private limited company registration | Pvt ltd company registration in India
What is a Company
A company is a legal entity made up of an association of persons, be they natural, legal, or a mixture of both, for carrying on a commercial or industrial enterprise. Company members share a common purpose and unite in order to focus their various talents and organize their collectively available skills to achieve specific, declared goals.
Type of Company
A company limited by guarantee
Commonly used where companies are formed for non-commercial purposes, such as clubs or charities.
A company limited by shares
The most common form of company used for business ventures. Specifically, a limited company is a “company in which the liability of each shareholder is limited to the amount individually invested” with corporations being “the most common example of a limited company.”
A company limited by guarantee with a share capital
A hybrid entity, usually used where the company is formed for non-commercial purposes, but the activities of the company are partly funded by investors who expect a return.
An unlimited company with or without a share capital.
A hybrid entity, a company where the liability of members or shareholders for the debts (if any) of the company are not limited. In this case doctrine of veil of incorporation does not apply.
Digital Signature & DIN of 2 Directors
Article of Association and memorandum of association
PAN & TAN for your company
Compliance with applicable laws
Documents of Directors for DIN
- Self attested copy of PAN Card or Passport/Voter ID/ Driving License
- Self attested copy of Latest Bank Statement/Telephone or Mobile Bill/Electricity or Gas Bill
- Scanned passport-sized photograph
- Specimen signature
For The Registered Office
- Notarised Rental Agreement in English (in case of rented property)
- No-objection Certificate from property owner (in case of rented property)
- Sale Deed/Property Deed in English (in case of owned property)
- Latest Bank Statement/Telephone or Mobile Bill/Electricity or Gas Bill
A limited company is a completely separate entity from its owners. Everything from the company bank account, to ownership of assets and involvement in tenders and contracts is purely company business and separate from the interests of the company’s shareholders.
As the name suggests, if you run a limited company, you are protected in case things go wrong. Assuming no fraud has taken place, you will not be personally liable for any financial losses made by your limited company.
Those running a business as self employed do not enjoy such protection from financial claims if things go wrong with their business.
A limited company can issue various classes of shares. This means you can easily sell stakes in the company, or transfer ownership of shares.
Private limited companies easily accommodate equity funding as there is a clear distinction between shareholders and directors as well as limited liability.
Frequently Asked Question:
1. What is the validity period of Name approval ?
The approved name is valid for a period of 60 days from the date of filing of Form INC-1. If ,the proposed company is not incorporated within such period, the name shall be lapsed and will be available for other applicants. Please note that there shall not be any provision for renewal of the name.
3. What is the Minimum paid up capital at the time of Registration?
The minimum paid up capital at the time of incorporation of a private limited company has to be Indian Rupees 1,00,000. There is no upper limit on having the authorized capital and the paid up capital. It can be increased any time, by payment of additional stamp duty and registration fee.
5. Is E-mail ID mandatory for a company?
The email ID is required for the purpose of communication with the company/ applicant. It has been made as a mandatory field for various eforms:
7. How much time is needed for setting up a private limited company in India?
it will take 15-20 working days to complete incorporation process.
9. What is a DSC?
The DSC is an instrument issued by certifying authorities by which you can sign electronic documents. DSC means Digital Signature Certificate which contained in digital signature that you attached in Form.
11. What are articles of association and memorandum of association?
These are those documents which helps the company to prepare their charter inner constitution and what activity can company do in their near future.
2. What is the Minimum No. of Directors for Private Limited Company
Minimum no. of directors for Private Limited Company: Two
4. What is the difference between authorized capital and paid up capital?
The authorized capital is the capital limit authorized by the Registrar of Companies up to which the shares can be issued to the members / public, as the case may be. The paid up share capital is the paid portion of the capital subscribed by the shareholders.
6. Do I need to be physically present during this process?
No, new company registration is a fully online process. As all documents are filed electronically, you would not need to be physically present at all. You would need to send us scanned copies of all the required documents & forms.
8. What documents are required to complete the process?
All directors must provide identity and address proof, as well as a copy of the PAN Card (for Indian Nationals) and Passport (for foreign nationals). No-objection Certificate must be submitted by the owner of the registered office premises.
10. How much does it cost to run a private limited company?
The cost of running a private limited company can be divided into four categories: cost of setting a private limited company cost of accounting and auditing, cost of compliance and miscellaneous expenses. At the very minimum, you can expect to spend Rs. 15000 on all of these.