Introduction
The most popular mode of incorporating a new venture in India is by registering a Private Limited Company (Pvt Ltd), especially for start-ups and businesses that have high growth aspirations. This mode of registration is regulated by the Companies Act, 2013, and is overseen by the Ministry of Corporate Affairs (MCA). This mode of registration provides the perfect blend of credibility and limited liability. Ruchi Anand & Associates helps entrepreneurs overcome the intricacies of the Indian regulatory regime by providing expert services to convert ideas into legal entities. The concept of a Private Limited Company provides a shield to its promoters and acts as a very attractive mode for investors.
Types of Private Limited Companies
While the term "Private Limited" is broad, it can be sub-divided depending on the specific requirements:
Advantages of a Private Limited Company
Limited Liability Protection
The shareholders are given protection in the sense that their assets are not liable to be attached in the case of any business loss.
Separate Legal Entity
The company has the capacity to own property, enter into contracts, and even sue in its own name.
Perpetual Succession
The existence of the company is not affected by changes in the shareholders or directors.
Easy Fundraising
This structure is the best choice for Venture Capitalists and Angel Investors, as equity can be easily diluted.
Enhanced Credibility
Since the company is registered with the MCA, the brand enjoys a higher image in the market.
Requirements for Registering a Company in India
In order to initiate the registration process, the following basic conditions must be satisfied:
Company Registration Process
We adopt a simple 5-step procedure to help your company get ready in the shortest time possible:
DSC & DIN Application
We will obtain Digital Signature Certificates and Director Identification Numbers for your proposed directors.
Name Approval (RUN)
We will reserve your company name by making an application to Reserve Unique Name.
Documentation (MoA & AoA)
We will draft Memorandum of Association and Articles of Association documents, which lay down the company’s vision and internal rules.
SPICe+ Filing
We will submit your application in the integrated SPICe+ form to MCA, who will simultaneously process your Incorporation, PAN, TAN, and EPFO/ESIC registration.
Certificate of Incorporation (CoI)
After processing your application, ROC will issue your Certificate of Incorporation, marking the official birth of your company.
Document Checklist
For Directors/Shareholders:
For the Registered Office: