Private Limited Company Registration in India!
Posted: Jul 07, 2020
Benefits of Company Registration in India
Over the past few years India has gained momentum in the businesses sector with various forms of companies. After the company is formed, it is necessary to get the business registration. It offers the company a genuine and authentic name as well as prestige. Some advantages of private ltd. company registration in India are:
- It provides limited liability; consequently the personal assets are not affected in case of loss or any form of risk.
- It provides authenticity to the business, which attracts more clients.
- It creates trust and goodwill of the company.
- The registration provides protection for the company assets.
- It increases funding chances, hence more capital generation.
- It offers stability to business.
- It contributes to growth and further expansion.
- The company has continued existence unlike in OPC. It will only cease to exist in situation of non-compliance or failure to comply with rules and regulations.
- The registration of the organiges creates separate identity.
- In the PLC the owners are represented in form of shares, hence the ownership is transferrable to another legal entity or a person residing in India or abroad.
Requirements for company registration:
There are certain criteria that the organization has to fulfil for private ltd. company registration online for filing under MCA. The Company Act, 2003, states the following requirements for strict implementation:
- The private limited company comprises minimum 2 directors and maximum there can be 15. Among all the directors, it is mandatory for at least one be Indian.
- The name of the company should be unique. It should not hold similarity to any existing company name or trademark in India.
- There is no minimum capital amount necessity to constitute a business.
- The registered office for the carrying out the business operation is not required to be a commercial place. It can be a rented house, but the company owner has to obtain NoC from the house owners.
With multiple advantages of the registration of the company, it is must for boosting the start up and small businesses in the country. The registration can be done online as well as by doing it personally. The registered companies enjoy numerous benefits in comparison to an unregistered company. The ministry of corporate affairs has laid down the following steps for the private limited company registration:
- Step 1: The directors, shareholders and other members of the company have to apply for a DSC (Digital Signature Certificate).
- Step 2: The directors of the company have to obtain a DIN (Director Identification Number)
- Step 3: Choose a unique and creative name for the company. Apply for that name availability by filling an application form.
- Step 4: File the MoA and EAOA for the registration of PLC.
- Step 5: Make application for the PAN and TAN of the company
- Step 6: Create a new user account on the company on the online web portal of MCA and fill the given forms along with the documents.
- Step 7: Finally, certificate of incorporation is issued by RoC, along with PAN and TAN
- Step 7: The company has to also open a current bank account on its name.
Documents for Registration
Provided below are the essential documents for filing private limited company :
- Attach PAN Card of shareholders and Directors. The foreign nationals need to provide their valid passport.
- They need to provide Latest Electricity Bill/ Telephone Bill/Water/Gas Bill as the proof of registered office address
- Identity Proof in the form of Aadhar card/Voter ID/Passport/Driving License of all the Shareholders and Directors.
- In case of a rented house or flat, No Objection Certificate has to be obtained by the owner(s) of registered office space.
- Recent Telephone Bill/Electricity Bill/Bank Statement /Gas/Water Bill of Shareholders and Directors fpr address proof.
- If Property is rented, then rent agreement is necessary. Agreement should be notarized.
- Attach a Latest Passport size Color photograph of all Shareholders and Directors.
- For NRI, All the documents must be apostilled(if applicable) and notarized.
Kavita is working as a consultant at a legal services in India. She is also an experienced and passionate writer who has been written many Blog and websites' content about Company registration and Trademark registration in India.