm. In our previous articles, we have told about what is a partnership, the procedure to open a partnership business. I hope you have a clear understanding of what the partnership firm is.For a quick recap let me tell you that Partnership is business venture where two or more person have agreed to Run and manage Business activities and share profit and bear loss equally among themselves.How To Open A Bank Account For Partnership Firm

Now In This Article, we will primarily talk about the procedure and requirement to open a bank account in any bank in India. The account that is commonly open for any business entity in India is the Current account which is the most liquid type of account, The current account does not have any limit on the number of transactions that can be done in one day and this account is generally opened to provide convenience to the business.

Advantage of Current Account in the Partnership Firm

  • Adequate for  Handling large volumes of receipts or payments regularly, a current account carries out all business transactions swiftly and perfectly.
  • It facilitates limitless withdrawals in line with the levied cash transaction fees if any.
  • No strictures are applied on the deposits made into the current accounts opened at the bank’s home branch. Additionally, account holders may also deposit cash at other branches upon paying small fees as applicable.
  • Cheques, pay-orders, or demand-drafts can be issued using a  current account to make direct payments to the creditors.
  • It enables banks to collect receipts on behalf of customers and credit the same to the customer’s current account.
  • The current account holder can enjoy overdraft (or short-term borrowing) facilities.
  • With the convenience of mobile-banking and internet-banking, current account provides for easy and quick business transactions.
  • From multi-location funds transfers to electronic funds transfers etc, it supplies enhanced user experience to account holders.
  • The presence of interest earnings on the account balance makes a current account more attractive for its users.

Documents required to open a Current account in the name of partnership Firm

As per the Reserve Bank Of India, Following documents are required to complete the KYC Formality of the PArtnership firm :

  • Copy of the Partnership Deed

  • PAN Card in the Name of the Partnership Firm

  • Aadhar Card Of all  the Partners

  • Address Proof of the Partnership Firm

  • Identity Proof of all Partners

  • Partnership Registration Certificate (if Registered Partnership)

  • Agriculture product market committee license or Mandi License

  • Labour License or Certificate

  • TradeMark Registration Certificate

  • Liquor License and Drug License

  • Registration Certificate issued by Excise & Customs Department.

  • License/ Certificate to Sell/ Stock/ Exhibit for Sale or Distribute Insecticide/Pesticide

  • Registration Certificate issued under Weight & Measurement Act

  • No objection certificate from Police Department, Regional Transport Office and  by State/Central Pollution Control Board

  • GST Registration Certificate

  • Certificate Issued by SEZ, STP, EHTP, DTA, and EPZ in the name of the entity mentioning the address allotted.

  • IEC Code Registration along with PAN Card.

  • Gram Panchayat Certificate.

  • Trade License in the name of the entity.

  • Small Scale Industries SSI Registration  Certificate

  • Startup Recognition Certificate

  • Factory Registration Certificate in the name of the entity.

  • SEBI Registration Certificate in the name of the entity.

  • The Shops and Establishment Certificate issued by the Municipal Corporations

  • Registration of firm with Employee Provident Fund Organization and Employee State Insurance Corporation.

  • Income Tax Returns Filed by the Partners

  • Copy of Electricity Bill

  • Copy of Telephone Bill

Conclusion

Procedure to Get a current bank Account is very simple to open current bank account, all you need to do is choose a bank where you wish to apply for the current bank account or you make online application on bank website and fill  application form either online or paper form  and submit all the documents and after verification your account will be activated and cheque and passbook will be issued to you.The current account can be open in any bank in India, all the banks in India are allowed to open a current bank account.