Now you may have query why one must form Private Limited then the answer is :- your business turnover, equity infusion, risk free money, broad based arena and an increased enthusiasm to work harder etc. Now we can understand it in detail: BUSINESS TURNOVER : Proprietorship turnover counts none for the business turnover for alluring fund. it is shortest way to understand. Business turnover gets manifold upto 20 times to valuate a business value. EQUITY INFUSION : If your business has much value, you will get investors. They will provide you cheap money to grow and expand. RISK FREE MONEY:- Investor money is called risk free money as it is not-debt. It is infused by investors on hope of big profit by trusting your business model and ideas. BROAD BASED ARENA:- By incorporating a company, your vision gets broad. You find wings to grow.