Tally ERP 9 is the powerhouse that enables MSMEs to perform their daily functions and will help them understand their business better and make efficient decision processes. Though the nature of the businesses is different, there are different types of companies that you can create on Tally. Further in this article, you can have the
Type of Companies You Can Create in Tally
There are different types of companies that you can create on this ERP:
It is the simplest form of the organizational setup in Tally. Individual owners are best suited for this type of organization, running their small businesses. It will help them to easily track income and expenses on their own.
Partnerships are a common business structure for businesses with multiple owners. Tally enables you to create a company for a partnership, where you can record the financial transactions of each partner and generate reports for profit-sharing and taxation purposes.
Limited Liability Partnership (LLP)
LLPs are a relatively newer form of business entity that offers limited liability to their partners. Tally allows you to create and manage LLPs, making it easier to maintain compliance with legal and financial regulations specific to this type of company.
Private Limited Company
Private Limited Companies are a widely used form of business entity known for their limited liability and flexibility. Tally provides the tools to create and manage private limited companies, including features for share capital, shareholding, and financial reporting.
Public Limited Company
Public Limited Companies are suitable for large businesses seeking to raise capital from the public by issuing shares. Tally supports the creation and management of public limited companies, enabling you to handle complex financial transactions and comply with regulatory requirements.
One Person Company (OPC)
In some jurisdictions, a single individual can form an OPC. Tally offers the functionality to set up and manage OPCs, making it easier for solo entrepreneurs to maintain their financial records and meet legal obligations.
Non-profit organizations, also known as NGOs or charitable organizations, have unique financial requirements. Tally caters to these needs by allowing you to create companies for non-profit organizations, helping them track donations, grants, and expenses efficiently.
Manufacturing companies have distinct accounting needs related to production, inventory, and supply chain management. Tally offers specialized features to handle the intricacies of manufacturing businesses, including Bill of Materials (BOM) and batch-wise inventory tracking.
Service-based businesses, such as consulting firms or IT companies, can create companies in Tally tailored to their needs. You can track service income, expenses, and client billing seamlessly.
Trading companies involved in buying and selling goods can utilize Tally to manage their stock, track sales, and generate reports for inventory management and tax compliance.
Holding companies often own and manage subsidiaries. Tally allows you to create holding companies and maintain consolidated financial reports to get a comprehensive view of the entire group’s financial performance.
Tally’s versatility in creating different types of companies makes it a powerful tool for businesses across various industries and structures. Whether you’re a sole proprietor, part of a partnership, or running a complex multinational corporation, Tally provides the flexibility and features needed to manage your financial records effectively. Understanding the various types of companies you can create in Tally allows you to tailor your accounting and financial management processes to meet your specific business needs, ensuring accuracy, compliance, and success in the ever-evolving world of finance.