An entrepreneur’s enthusiasm can answer questions of finance, resources, target audience, publicity, growth forecast and so on. But the enthusiasm falls short to answer questions cost and time of starting a business, liability – personal or corporate when things do not go as planned. When the business is faced by an unforeseen circumstance or a sudden change in policy, or internal mismanagement. How do we address these questions?
The answer lies in going to and not going back to basics i.e business registration. It is fundamental to consider these questions especially that of liability at the time of starting the business. The current corporate legal fabric of India allows entrepreneurs to consider several types of entities for business registration.
Initiation of a business with a company registration is the most common form of business entity chosen by entrepreneurs. A private limited company is registered under the Companies Act, 2013 and has the following key features:
The process for the registration of a private limited company is as under:
Step No. 1 – Name reservation: The first step towards the incorporation of a company is choosing a name. While choosing a name it is important to ensure that no existing companies are operating under the same name. This name availability process can be undertaken on the website of the Ministry of Corporate Affairs (“MCA”). In addition to undertaking the process of checking for availability of names on the website of the Ministry of Corporate Affairs, it is wise (though not compulsory) to undertake this process on http://www.ipindia.nic.in/ to ensure that the name of the company can also be registered as a trademark eventually. The applicant must create an account on the website of the MCA and click of the icon “RUN”. In this eForm, the applicant must provide the proposed name along with any other comments like objects, trademarks etc. The name check facility in the eForm is an auto check facility. An applicant can attach the required files (example: NOC for use of the same name as the of an existing company) as an attachment to the eForm. After completion of these steps, the applicant must submit the form and pay fees of INR 1000. On payment of fees, a challan will be generated which must be saved for its SRN. On the successful completion of this process, the name is reserved for 20 days within which the incorporation of a company must be completed. It is not mandatory to file form RUN. The same process can be undertaken while filing eForm SPICe.
Step No. 2 – Procure Digital Signature Certificate: The company registration process requires electronic filing and submission of the requisite forms. A digital signature certificate (“DSC”) is used for the purpose digitally signing all eForms. The DSC is issued be a Certifying Authority on submission of original supporting documents and self-attested copies. A DSC is valid for two years.
Step No. 3 – Preparation of documents required for incorporation:
The following documents are required to be submitted at the time of filing the company registration form and must be kept readily available at the time of filing:
Step No. 5 – File eForm SPICe for incorporation of a company: eForm SPICe is a single-window form for the registration of a company and/or allotment of DIN and/or application for PAN and TAN. The above-listed documents are required to be attached with the eForm. Stamp duty and registration fees are payable depending on the share capital of the company.
Step No. 6 – File eForm AGILE for GST, ESIC and EPFO registration: After eForm SPICe is filed for the registration of a company, the applicant is also required to file eForm AGILE. eForm AGILE is a single-window form for registration of Goods and Services Tax Act, 2017, Employee State Insurance Corporation Act, 1948 (“ESIC Act”) and the Employee Provident Funds Act, 1952 (“EPF Act.”) The eForm must be submitted along with a proof of principal place of business (property tax receipt, municipal khata copy, electricity bill, rent/lease agreement, consent letter, rent receipt with NOC), proof of authorisation of authorized signatory and specimen of the authorized signature.
Once the above steps are completed and eForms SPICe and AGILE are approved, a company is registered and a Company Identification Number (“CIN”), GSTIN, PAN, TAN, foundation code under the EPF Act and employer code under the ESIC Act will be provided. It is important to note that while eForm AGILE registers a company for ESIC and EPFO, the compliance under the ESIC Act and the EPF Act will only be required to be undertaken once the required thresholds under these legislations are met.
After the allotment of CIN, a Company is required to undertake post incorporation compliances like intimation of registered office address, preparing the letterhead of the company as per the requirements of Companies Act, 2013, appointment of an auditor, first AGM etc.
A Limited Liability Partnership registration is a service our firm provides. The LLP is considered the 2nd most popular legal structure option in India. A Limited Liability Partnership is incorporated under the Limited Liability Partnership Act 2008 and it is governed by the Ministry of Corporate Affairs (MCA).
In case it is mentioned in the MoA and approved by the registrar of the company, then it is possible to carry out multiple businesses. The businesses could be in the same field or different. Though, unrelated activities like event management and fashion designing cannot be registered under the same company.
₹ 4,999 (All Inclusive) for the Base Package.
What is included in the base package?
We are also extending, FREE of cost:
What you see is what you pay. No hidden charges. Period.
If there are additional requirements apart from Base Package, we will first share the revised quote and then we can move ahead.
Again, what you see is what you will pay.
Yes. A Company can be registered from any address. It need not be a formal office set-up.
A Company’s registered address can be a:
Both Rented as well as Owned
Yes. The businesses however must be a part of the MoA approved by the registrar of the company (ROC), then it is possible to carry out multiple businesses. The businesses could be in the same field or different. Though, unrelated activities such as Chemical Trading and Real Estate Construction may not be approved under the same company.
Some of the necessary compliances include:
Step 1: Obtaining Digital Signature (DSC) and DPIN
Step 2: Application of DPIN
Step 3: Name approval
Step 4: Form SPICe
Step 5: e-MoA (INC-33) and e-AoA (INC-34)
Step 6: PAN and TAN application
Anyone can be a director, if they fulfill the following conidtions:
The complete list of documents required to register a Private Limited Company as given below:
The 3 main documents of the company that defines any Private Limited Company are:
Other Documents that may be used for KYC purpose would include:
The Maximum amount of capital against which a company can issue shares is the Authorised share capital. It represents the maximum amount of capital a company can hold as capital.
Paid-up Capital is the actual money the Company has raised till date. It is that portion of Authorised Capital that is actually in the Company.
In short, Paid-up is actual capital paid, while, Authorised Capital is the ceiling. Both however, can be raised by filing documents with the ROC.