How Can Small Proprietors Handle EPF Requirements for Government Contracts?

I have started a proprietorship firm for civil contracting. I have an engineer's license for MES and PWD, and I want to undertake military and other government civil contracts under my firm. The government asks for EPF number for taking on contracts, but my firm is a small sole proprietorship with only 2-3 employees. What should I do to resolve this issue? Why does the new government of BJP not support new upcoming contractors in starting their businesses?

Thanks

If at all you go for any government projects or work with large organizations, ESI and EPF are mandatory.

It's not only about the government; all the major companies ask for EPF. Provident fund registration can be done with less than 20 employees too, but once you get the registration, you cannot deregister until your establishment is completely wound up.

Kindly refer to your query and its contents carefully. You mention that you are in civil contracting and registered with... You have only 2-3 employees. How is it possible to undertake civil contracting work with 2-3 persons? It indicates that the nature and amount of work may be very small. Alternatively, you may be undertaking contracts and executing the work through temporary workmen/subcontractors.

You need to consider the strength of such workmen when calculating the total number of employees.

Furthermore, if you do not have the required strength for EPF/ESIC registration, there is an option to pay the contributions of these employees (including temporary/petty contractors) under the Principal Employer's code. Currently, corporates, government, and government undertakings enroll contractors/vendors who have all the necessary registrations.

Obtaining registration under EPF/ESI/PTax is not a challenging task. It is simple and also in your interest. Consult local consultants; they will provide you with proper guidance.

Regards, Pramod Thakar