Starting an HR Consultancy: What Are the Legal Steps and Requirements I Need to Know?

I am planning to start an HR consultancy of my own. Can someone help me by suggesting:

Legal Requirements

1. What are the legal requirements?

Forms and Formats

2. What are the forms and formats related to candidates and for the company?

Procedure to Proceed

3. What is the procedure to proceed?

Terms and Conditions

4. What are the terms and conditions for candidates as well as for the company?

Approaching the Company

5. How should I approach the company?

At present, based on proprietorship, I have prepared:
- Consultancy name
- Logo
- Stamp
- Letterhead
- Visiting cards

Please help me with this issue.

Regards,
Rishi

Operating as a Proprietorship Firm

As you are running your proprietorship firm under any name and logo, it's okay for now. However, later on, you will need to enroll in the Companies Act to operate as a Pvt. Ltd Company. At that point, two or more directors can be appointed in your company with your consent.

Service Tax Registration

After billing a total of 10 lakhs in a year from your firm, you must register for service tax. This is mandatory, and many large companies require their vendors (Placement Consultants/Companies) to be registered for service tax and operate as a company.

Logo Copyrighting

Additionally, you can consider copyrighting the logo of your company to prevent others from copying it. A logo represents a company's image in the market, helping people and companies recognize your brand. Therefore, it is an essential aspect of your business.

Company Website and Email

Since you have been running this business for some time, your company's website and separate email IDs should already be in place.

Enhancing Collaborations

To enhance collaborations, establish your organization's quality policy, mission, vision, and process flow chart to demonstrate to others that your organization operates in a highly professional manner.

Regards,
Manish Srivastava
HR & ISO Consultant (QMS/EMS & FSMS)

[QUOTE=isocertification&hrsolutions;2165961] Dear Member, As you are running your proprietorship firm by any name and logo, it's okay for now. However, later on, you have to get enrolled in the Companies Act to work as a Pvt. Ltd Company. Then, 2 or more directors can be appointed in your company with your consent.

After a total billing of 10 lakhs in a year of your firm, you have to go for service tax registration, as it's mandatory. Various big companies want their vendors (Placement Consultants/Companies) to work as a company and have service tax registration.

Apart from this, you can also go for logo copyright of your company so that no one else can copy it. As a "LOGO" itself presents the company's image in the market, people, and companies recognize your logo. Hence, it is also an important part of it.

Since you have been running this business for a little while, hence your company's website, separate email IDs will be there, I guess.

For better tie-ups, make your organization quality policy, mission, vision, process flow chart to ensure anyone that the organization is running in a very professional manner.

Best Wishes.

Manish Srivastava

HR & ISO Consultant (QMS/EMS & FSMS)

Dear Manish ji, Thanks for your valuable suggestions. Well, this is the first step which I took. Actually, I am in the process of making a profile, aim, mission, as well as the most important formats for candidates and for the company. I am still looking for support in these issues. If you can, then please help me regarding this.

Best Regards,

Rishi

Thank you for your valuable suggestion. However, at present, I am not at a stage to proceed with it. I will keep your words in mind for the future. Currently, I am in the process of creating a profile for my consultancy company. If you can provide support in this regard, please help me.

Regards,
Rishi

It's good to see a new entrepreneur. All the best. With your permission, may I ask you the following:

1. Why do you want to start an HR consultancy firm?
2. Where is the office located?
3. There are many players in the industry; what difference can you make?
4. Why should any client come to you?
5. What's the special thing that you can offer to your clients that other big players can't?
6. What kind of market survey have you done?
7. What makes you feel confident that yours can be a success story?
8. What are all the services you plan to include?
9. What is your marketing plan/business plan?
10. What's your background?
11. What are your short-term and long-term goals?

Please don't feel that I am discouraging you. I want you to be successful, and that's the only reason I am trying to know if you have perfect answers for the above. There are many HR firms that start and close within no time.

Preparing the formats is no big deal. You can prepare them by yourself or search on cite HR; seniors can provide guidance.

Please don't start without a proper business plan. Discuss all your business plans with seniors and let them provide feedback. Learn from it.

If you advertise for recruiters, many people will come knocking at your door, but if you seek clients, no one will come to your rescue.

Please ignore if I sound boring. All the best.

Regards,
Alex