A Guide to Register a Company in India
A private limited company is a firm that is owned only by individual shareholders. In this situation, the shareholders' responsibility is restricted to the amount of shares they own under the limited partnership liability arrangement.
There is a need to be familiar with the various business registration kinds, such as sole proprietorship, limited liability company, and private limited company, since the startup ecosystem is expanding across the nation and more and more people are eager to establish their own firm.
When it comes to investing in long-term strategy, maintaining the secrecy of their share prices and financial information, independence, and operational flexibility, private enterprises outperform public ones.
Requirements to start a Private Limited Company
Before registering a company in India, it must meet a specific set of conditions. The following are the conditions for registering this:
Members and directors
As previously stated, a private limited corporation must demonstrate a minimum of two and a maximum of 200 members in order to become legally registered. The Companies Act of 2013 requires this as a legal necessity.
The following requirements for directors should be met:
A DIN, or director identification number, issued by the Ministry of Corporate Affairs should be carried by each director.
One of the directors must be an Indian resident, which means they must have spent at least 182 days there in the preceding calendar year.
Name of the company
The choice of the company's name is frequently a technical one. Three factors must be considered by a private limited corporation when choosing a name for itself:
Main name
Activity to be carried out
In the conclusion, mention of "Private Limited Company."
Registered office address
The permanent address of the business's registered office must be submitted to the company registrar following the completion of the registration process. The primary location for conducting business and the location where all documentation is kept is the company's registered office.
Obtaining other documents
Every business is required to acquire a digital signature certificate that is used to validate the legitimacy of documents submitted electronically. Additionally, credentials from these specialists are required in a business that hires professionals (such as secretaries, chartered accountants, cost accountants, etc.) for a variety of operations.
Necessary documents to register a company in India
The following papers are necessary for a private limited company:
PAN cards and passports of Indian and foreign directors, respectively, serve as ID proof
NOC from the property owner
Address proofs: Ration card or Aadhar card or driver’s licence or voter ID
Bank statements or the property's utility bill as residence credentials
A photocopy of the property ownership or sale deed (for an owned property)
Notarized rental agreement
How to register a company in India
Once you've decided on a name for the business, take the following actions:
Apply for DSC (Digital Signature Certificate)
Apply for the DIN (Director Identification Number)
Apply for the name availability
To register a company in India, submit the EMoa and EAOA
Request the company's PAN and TAN
The RoC will issue certificates of incorporation with PAN and TAN
Open a current bank account in the business's name
You will be prepared to launch your own private limited corporation with this. Making the best decision after consulting the appropriate parties will ensure smooth progress.
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