1. Kiran Varma - IndianLawInfo
How to register company in
India
By Kiran Varma - IndianLawInfo
2. Kiran Varma - IndianLawInfo
Contents
1. About
2. Types of company Registration
3. Major Steps for Registering a Company
4. Differences between Private and Public Company
5. Required Documents
6. References
3. Kiran Varma - IndianLawInfo
1. About
A new business in India then first and foremost, there are some official procedures a startup or a
company has to follow in order to register them in Indian official records, MCA (ministry of Corporate
Affairs) has to made registration process online few years back
Picking the right company structure for your business is as important as any other business-related
activity. The right business structure will allow your enterprise to operate efficiently and meet your
required business targets. In India, every business must register themselves as part of the mandatory
legal compliance.
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2. Types of company Registration
Let’s try and understand the types of business structures available in India. Here is a list of some
of them:
1. One Person Company (OPC): Recently introduced in the year 2013, an OPC is the best
way to start a company if their exists only one promoter or owner. It enables a sole-
proprietor to carry on his work and still be part of the corporate framework.
2. Limited Liability Partnership (LLP): A separate legal entity, in an LLP the liabilities of
partners are only limited only to their agreed contribution.
3. Private Limited Company (PLC): A company in the eyes of the law is regarded as a
separate legal entity from its founders It has shareholders (stakeholders) and directors
(company officers). Each individual is regarded as an employee of the company.
4. Public Limited Company (PLC) : A PLC is a voluntary association of members which is
incorporated under company law. It has a separate legal existence and the liability of its
members are limited to shares they hold.
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3. Major Steps for Registering a Company
● Acquiring Digital Signature Certificate(DSC)
● Acquiring Director Identification Number(DIN)
● Filing an eForm or New user registration
● Incorporate the company
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4. Differences between Private and Public
Company
● Minimum number of Board members required for a private company is two and for a public
company is seven.
● Private company can have maximum of only 50 members, but a public company can have any
number of members.
● A private company can start its business as soon as it is incorporated but the public company
shouldn’t start its business until it receives business commencement certificate.
● Private company shouldn’t sell it’s shares to anyone or shouldn’t make any invitation to people
regarding a company shares, but a public company can invite people to buy it’s shares by issuing
a prospectus.
● Private company may have two directors, but a public company must have at least three
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5. Required Documents
1. DIN of all those directors of a proposed company.
2. DSC – Digital Signature Certificate
3. Original copy the of formal letter issued by ROC regarding availability of Company name.
4. Form-1 for incorporation of a company.
5. Form-18 for situation or address of the proposed company.
6. Form-32 for particulars of proposed directors, managers and secretary.
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6. References
All Content used in this follows under free to use policy of CC.5.0 All the credits for its cretors and all
sources used are mentioned below for Full Credits and References
Content:
https://cleartax.in/s/company-registration
https://www.indianweb2.com/2013/07/12/how-to-register-a-companystartup-in-india/
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