Any registration document will be enough for opening sole proprietorship bank account

RBI/2010 -11/187
DBOD. AML.BC. No. 38 /14.01.001/2010 -11

August 31, 2010

The Chairmen and Chief Executive Officers

All Scheduled Commercial Banks excluding  RRBs/
All India Financial institutions/ Local Area Banks

Dear Sir,

Know Your Customer (KYC) guidelines – accounts of proprietary concerns

Please refer to our circular DBOD.AML.BC.No. 80/14.01.001/2009-10 dated March 26, 2010 advising banks to lay down criteria in their  customer identification procedure for opening accounts of proprietary concerns.

2.  In this connection, it is clarified that in addition to the documents listed in paragraph 2(i) of our circular referred to above for opening a bank account in the name of a proprietary concern, banks may also accept any registration/licensing document issued in the name of the proprietary concern by the Central Government or State Government Authority/Department.  Banks may also accept IEC (Importer Exporter Code) issued to the proprietary concern by the office of DGFT as an identity document for opening of bank account.

Yours faithfully,

(Vinay Baijal)
Chief General Manager


  • Shilpa Matade

    Dear Sir,

    I would like to know which company should be registered as a private limited company and which services can be under sole proprietorship? I am very confused. I will be starting a business soon. How do we decide?

    Thanks & Regards,
    Shilpa Matade

    • Anonymous

      All business can be done as sole proprietorship firm or private limited.
      Both are only different form of business organization.So you can do any
      business as pvt ltd or sole prop. Further both have their own advantage
      and disadvantages. So it’s depend on your long term vision not nature of
      service to select the right business form.


  • Sanat Tanna

    Dear Sir,

    I am Operating my bussines from home.I am a professional photographer and I have all my shoots on location at clients establishment or i hire a studio on daily basis for specific shoots.I am not eligible for VAT/SERVICES TAX / SALES TAX / My income is less than 8 lac p/a.
    I dont have a shop or establishment as i get my work through my online website.
    What document shall suffices in this case for customer identification procedure for opening accounts of proprietary concerns.

    I am filing my returns on my personal name and i have my PAN on my personal name.

    Sanat Tanna

  • Raj Shekhar

    We are starting a sole proprietorship firm (ecommerce venture), and my wife is the sole proprietor. When we went for opening account, the bank refuses to open account without registration. Since registration is not required for the sole proprietorship firm, how can I open bank account in name of the firm? Please advise.

  • dear sir,
    just i want to open bank a/c of my propritorship firm, so what document required and how to get it or register.

  • Bharat

    sir, i want to open a sole proprietorship company basically giving service to large companies. while asking for Current account, bank ask for ST registration or registration of company, please tell me what i should do. in any case also please tell me the list of documents required for that. i am living in a rented accommodation and want to make that my company address.

    • Mukeshraj

      There is no compulsion to get the service tax registration to open a current account. Basically bank need any two registration documents in the name of firm whichever is applicable in specific case. So if service tax is applicable in your case then apply for service tax registration else obtain some other registration.