How to Register a Private Limited Company in India?

According to the Companies Amendment Act,a private company is the only which

i)has a minimum of two and maximum of 50 members to transfer their shares,

ii)does not offer its shares to general public,

iii)has a minimum paid up capital of rs 1,00,000.

It is an ideal form of organisation for the public who wish to run a large scale business without involving large shareholding groups.

A private company must use the words "Private Limited" or "Pvt Ltd" after its name. Flipkart, Amazon India etc are examples of Pvt companies in India.

What are the documents required for Private Limited Company Registration?

Following are the required documents for it's Registration :

1. Documents for identity proof:-

● For Indian citizen/nationals - PAN
● For foreign citizen/nationals - Passport

2. Documents for proof of address

● For Indian citizens/nationals - Passport/Driving license/Election ID/Ration card/Aadhar ID
● For foreign citizens/nationals - Passport/Driving /licence/Bankstatement/Residence card.

3. Documents for proof of residence:-

● For Indian citizen/nationals - Non-bank statement/Electricity bill/Phone bill
● For foreign citizen/nationals - Bank statement/Electricity bill/Phone bill

4. Documents required in case a company is a shareholder:-

● Board resolution that authorized the investment in the company/Incorporate certificate of the company/Address proof of the company

Process for private limited company in India?

You will need to acquire the following: -

a) A DSC digital signature certificate
b) A director identification number(DIN)
c) Registration of the MCA portal
d) Incorporation certificate.

Our team is here to help you in the registration process so don't ponder over this and get your Registration done.

Benefits of Private Limited Company Registration

Improved credibility

The credibility of the private limited company increases after it is registered as a corporate entity.

Separate legal entity

A company after registration gets a separate legal entity.It becomes an artificial person and has its own name separate from its shareholders.

Limited liability

As the company obtains a separate legal entity it's shareholders becomes limited.The shareholders only carry liability up to the face value of their share. The remaining liability is borne by the company itself.

Sue and can be sued

A company having its own existence once it is registered so it can sue others in it's own name, however it can be sued as well.

Own property

A company can own property such as machinery, building, land, residential property, factory etc, in it's own name. As long as the company is a going concern no one can make a claim on it's property.

Attract funds and foreign investments

The company after it's registration can attract more funds in the form of equity, debt funds as well as foreign direct investments (FDI).

Uninterrupted existence

A company after registration has perpetual succession, that is the company's life is not interrupted by departure or death of it's members. It will continue to run until it is legally dissolved irrespective of changes.

Conclusion

Private Limited Companies are the most important and one of the most common forms of corporate entities in India. The process is a bit complex so it is always advised to hire a consultant or an agency that will help you to do so. If you have any further questions then you can contact our team and we will get back to you. We will also help your company to get registered.