Private Limited Company Registration
Get your New Company Registration like an arrow from the bow. Today in this article we will explain you about the Online Company Registration. Nowadays, private limited company registration following all the taxation policy is no longer walking in old boots. The government has eased the road by introducing an online portal for online company registration and Income tax filing.
Private Limited Company Registration is one of the popular forms of new company registration due to its advantages both in legal and corporate. It is the most profitable way to establish your business in the economic scenario. It requires only 2 directors and 2 shareholders to get new Company Registration.
Due to limited liability, the shareholders can protect their personal assets if in case the company gets bogged into any financial crisis and demands to clear off the debt. At that point in time, the creditors or the bank can only attach the assets of the Pvt Ltd company to pay the debt and the personal belongings of shareholders will be spared.
Private Limited Company registration is regulated by the Companies Act of 2013 under the hand of the Ministry of Corporate Affair. In Private Limited Company shareholder can act as a director and vice versa. However, if a corporate legal structure is involved, only the status of a shareholder can be granted. This form is recommended for small or medium-sized businesses that are either run by professionals or owned and managed by families.
How to get Private Limited Company Registration in India?
The following is the new company registration procedure:-
- Apply for Digital Signature Certificate which is required to file the forms of new company registration. The Procedure for a new company registration is online and requires DSC.
- Obtain Director Identification Number as early as possible. You can file your DIN within the SPICe form up to three directors. Or you can just choose not to do any work and can do this only contacting us.
- Get your name approval by filing RUN from. RUN stands for Reserve Unique name. You can file your name with the prescribed fees.
- File the Incorporation form i.e. SPICe form on Ministry of Corporate Affair. No ROC fees for incorporation of Company registration up to the rupees 10 lack of authorized capital is required.
- File the necessary documents like MoA, AoA, Identity Proof, Address proof, Pan and Tan to go for Private limited company registration.
Documents Required for Online Company Registration
The New Company Registration process has to be completed online and does not require the physical presence of the directors or shareholders; however, identity and address proof will be required. First three documents are to be self-attested by any one director. All documents should be updated, valid, and notarized/apostilled depending on country and, the company must have a registered office in India. Shareholders and directors must submit scanned copies of the following:
- PAN Card/Passport.
- Voter's ID/Driver's License/Passport.
- Bank Statement.
- Passport-sized picture
- Blank document with the signature of directors only.
- Utility Bill (either gas or electricity) or Mobile/Telephone Bill.
Note:To register your office, submit scanned copies of the following. Remember, however, that the office can also be the residence of any director.
- Bank Statement/Utility Bills (gas/electricity) or Telephone/Mobile Bill.
- Rental agreement that is in English and notarized.
- No-objection certificate from the owner of the property.
- Sale Deed or Property Deed in case the property is owned by a director.
Compliance's under Private Company Registration
The compliance's for online company registration are similar to other company compliances. The following are the compliance's under new company registration
- Appointment of Auditor- in case the company is freshly incorporated then the company should appoint an auditor within 30 days from the incorporation date.
- Board Meeting- the company should at least has 4 board meeting in a year which mean at least 1 meeting at the end of the quarter. The minutes of the meeting will be signed and maintained properly at the registered office.
- Annual General Meeting – the company will hold an annual general meeting every year where shareholder gets invited. The approval of the financial statement, declaration of dividends, the appointment of auditor etc is discussed in the meeting. The meeting will be held in the city where the registered office is situated.
- Annual Returns filing- it must be filed in Form MGT-7 within 60 days from the date of the annual general meeting. The companies having a paid capital of Rs 10 crores or more must be certified by a company secretary in practice in Form MGT- 8. All companies must extract annual return in Form MGT-9. The content of annual returns is in detail. Kindly contact us to know more about it. The due date for filing an annual return is 30th September 2018.
- Maintenance of statutory Register and Minute Books – there is several registers which needs to be maintained like- Register of Member, Register of Director, Register of Contracts, Register of Charges etc.
Advantages of Private Limited Company Registration
The following are the advantages of the private limited company registration
- Liability is limited as this offers protection to the personal property of the directors in case of financial crisis. The debt will be paid b the finances of the firm not by selling the assets of those involved.
- Considered a separate legal body that allows the company to operate with a multitude of legal powers.
- Taking a loan is easy as compared to LLP and OPC.
- Easy to raise equity funds.
- Perpetual succession allows the company to exist until dissolved by legal action.
- Unaffected by demise or departure of any member.
- Transfer ability of shares is easy and flexible.
- One shareholder cannot force a claim over the property owned by company.
Disadvantages of Private Limited Company Registration
The following are the disadvantage of the private limited company
- Set-up costs are comparatively high as compared to LLP and a partnership firm.
- High statutory compliance.
- Power and decision-making is shared between the different directors.
- Shares cannot be transferred without prior agreement.
Hence, we have tried to arrange each thread of the private limited company registration in this article. Hope you enjoyed it and will come back as a trusted audience to read our next article.