Overview of Private Limited Companies
The Private Company is defined under Section 2 (68) of the Companies Act 2013, as a company that has a minimum paid-up capital of Rs 1 Lakh. A Private Limited Company should have a minimum of 2 members and may extend up to 200 in number. Acts of members of the Private Limited Company are governed by the Articles of Association (AOA) and Memorandum of Association (MOA).
Process of Online Company registration in India
How Olambit Helps You With Registration
How to register a Private Limited Company?
A Private Ltd. Company registration requires a minimum composition of 2 members and 2 directors, while the maximum can be 200, and a maximum number of directors can extend up to 15 for the registration of a private limited company. The Private Ltd. Co. also has limited liabilities for its members and does not issue its shares to the general public.
Private Ltd. Co’s registration in India initially requires a Digital Signature Certificate and Director Identification Number in favor of any one director for the purpose of incorporation. One has to apply to the concerned RoC to ascertain the availability of a name in the RUN. A fee of Rs. 500/- has to be paid and the digital signature of the applicant proposing the company be attached to the form.
Thereafter, the company needs to obtain approval for the name and identify that no company with a similar name exists at the time of incorporation of such company. Once the approval is obtained, one has to file the required forms which are Forms 1, 18, and 32 within 60 days of approval of the name and other necessary documents. Finally, after a full verification regarding the registration process, file a declaration in e-Form 19 and e-Form 20. Lastly, MCA will issue a certificate for the commencement of business of the Private Limited Company.
Benefits of incorporating a Private Limited Company
- A Pvt Ltd. company is governed by the Companies Act 2013
- At least 2 members are required to set up a Private Limited Company
- The Private Limited Company has a separate legal entity than of its members.
- Private Co. has perpetual succession, which means that any changes in members such as death, bankruptcy, exit, transfer, etc. do not affect the existence of the company.
- In the Pvt Ltd Company, a member is liable for his actions only to the extent of his liability in the form of a contribution to the capital.
- In the Private Ltd. Company, the capital is raised privately from the shareholders and cannot be raised or borrowed money from the general public.
- APrivate Ltd. company has the capacity to sue and can be sued.
- A Private. Ltd. company can borrow funds in the form of loans from the financial institutions.
- The Co. can own property in its own name.
Essential Requirements for Online Company Registration
- Minimum 2 members and Maximum 200 members
- Minimum Paid-up Capital required is Rs 1 lakh
- Minimum 2 directors required and a maximum of 15 directors
- DSC (Digital Signature Certificate) is required
- DIN (Director Identification Number) is required in favour of the one main director
Documents for Company Registration
- PAN card details of all the directors and shareholders
- DIN or Directors Identification Number of all the designated directors
- DSC or Digital Signature Certificate of the designated directors
- Memorandum of Association (MOA) and Article of Association (AOA)
- A NOC or No Objection Certificate from the landlord of the business place
- Address Proof of all the proposed directors and shareholders of the company.
- Identity Proof such as Aadhaar card, PAN card, Driving License, Voter Id of all the designated directors and shareholders.
- Other utility bills such as telephone, water, gas, or electricity bills as residential proof of the registered office. It should not be older than 2 months.
Identity Proof such as Aadhaar card, PAN card, Driving License, Voter Id of all the designated directors and shareholders.
A NOC or No Objection Certificate from the landlord of the business place.
Address Proof of all the proposed directors and shareholders of the company.
Other utility bills such as telephone, water, gas, or electricity bills as residential proof of the registered office. It should not be older than 2 months.
What’s included in package
DSC and DIN for 2 Directors.
Company Name Reservation.
MOA & AOA.
Corporate Identification Number (CIN).
PAN & TAN.
Bank Account Opening Template.