Are you looking for private limited company registration incorporation here are the 5 easy ways to go ahead with your registration.
According to the MCA annual data Reports, there are more than 10,000+ Private limited companies are formed per month.
A private limited company is the most common as well as a popular corporate business entity among small, medium and large companies in India. Private limited company registration is governed by the Companies act 2013 and the Companies incorporation Rules 2014.
Many wants to start with the private limited company but they doesn’t know the required procedures, documents which is needed while forming a private limited company. Forming a company is not just a enough process which further needs to be followed with the 30 days of mandatory compliances after the incorporation of the company where many companies fails to follow and ends up with the huge penalties.
Let’s begin by understanding the meaning for the word Private limited company:-
Splitting the word “Private” means it restricts the public to buy the company shares whereas in case of a public limited company it allows the public to buy the company shares. Further the word “Limited” denotes company’s shareholders which can be minimum 2 and maximum 200 are liable for its debt. It must have minimum of 2 directors and maximum limits of 15 directors. The shareholders can either be a person or a company which includes the foreign companies. The shareholders cannot offer their shares to the general public over stock exchange. The minimum capital for the private limited company according to Section 2, clause 68, Companies act 2013 is 1 Lakh. In the private limited company the liability of member is limited up to the capital they contribute, which will be the maximum benefit for the shareholder of the company. Private limited company can raise equity fund from its shareholder.
Registration procedure for the private limited company is a little bit complex but it can be done by following these simple 5 ways which as follows:-
The first and the foremost step would be to obtain the DSC i.e the Digital Signature Certificate for the directors involved in the private limited company. The main purpose of the DSC is to sign the e-forms. According to the Information Technology act, 2000 has provisions for use of Digital Signatures on the documents submitted in electronic form in order to ensure the security and authenticity of the documents filed electronically. This is a secure and authentic way to submit a document electronically. DSC is mandatory for all the directors in the company. Here raises a question that how to obtain the DSC: – You can obtain the DSC by directly approaching the certifying authorises (CA) with the original documents and self-attested copies will be sufficient to do so. DSCs can also be obtained, wherever offered by CA, using Aadhar eKYC based authentication, and supporting documents are not required in this case. A letter/certificate issued by a Bank containing the DSC applicant’s information as retained in the Bank database can be accepted. Such letter/certificate should be certified by the Bank Manager.
Once after the DSC is obtained the next step to be followed would be filling of MOA & AOA, SPICe INC-32
After registering DSC, You need to verify your company name on MCA Portal -> MCA Services -> Check Company Name which is to notify that whether your Company name should not be registered and should not be taken. If taken, ensure that your company name should not be same as brand name. The Next step for the name approval would be:-
- RUN approval: With RUN (Reserve Unique Name) approval you can ensure whether the name is available or not. But this method doesn’t allow you to resubmit once it is submitted. In case name gets rejected you can resubmit by paying Rs.1000 for each submission.
- File through SPICE INC-32 Form: – incorporating a company through Simplified proforma for incorporating company electronically (SPICe- INC-32), with eMOA (INC-33), eAOA (INC-34), is the default option and most companies are required to be incorporated through SPICe only. With SPICe INC-32 you have a resubmission for 2 times.
As per the Companies Act 2013, a subscriber must sign their names and must be subscribed to the shares of the company incorporated. It means each subscriber must have at least one share of the company. Each subscriber should sign the memorandum in presence of at least one witness and must clearly state the following:
- Personal Description
- No of shares subscribed
- Nature of shares etc.
Likewise both (Article and Memorandum of association) must be duly signed and stamped.
Once after the MOA and AOA are approved and payment of necessary fees is done the certificate of Company incorporation would be issued by the Registrar of Companies. Upon Incorporation, the company becomes a legal person separate from its members, you will get incorporation certificate which will include the date of incorporation and PAN number of the company.
Once you get incorporation certificate, you will get PAN & TAN application by MCA.
At Clidel, a company with happy customer, we provide you with the complete package of secretarial services thereby ensuring your company adheres to every compliance and faces no hassles.