Before registration for a company, piles of questions such as how to register a PVT Ltd Company Registration In India or whether its registration is required or not and many more questions create big doubt.
So, let’s start from scratch and understand how many registered private companies India has – in the year 2020, India had a total of 122 thousand private limited companies with a sum capital authorization of over rupees 2.2 trillion. Surprisingly, out of 122 thousand private limited companies, 120 thousand companies were registered.
That reflects that a large number of private limited companies are registered thus, signifying that registration of private limited companies is essential for growth and diversification. One of the major reasons to register a private limited company could be easy access to loans from banks and financial institutions.
Now getting the questions mentioned right at the start, before jumping on to how to register a private limited company in India, I would like to discuss – whether its registration is required or not.
Well, the answer to the question is – YES. A registered private limited company enjoys several benefits like building credibility, and trustworthiness, filing government tenders, and more. The mentioned benefits make registration worthwhile, thus, making registration essential.
Hope you are aware of why you should register a private limited company – now, let’s see some of its features.
Features of a Private Limited Company
- A minimum of two members are required to form a private limited company, which could extend up to 200.
- Earlier paid-up capital to establish a private limited company was Rs 1 lakh, however, now it is abolished.
- At the end of the name of the private limited, add “private company,” and Pvt Ltd.” as a suffix.
- Transfer of shares in a private limited company can be done freely.
The above-mentioned basic features which a person must know before establishing a private limited company. Let’s see, what are the requirements to complete before its incorporation.
Requirements to Establish a Private Limited Company
- Require at least two members and two directors to establish a private limited company.
- The directors and members in a private limited company can be the same.
- To establish a private limited company, at least one director must be an Indian resident.
- No obligation has been imposed on the required minimum capital.
- For two promoters, you need a Digital Signature Certificate (DSC) with a witness.
- For each director, you need a Director Identification Pin (DIN).
These requirements are the first and basic step toward – How to Register a private limited company in India. Once these requirements are fulfilled, you need documents for submission during registration. To know what are the documents required for incorporation of a private limited company, click here.
Here, let’s finally check how to register a private limited company –
How to Register a Private Limited Company?
Step 1 – Check the availability of the name of the company.
Step 2 – Once the company’s name is finalized, an application will be duly filed for DSC and DIN.
Step 3 – Thereafter, an application will be filed for a Memorandum of Association (MoA) and Article of Association (AoA).
Step 4 – Then, a company’s PAN and TAN need to be obtained.
Step 5 – Along with PAN and TAN, a certificate for incorporation will be issued.
Step 6 – The company’s bank account will be opened.
Step 7 – At last, submit the application form with the required documents.
NOTE – Depending on the activities a company is engaged in, you might be required to obtain an EPR approval and DPCC approval.
As we can see, the private limited company registration includes obtaining several documents like DSC, DIN, TAN, PAN, and any other requirement there would be. Well, no doubt, it could be quite challenging, especially for a layman.
No worries, we have got you covered. Let’s see, how we can make private limited company registration seamless for you –
How We Will Help in the Incorporation of a Private Limited Company?
- We are equipped with all the necessary resources to handle each aspect of private limited company registration.
- Our consultants will provide you with complete assistance in the documentation.
- Our expert team of professionals will guide you through the registration process.
- If required, we will provide you with technical support in opening a bank account.
- We will invest our time and efforts and guarantee to provide you with DIN and DSC which plays an important role in private limited company registration.
- We directly coordinate with officials to meet their startled requirements and to ensure proper follow-ups.
- We will be available 24*7 to solve any query you may have.
Conclusion
As mentioned, registration of a private limited company is essential, considering easy access to loans, filing government tenders, and more. However, its challenging and perplexing aspects can not be ignored. Therefore, having a professional approach to understanding how to register a private limited company requires complete knowledge of the same.
JR Compliance has got you covered!
JR Compliance – an award-winning corporate compliance service provider that emphasizes keeping everything on track by ensuring that our clients possess all the documents required, including coordinating with the Corporate ministry to ensure compliance with standards. Above all, what could be better than an experienced firm we have experience in completing 5000+ private limited company registrations.
In brief, with us, consider every aspect of how to register a private limited company – consider it done.
