Starting a jewellery business may appear simple, but it is an intricate process that requires detailed planning. If you search online for the various procedures that are to be followed for starting a jewellery shop, then virtually all of them will stress the initial amounts required to set up a jewellery shop. For many people start-up capital tends to be major show stopper. As a result, this sector remains largely unutilized. However, if you frequently keep tract of parameters like today gold rate in Vijayawada or any other city you would know that this business has a high success ratio and a great ROI.
You need to understand the administrative processes and procedures involved with starting a jewellery store in India. You may be aware of the fact that there are certain regulations and procedures involved with opening up a shop or business premises in any part of India. This is true even if you want to start an online jewellery store in India.
This article points out how you can start a jewellery business in India and make it profitable helping you realise your dreams of starting your own business.
But, before you learn all the essential pointers, it is important you know the different types of jewellery businesses in India:
- Online Jewellery Retail
- Gold Importers
- Retail Jewellery Shops
- Jewellery Manufacturers
- Gold Trading
Now let’s take a look at the mandatory preparatory steps you need to follow regardless of which kind of jewellery business you choose:
In any business venture, especially a jewellery business, it is always good to have a company structure to prevent the owner from unlimited and direct liability. Hence, most jewellery businesses tend to be set up as limited companies. A private limited company is a simple and straightforward vehicle for any such business with turnover over 1 crore
Businesses which deal in the sale of gems and jewellery are liable to pay GST (Goods & Services Tax) on their sales. Since the prices of gemstones vary as per their quality and type, the businesses, which buy and sell these precious stones, must ensure that they charge the customers only after adding GST tax on them. For this purpose, the business owners must take one more step towards becoming GST-compliant by registering for a GST account number from the local state tax department. This will not just help the owners in avoiding penalties from the government authorities but also enable them to collect taxes from their customers.
Handling i mport exports
It’s a must for companies to obtain Import Export Code (or IE Code) before importing goods into India. An import-export code is mandatory for any kind of import or export-related activity in India. However, when importing gold there are additional requisites. Hence, If you are planning on importing jewellery into India, just having some basic information about the process can save you from major legal hassles and fines.
So, before you get excited and start researching things like 916 gold rate today Bangalore or Mumbai or looking up other things related to your business, it is highly advisable that you sort out these prerequisites first. See more.