PRIVATE LIMITED COMPANY
Private limited company is the most prevalent and popular type of corporate legal entity in India. Private limited company registration is governed by the companies Act 2013 and the Companies Incorporation Rules , 2014. In this article, we look at the private limited company registration process and documents required in detail.
Incorporation of a Private limited company is one of the jighly recommended ways to start a business in India. Such company provide limited liability for its shareholders with certain restrictions placed on the ownership. In private limited company partners are the manager of the company.
What is private limited company?
A private limited company is a privately held business entity. It is privately held by the shareholders and maximum number of shareholders should not be more than 200. Similarly, the liability arrangement in a private limited company is that of a limited partnership , where in the liability of a shareholder extends only up to the number of shares held by them.
Beyond the value of the shareholders can not be held liable before the registration of a private limited company, its objectives are determined likewise, the governing body for such a company is the ministry of corporate Affairs (MCA).
There is a limited ,which means the members of the company are not at the risk of losing private assets. If a company fails, the shareholders aren’t liable to set their assets for payment Fewer shareholders.
Placing a private limited company is one of the highly recommended ways to start a busuness in india
Benefits of company registration
Registering a company offers many benefits. A registered company increases the authority of you business. It help your business:-
1. protects from personal liability and protects from other risk and losses.
2. Acquire good investment from reliable investors with easae,get up of bank credits.
3. Provides liability protection to protect the company’s assets.
4. Attract more customers.
5. substantial capital contribution and greater stability.
6. Rise the potential to grow and expand.
Company registration process:-
Step 1:- Obtain DSC
Step 2:- Apply for the DIN
Step 3:- Application for the name availability
Step 4:- Submission of MoA and AOA to register a Private Limited Company.
Step 5:- Apply for the PAN and TAN of the company.
Step 6:- RoC issues a certificate of Incorporation with a PAN and TAN.
Document Required for Online Company Registration:-
without having a proper identity and address proof , a Private Limited Company registration cannot be done in India.
Document required are:-
- Govt. ID proof - voter’s ID or Passport or driver’s license.
- Bank Statement
- Utility bill either mobile or gas or electricity.
- Passport size Photograph.
- specimen signature-Director signature on blank paper.