Private Limited Company India
Now a days the scope for startups was increased, in the current situation for the growth incorporating a private limited company of startup is suggestable. These all private limited companies were governed by Ministry of corporate affairs and Companies Act, 2013 and Company Incorporation rules, 2014. To incorporate a private limited company in India there were minimum requirements which are as follows.
- Minimum two shareholders and two directors aged above 18years were required.
- A natural person can be a director or shareholder but a corporate legal entity can only be a shareholder.
- Company must have atleast 1 Lakh as a authorized sharecapital.
- Atleast one director should be Indian.
Benefits of Incorporating Private Limited Company India
- It acts as a separate legal entity.
- The liability of shareholders is limited to unpaid amount of sharecapital.
- Main advantage of incorporating a private limited is its perpetual existence.
Documents required for Incorporating the Private Limited Company India
- Identity and Address proof of Director and promoter.
- Aadhar/ Voter ID/ Driving License
- PAN card
- Latest Bank Statement/ Utility bill.
- Proof of address for business
- Rental Agreement/ Utility Bills along with NOC – if rented
- Property Tax receipt – if owned
- Copy of Notarized agreement.
- Incase of NRI passport to be submitted.
- Description of Objects and articles of the business.
- Passport size photograph of directors and specimen signature in blank document.
Procedure of Private Limited Company Incorporation
Step 1: Search for the availbility of name and reserve it through Reserve Unique Name (RUN) service in MCA portal. If the name is already registered then it wont be alloted again.
Step 2: Once name got approved then apply Digital signature and file DIN number for filing it DIR 3 form should be submitted to ROC.
Step 3: File SPICe form, draft MOA and AOA forms with required details.
Step 4: After filing SPICe form then upload it along with the prescribed form.
Step 5: Once the application got approved by ROC then ROC issues Certificate of Incorporation which includes PAN and TAN of company also.
General FAQ – Private Limited Company
1. Can NRI incorporate a Private limited company in India ?
Yes, but there should be atleast one indian director in that company.
2. Can I convert LLP into Private limited company, Private limited to Public Limited ?
1. No, you can’t convert your LLP into a Private Limited Company as it is not MCA. Both the LLP Act, 2008 and the Companies Act, 2013 don’t have any provisions on conversion of LLP in a private limited company. 2. But you can convert the private to public limited company by complying with certain provisions and procedures.
3. How to choose a name for Private Limited Company to avoid rejection?
The company name should be selected with utmost care. The rules for selecting a company are: The name should be ended with the words ‘Private Limited’ which are mandated by law. 1. The name must be unique. 2. Opted name should be meaningful. 3. Follow the naming guidelines for better chances of approval. 4. Name should be suggestive of the company business.
4. Is DSC is mandatory ?
Yes, for signing e-SPICe, e-MOA and e-AOA DSC of Director and first subscribers is mandatory.
5. Does one require to present in person ?
The entire procedure is done online and one does not have to be present at our office or any other place for the incorporation. A scanned copy of the documents have to be sent via mail. They get the company incorporation certificate from the MCA via courier at the business address.