GST Suvidha Kendra Franchise: Services, Eligibility and Setup Guide

The GST portal and GST Network leverage modern information technology and web tools to scale and simplify the processes of tax implementation, collections, and compliance. This is essential in a vast country like India, with a billion-plus population and tremendous regional diversities. However, most small businesses, like retailers, traders, and MSME manufacturers, are not yet conversant with modern technologies. The Govt of India has introduced the GST Suvidha Kendra ecosystem to overcome such hurdles.

This article discusses the GST Suvidha Kendra (GSK) concept, eligibility to open such a centre, and how to set up one.  

What is GST Suvidha Kendra?

To understand GST Suvidha Kendra, we first need to understand the GST Suvidha Provider, or GSP. 

GSPs are government-approved and licensed intermediaries who have access to GST Network (GSTN)-managed GST API for building applications and enabling businesses to access the GST portal through such applications. These applications are expected to make GST registration, return filing, tax payment, and compliance convenient for small GST-registered businesses. Currently, there are 49 such GSTN-approved GSPs in India including Clear.

A GST Suvidha Kendra is a physical centre approved by a GSP as a one-stop gateway to every GST-related need of individuals or small businesses. These centres are operated in a franchise model. This means any individual or an existing business can run GSK under a specific GSP and provide services for a small fee.

Services offered by GST Suvidha Kendra 

A GST Suvidha Kendra is capable of assisting small businesses in their every GST-related needs, including:

• GST registration: assisting small businesses and individuals in their GST registration process.   
• GST return filing: helping registered businesses file their regular GST returns on time with accuracy. 
• Query resolution: GST troubleshooting and responding to various GST-related questions as per GSTN guidelines.   
• Paying taxes - transferring GST collected on outward supply invoices to government exchequers. 
• Invoice generation: Some GSPs allow GST-compliant invoices to be generated at their GST Suvidha Kendra centres. 

Eligibility to open a GST Suvidha Kendra

To open a GSK, an interested entity has to comply with GSP-specific conditions and a few minimum eligibility criteria. The minimal criteria to open a GST Suvidha Kendra are:

• Indian citizenship 
• Access to the Internet through a computer or phone

Once approved, GSK owners undergo hands-on training organised by respective GSPs. 

However, many GSPs require applicants to comply with several other conditions/eligibility requirements for opening a GSK. Such eligibilities can be: 

• Minimum education qualification - diploma or graduation, depending on choice of GSP
• Practical knowledge of accounting, spreadsheet (MS Excel) and computer usage
• Space requirement - 100 square feet of space for commercial use with proximity to business hubs 
• IT infrastructure - laptop, desktop, scanner, printer, and high-speed internet connectivity 
• Commercial license to operate a business from the premises  

GST Suvidha Kendra registration process

The registration steps for opening a GST Suvidha Kendra are: 

1. Select the GSP platform you want to register with for your GST Suvidha Kendra.
2. Ensure that you comply with the necessary GSP-specific eligibility conditions. 
3. Visit the website of the respective GSP or GST Suvidha Provider or contact them in person. Every GSP has its customer care centre, and the contact number is on the GSP's website. 
4. Understand the costs of opening a GSK, commission structure, terms and conditions, and application process.
5. If you are satisfied with the terms and conditions and other parameters (cost, space, infrastructure requirements, etc.), submit your application. 
6. GSPs may offer several levels (plans) of GSKs based on the size of the centre and upfront costs. Choose the plan that fits your business objective. Then, submit the required documents and necessary fees to the GSP. 
7. The GSP checks your documents and application and approves the application.
8. Once the GSP approves, you can start your GST Suvidha Kendra for your applied location. 

Benefits of GST Suvidha Kendra

Opening a GST Suvidha Kendra can offer several other benefits for an individual entrepreneur or an existing business, in addition to assisting fellow registered entrepreneurs and local businesses. 

• Low investment: Opening a GSK is a low-capital business opportunity. Someone interested in learning the ropes of doing a business or intending to earn entrepreneurial experience can choose this avenue without risking too much money. 
• Recurring revenue earning: A GSK owner can expect recurring income based on the location, experience, and personal business acumen. Opening GST Suvidha Kendra is ideal for anyone looking for a stable income stream.
• Profitability: Any service-oriented business with ₹20 lakhs in annual turnover (₹50 lakhs for or a manufacturer) needs GST registration, filing returns, and other related services. So, a GSK located close to a business hub can expect significant growth opportunities with low investment. 
• Additional Services: In addition to core GST services, many GSKs offer other business-related paid services, such as PAN card applications, DTH recharges, and other financial services. This further increases income potential and profitability. 
• Learning marketing and sales techniques: GSPs often provide high-quality marketing and promotional support to their GSKs for business expansion. This helps develop valuable business skills and enhance future potential. 

How to set up a GST Suvidha Kendra?

Once the registration as a GSK under a GST Suvidha Provider (GSP) is complete, setting up the centre may require additional steps. 

• Set up infrastructure like electric connectivity, computers, and internet connections. 
• Get your GSP's login credentials, such as username and password. 
• Undergo the online training modules on GST concepts, rules, and regulations at the GSP website and how to operate GSP applications and other software. Many GSPs also conduct physical classroom-based training sessions. 
• Promote your GST Suvidha Kendra locally to attract entrepreneurs and small businesses.  

If you are not technology-savvy, you may recruit a technical person and delegate the responsibilities of setting up the system and operating the centre to that person. However, GSPs make their systems very user-friendly so that anyone can operate the applications without minimal assistance. So, learning the technical part will not be a difficult task. The majority of GSK owners operate their centres themselves, which saves costs in the early days of their business. 

Requirements to get GST Suvidha Kendra franchise

The basic requirements to get a GST Suvidha Kendra franchise are: 

• Space to set up the GSK centre 
• Technical infrastructure, like office desks, laptops, electricity and an internet connection, etc 
• Compliance with minimum eligibility as per the GSP's terms and conditions 
• Availability of necessary documentation, like diploma or degree certificate, PAN card, AADHAR card, etc
• Payment of franchise fees