Information about private limited company registration
Private Limited Company registration is the most popular legal structure option for businesses in India. Private Limited Company can have a minimum of two members and a maximum of fifty members. The directors of a Private Limited Company have limited liability to creditors. In a case of default, banks / creditors can only sell company's assets but not personal assets of directors.
Limited Liability Protection
Protects directors and shareholders by limiting their personal liability for company debts.
Credibility & Trust
Builds trust with investors, vendors, and banks, enhancing your business reputation.
Easy Fundraising
Facilitates raising equity capital through venture capitalists, angel investors, and equity markets.
Tax Benefits & Compliance Flexibility
Enjoy various tax benefits and flexible compliance norms under Indian company law.
Perpetual Existence
Company continues irrespective of changes in ownership or management, ensuring business continuity.
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First of all, the partners have to apply for Digital signature and DPIN. Digital signature is an online signature used for filing and DPIN refer to Directors PIN number issued by MCA. If the directors already have DSC and DPIN, then this step can be skipped.
You need to provide 3 different options for your company name to MCA of which one will be selected. Names provided should ideally be unique and suggestive of company business.
Once name is approved, one needs to draft Memorandum of Association and Articles of Association. Both MOA and AOA are filed with the MCA with the subscription statement.
It typically takes 15- 25 days to form a Private limited company and get the incorporation certificate. Incorporation certification is a proof that company has been created. It also includes your CIN number.
Charges are lower for MSME registered company for facilities such as electricity and VAT exemptions. In fact, other business services such as patents are also cheaper for MSMEs
Then you need to apply for PAN and TAN. PAN and TAN are received in 7 working days. Post this, you can submit the Incorporation certificate, MOA, AOA and PAN with a bank to open your bank account.
Private Limited Company Registration
