Private Limited Company Incorporation
When a Private Limited Company Incorporation, it means that it is registered as a separate legal entity with limited liability. This type of company has restrictions on the transfer of shares and cannot invite the public to subscribe to its shares. It is a popular form of business structure for small and medium-sized enterprises.
And it’s privately owned. In India, it’s a popular form of business structure. When you Private Limited Company Incorporation, it becomes a separate legal entity from its owners. This means that the company can enter into contracts, own assets, and be liable for its own debts. Shareholders own the company by holding shares, and directors manage its day-to- day operations. It’s a great way to protect personal assets and attract investors.
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In which act pvt. ltd. company can be registered?
According to Section 2(68) of the Companies Act, 2013, private companies are defined as those companies where the transferability of shares is restricted by their articles of association and the public at large is prevented from subscribing to them.
What are the required documents for private limited company incorporation?
- Passport size photos of directors
- Address proof of directors
- Photo ID proof of directors
- Specimen signature
- Self-declaration about your directorship in other companies
- Rent agreement of your registered office
- No objection certificate from the owner of the property of the property
- Aadhaar card
PAN card
What is the process of private limited
Company incorporation registration?
Pre-Registration:
Digital Signature Certificate (DSC) and Director Identification Number (DIN):
- All proposed directors will need a DIN, obtained by filing Form DIR-3 with the Registrar of Companies (ROC) along with identity and address proof. You’ll need a DSC to file this form, which can be procured from authorized agencies.
- Company Name Selection:
- Choose a unique and available name for your company. You can check for name availability on the Ministry of Corporate Affairs (MCA) website.
- Minimum Requirement:
- You need at least two directors and two members (shareholders) to form a Private Limited Company Incorporation.
Registration Process:
SPICe+ e-Form Filing:
- File the SPICe+ form electronically with the MCA. This form incorporates details about the company, directors, subscribers (initial shareholders), and Memorandum of Association (MOA) and Articles of Association (AOA).
Memorandum of Association (MOA):
- This document outlines the company’s fundamental objectives, the nature of its business, and its liability clause.
Articles of Association (AOA):
- This document defines the internal rules and regulations governing the company’s operations, including procedures for meetings, voting rights, and capital structure.
- Payment of Fees:
- Pay the government fees associated with the registration process.
Post-Registration:
Certificate of Incorporation (COI):
- Upon approval, you’ll receive a Certificate of Incorporation (COI) from the MCA, signifying your company’s registration.
- Bank Account Opening:
- Open a current bank account for the company to handle financial transactions.
- PAN and TAN Application:
- Apply for a Permanent Account Number (PAN) and Tax Account Number (TAN) for the company.
- Compliance Requirements:
- Ensure adherence to ongoing compliance requirements, such as filing annual returns and financial statements with the MCA.
What are the benefits of Private Limited Company Incorporation Registration ?
- Limited risk to personal assets: As a shareholder, you’re only liable for the company’s debts up to your contribution. Your personal assets are
- Legal Entity: A private limited company is separate from its directors and shareholders. The company manages its own assets, liabilities, debtors, and creditors. Shareholders are not held responsible for the company’s losses.
- Raising Capital: Entrepreneurs prefer private limited companies because they can raise funds through equity while limiting
- Trustworthiness: Private limited companies in India are registered with the Registrar of Companies and their details are available through the Ministry of Corporate Affairs. This adds trust and transparency to the business
- Continuous Existence: A private limited company has perpetual succession. It continues to exist regardless of changes in membership or the death of any
- Tax advantage :Private limited companies often enjoy tax They are subject to a separate tax rate, which can be lower than individual income tax rates for shareholders.
Additionally, companies can take advantage of various tax deductions and exemptions available to businesses, reducing the overall tax burden.
Who can avail private limited company registration?
Before starting a private limited company in India, you need to fulfill certain minimum requirements. These requirements cover important aspects such as shareholders, directors, company name, registered office, and capital. A private limited company must have at least one director, who must be a natural person and at least 18 years of age. Some jurisdictions may require more than one director. Shareholders: A private limited company must have at least one shareholder, who can be an individual or a corporation. Additionally, the authorized director must possess a Class 3 DSC to authenticate the registration application and atleast all the necessary forms and documents.
- At Least 2 share holders
- At Least 2 directors
- An Indian resident director
- Valid Company Name
- Registered office
- Digital signature certificates [DSC]
What we can offer ?
Beyond core services like company registration, accounting, and tax filing, Blacktie Legal Service India LLP can offer a range of valuable services to private limited companies:
Pre-incorporation Services:
- Business Name Availability and Reservation: Assist with checking name availability and guide the company through the name reservation process to secure their desired name.
- MOA and AOA Drafting: Draft a clear and well-defined Memorandum of Association (MOA) and Articles of Association (AOA) that outlines the company’s objectives, governance structure, and internal regulations.
- Compliance Guidance: Provide guidance on initial compliances needed after incorporation, such as opening a bank account, obtaining a PAN (Permanent Account Number) and TAN (Tax Account Number), and understanding ongoing statutory filings.
- Business Plan Development (Optional): Assist in developing a comprehensive business plan outlining the company’s goals, strategies, and financial projections.
Post-incorporation Services:
- Post-Incorporation Compliance: Guide the company through essential post-incorporation compliances, including filing of commencement of business form, statutory registers maintenance, and filing of first annual return and financial statements.
- Accounting and Bookkeeping: Offer accounting and bookkeeping services tailored to PLCs, ensuring accurate financial record-keeping and adherence to accounting standards.
- Taxation Services: Provide tax advice and assistance with filing tax returns, including income tax, Goods and Services Tax (GST) (if applicable), and other relevant taxes.
- Secretarial Services (Optional): Act as a company secretary (can be an outsourced service) to ensure adherence to corporate governance practices and filing requirements. This can be especially helpful for companies with complex structures.
Additional Services (depending on your expertise):
- Legal and Regulatory Advice: Offer legal advice and guidance on various legal and regulatory matters that may impact the company’s operations.
- Business Advisory Services: Provide ongoing business advisory services on areas like financial management, marketing, and human resource management.
- Startup Ecosystem Support: Connect companies with relevant resources and networks within the startup ecosystem, such as incubators, accelerators, and investors (if applicable).
- Intellectual Property Protection: Assist with registration and protection of intellectual property like trademarks and patents.