Account Opening Process – Corporate,Partnership Firm, & HUF

Traders, If you are planning to open an account as a Partnership Firm, Company, or HUF with us, the following post explains the process and documentation required. Note:

1. (T) : Document required to open a Trading Account.
2. (T+D): Documents required to open a Trading & Demat Account.
3. (C): Documents required to open a Commodity Account.

PARTNERSHIP FIRM

• 1. Duly filled copies of Trading & Demat /Commodity form with photograph of Authorized Signatory affixed and signed across.
  2. Copy of the Partnership Deed duly attested by a notary public (investment clause must be mentioned). The first 3 pages of the partnership deed (on all pages if lesser) should have the seal and signature of the Authorized Signatory.
  3. PAN CARD COPY:
     1. PAN Card copy of the Firm.
     2. PAN Card of all Partners (Attested by Each Individual Partner).
  4. ADDRESS PROOF COPY:
     1. Address Proof copy of the Firm.
     2. Address Proof copy of all the partners (Attested by Each Individual Partner).
  5. INCOME PROOF COPY:
     1. Proof of Bank Account (Specimen copy of cancelled check leaf/Bank Statement/Bank Passbook/Letter from Bank).
     2. Copy of Balance Sheet of the Partnership Firm for the last 2 Financial Years* (to be submitted every year) if the firms is newly incorporated then, net worth certificate from CA. (The balance sheet should have the seal and signature of the Authorized Signatory on all the pages)
     3. Declaration for IT returns if it’s a new firm.
  6. Aadhaar of the Authorized Person as per the Letter of Authority in the letterhead of the firm. [Not mandatory]
  7. A physical verification, as part of the mandatory IPV requirement for all brokers, is required for non-individual accounts. Either a representative of the client would require to visit a Zerodha branch office OR a representative of Zerodha would be required to visit the offices/residence of the client to complete the IPV procedure.
  8. Duly filled annexures (with the authorized partner’s signature and the firm’s seal affixed on the authorized partner’s signature).
  9. FATCA Declaration.
  10. Copy of Certificate of Registration (For Registered Partnership Firms only).
  11. Individual KYC form filled and signed by each partner (Partners have to sign without the stamp on individual KYC’s and supporting docs). If any of the partners is a foreign national or an NRI, then the KYC forms have to be notarized by Authorised officials of overseas branches of scheduled commercial banks registered in India, public notaries, court magistrate, judge, or the Indian embassy/consulate general in the country that they reside.
  12. If an individual is having more than 15% of profits of the applicant firm, the individual should identify as an ultimate beneficiary and is required to submit Annexure A.

  NOTE: Demat account will be opened in the names of Partners (any one of the partner’s name).

LIMITED LIABILITY PARTNERSHIP

1. Duly filled copies of Trading & Demat /Commodity form with the photograph of Authorized Signatory affixed and signed across.
2. Copy of the LLP Agreement duly attested by a notary public(investment clause must be mentioned). The first 3 pages of the LLP agreement (on all pages if lesser) should have the seal and signature of the Authorized Signatory.
   
3. PAN CARD COPY:
   1. PAN Card copy of the Firm.
   2. PAN Card of all Partners (Attested by Each Individual Partner).
4. ADDRESS PROOF COPY:
   1. Address Proof copy of the Firm.
   2. Address Proof copy of all the partners (Attested by Each Individual Partner).
5. INCOME PROOF COPY:
   1. Proof of Bank Account (Specimen copy of cancelled check leaf/Bank Statement/Bank Passbook/Letter from Bank).
   2. Copy of Balance Sheet of the Firm for the last 2 Financial Years* (to be submitted every year) if the firms is newly incorporated then, net worth certificate from CA. (The balance sheet should have the seal and signature of the Authorized Signatory on all the pages)
6. Aadhaar of the Authorized Person as per the Letter of Authority in the letterhead of the firm. [not mandatory]
7. A physical verification, as part of the mandatory IPV requirement for all brokers, is required for non-individual accounts. Either a representative of the client would require to visit a Zerodha branch office OR a representative of Zerodha would be required to visit the offices/residence of the client to complete the IPV procedure.
8. Duly filled annexures (with the authorized partner’s signature and the firm’s seal affixed on the authorized partner’s signature).
9. Board Resolution.
10. Copy of Certificate of Registration (For Registered LLP Firms only) (Investment clause must be mentioned).
11. FATCA Declaration.
12. Individual KYC form filled and signed by each partner (Partners have to sign without the stamp on individual KYC’s and supporting docs). If any of the partners is a foreign national or an NRI, then the KYC forms have to be notarized by Authorized officials of overseas branches of scheduled commercial banks registered in India, public notaries, court magistrate, judge, or the Indian embassy/consulate general in the country that they reside.
13. If an individual is a shareholder of the applicant, having more than 15% of profits sharing of the applicant, the individual should identify as an ultimate beneficiary and is required to submit Annexure A.
14. If an entity is a shareholder of the applicant, having more than 25% of shareholding or capital or profits of the applicant, the entity should identify as an ultimate beneficiary and is required to submit Annexure A along with -(a) self-attested copies of the KYC documents of the Whole Time Director/ Individual Promoters of such an entity holding 25% or more; AND(b) shareholding pattern (with the company letterhead) of the entity holding 25% or more.

Account opening cheque favouring “Zerodha” for

1. Rs. 500 – For a Trading + Demat account
2. Rs. 800 – For a Trading + Demat account and Commodity account
3. AMC for Demat Account is Rs. 300 which will be collected at the end of the year

Important

1. Partnership Deed should allow the Firm to trade in Secondary Markets.
2. Authority Letter in favour of Managing Partners should be on Letterhead of the Firm.
3. All the documents need to be signed by the Managing Partner
4. Seal of the Partnership Firm to be put where signatures are made.
5. *In case of a new Partnership Firm, provide Balance Sheet after the close of immediate Financial Year.
6. ** The Bank proof should contain the Bank name, Branch address, IFSC/MICR code, Name of the account holder, Account number.

H.U.F ACCOUNT

• 1. Duly filled Trading & Demat / Commodity form with photograph of Karta affixed and signed across.
  2. PAN CARD COPY:
     1. Pan Card Copy of HUF.
     2. Pan Card Copy of Karta.
     3. Pan Card Copy of Co-Parcener
  3. ADDRESS PROOF COPY:
     1. Address proof Copy of HUF.
     2. Address Proof Copy of Karta.
  4. INCOME PROOF COPY:
     1. Bank Passbook/Statement of HUF Indicating its existence.
  5. Aadhaar of the Karta.
  6. Duly filled HUF Declarations.

  NOTE: Karta seal/stamp is mandatory on all the signature fields and on all the proofs provided. The Power of Attorney(PoA) has to be signed by all the members of the HUF. (Minor co-parcener/members signatures are not required). In case there are more than 3 co-parcener/members, the space between the signature boxes in the POA can be used. The same Co-parceners/members who have signed in the PoA must also sign in the HUF Annexures (point 6).

Account opening cheque favouring “Zerodha” for

1. Rs. 500 – For a Trading + Demat account
2. Rs. 800 – For a Trading + Demat account and Commodity account
3. AMC for Demat Account is Rs. 300 which will be collected at the end of the year

Important

1. Karta should sign the Account Opening Form and other documents under the stamp of HUF.
2. All KYC documents to be attested by the Karta.

COMPANY/CORPORATE

1. Any Limited Company falls under this category. AMC on the Demat account for a corporate account is Rs.1000/-
2. Duly filled Trading & Demat / Commodity form with photograph of Managing Partner affixed and signed across.
3. PAN CARD COPY:
   1. Pan Card Copy of the Company.
   2. Pan Card Copy of all the Authorised Signatories or Whole-time Directors.
4. ADDRESS PROOF COPY:
   1. Address Proof Copy of the Company.
   2. Address proof of Authorised Signatories or Whole-time Directors.
5. INCOME PROOF COPY:
   1. Proof of Bank Account (Specimen copy of cancelled check leaf/Bank Statement/Bank Passbook/Letter from Bank).
   2. Copy of Balance Sheet of the Corporate Firm for the last 2 Financial Years* (to be submitted every year) if newly incorporated then net worth certificate from CA. If it’s a new company, an ITR declaration is needed. (The balance sheet should have the seal and signature of the Authorized Signatory on all the pages)
6. Aadhaar of the Authorized Person as per the Board Resolution. This person may be a Manager/Director or any person as authorized by the Company in the Board Resolution.
7. Certificate of Incorporation
8. Copies of MoA and AoA. The first 4 pages of the MOA & AOA should have the seal and signature of the Authorized Signatory of the company.
9. Form 32 (In case the names of present Directors do not appear on the MOA/AOA)
10. Duly filled annexures. (With the authorized director’s signature and the company’s seal affixed on the authorized director’s signature).
11. Board resolution.
12. Photographs of Individual Promoters holding control – either directly or indirectly.
13. A physical verification, as part of the mandatory IPV requirement for all brokers, is required for non-individual accounts. Either a representative of the client would require to visit a Zerodha branch office OR a representative of Zerodha would be required to visit the offices/residence of the client to complete the IPV procedure.
14. FATCA declaration.
15. Individual KYC form filled and signed by each director (Directors have to sign without the stamp on individual KYC’s and supporting docs)
16. If an individual is a shareholder of the applicant, having more than 25% of shareholding or capital or profits of the applicant, the individual should identify as an ultimate beneficiary and is required to submit Annexure A.
17. If an entity is a shareholder of the applicant, having more than 25% of shareholding or capital or profits of the applicant, the entity should identify as an ultimate beneficiary and is required to submit Annexure A along with -(a) self-attested copies of the KYC documents of the Whole Time Director/ Individual Promoters of such an entity holding 25% or more; AND(b) shareholding pattern (with the company letterhead) of the entity holding 25% or more.

Account opening cheque favouring “Zerodha” for

1. Rs. 500 – For a Trading + Demat account
2. Rs. 800 – For a Trading + Demat account and Commodity account
3. AMC for Demat account is Rs. 1000 which will be collected at the end of the year.

Important

1. All the documents have to be signed by the Authorized Signatory(ies).

Do post if you have any queries.

Happy Trading,