Register a company online in India: The Company is recognized as a legal entity created by many people to do business. One of the first steps toward a company’s existence in the market is its registration, which must be completed. Therefore, the first step in establishing and smoothly operating a firm is company registration. Here are the steps for company registration
What is company registration?
It is very vital to register a company online in India. The whole process, from registering with ROC to submitting forms and applications for the company, is called company registration.
1. Selecting the appropriate business structure
Selecting the appropriate business structure for your company is the first step. In India, the most popular business forms are the private limited company, partnership, and sole proprietorship.
2. Choosing a firm name
After deciding on the best business structure, you must choose a name for your firm. The name of the business must be original and cannot be the same as the name of another already-existing business; then, you can proceed to register a company online.
3. Submit an application for the DSC
To register a company online, electronic documents have to be authenticated using a DSC, which is a type of digital signature. Any authorized certifying body accepts applications for DSCs.
4. Apply for the DIN
To register a company online, the DIN of the directors is essential. Those who want to become directors of Indian firms are granted a DIN, which is a special identifying number. A DIN application is available online.
5. Submitting the E-forms to register a company online
These are the forms that outline the company’s charter. The e-MoA and e-AoA can be submitted online.
6. Certificate of incorporation
Following the registration of your business, you will get a Certificate of Incorporation. The formal document that attests to the existence of your business is the Certificate of Incorporation.
7. Apply for the company’s PAN and TAN
After receiving the Certificate of Incorporation, you must apply for the company’s Tax Account Number (TAN) and Permanent Account Number (PAN). Both a PAN and TAN may be applied for online to register a company online.
It is very vital to register a company online in India. The whole process, from registering with ROC to submitting forms and applications for the company, is called company registration.
Types of companies in India
To register a company online, the following are some of the types of companies in India:
| Private Companies | One Person Companies (OPC) |
| Public Financial Institution | Companies Limited by Shares |
| Charitable Companies | Foreign Companies |
| Unlimited Companies | Companies Limited by Guarantee |
| Public Companies | Companies in terms of Access to Capital |
| Holding and Subsidiary Companies | Dormant Companies |
| Associate Companies | Nidhi Companies |
| Government Companies | Companies Limited by Shares |
Top 10 Reasons for Company Registration in India
The reasons for company registration in India are:
1. It’s simple to transfer the shares
Because the procedure of transferring shares is so simple, a company may enjoy the benefit of continuous existence. Shares can be transferred from one shareholder to another with just one board meeting and the members’ consent. By attracting investors, the transferability feature aids company owners in growing their enterprises.
2. Benefits of taxation
There are several tax advantages that come with incorporating your business. The losses might be dispersed over a certain time frame. Employee perks and startup and operating costs are also deductible.
3. The company’s funding
Debt or equity finance is an essential need for launching a small business. Nevertheless, unregistered companies such as partnerships and sole proprietorships are unable to raise funds via equity financing. Furthermore, the majority of financial institutions favour lending to companies that are registered.
4. Separate legal entity
It is created when a small business is launched and registered. A corporation is a separate legal entity in India as opposed to all unregistered business organizations. You rename it when you incorporate it with the help of your business advisers.
5. Obtaining finance
Establishing a corporation in India may greatly improve your access to different types of capital, which is essential for the expansion and success of your firm. It is often simpler to obtain loans from banks and other financial institutions for a registered business since it is viewed as having more creditworthiness. Lenders are more likely to grant favourable conditions and larger loan amounts when the firm is formally structured and has legal recognition.
6. Perpetual succession
Perpetual succession is a unique benefit of creating a company in India; it guarantees corporate activities even during ownership or management changes. A registered corporation is entitled to perpetual succession, which means that its continuous existence is not reliant on the presence of its original founders or members.
7. Getting a company registered is simple
It’s amazing how simple it is to incorporate a company. The online company registration procedure is simple to understand.
8. Limitation of liability coverage
Obtaining limited liability protection when registering a business online is one of its largest advantages for members of a private limited company, limited liability partnership (LLP), or one-person business. As a result, the promoters of the company would not be held personally responsible for its debts.
9. Possibility of suing or being sued
Legal action may be taken under a person’s name. In a similar vein, a firm that is a separate legal entity may file a lawsuit against an individual under its own name. This covers renaming businesses as well as mergers and demergers.
10. Certain companies’ exemptions
Depending on the type of company, the Central Government offers several exemptions to companies that operate for charitable reasons. NGOs and other non-profit organizations are qualified for certain tax breaks and benefits when they register as Section 8 companies.
Company registration with Corpbiz
By completing the required paperwork, abiding by pre- and post-incorporation rules, and meeting several requirements that are a part of the company registration procedure, Corpbiz makes the process of registering a business easier. In addition, strict adherence to specific MCA regulations is necessary to avoid steep penalties and late fees. In the absence of professional assistance, this process may seem daunting and intricate. Corpbiz provides expert support to register a company online on the MCA website. Our team of experts will assist you in registering a company online.
Frequently Asked Questions
Then, you register your business; you get access to the legal paperwork and certifications that prospective clients, investors, and partners will need to see your company as legitimate.
A business is recognized by law as a distinct legal artificial body having a common seal and name. It is mandatory for all firms to register under the Companies Act 2013, together with their memorandum of organization.
The most important document required for the process of founding a corporation is the memorandum of association. This document, which is fundamentally referred to as the “constitution of the company,” includes information on the firm’s name, goals, registered office and properties, obligations, and members.
In India, a Private Limited Company is the most popular and favoured kind of corporate company. It has several benefits, including reduced regulatory requirements, minimal liability, and an easy-to-understand management structure.
The Companies Act of 2013 mandates the registration of a company online. An association of people is not considered a company at all if it is not registered and then incorporated with the Registrar of Companies.
Businesses that have revenue over the threshold of Rs. 40 lakh, Rs. 20 lakh, or Rs. 10 lakh, depending on the situation, are required under the Goods and Services Tax (GST) to register as regular taxable persons. We refer to it as GST registration. Some firms are required to register under the GST.
The simplest and most typical kind of business registration is for a sole proprietorship. You are the exclusive owner and operator of the company when you have a single proprietorship. You are not required to pay any fees or submit any papers to the government.
A business entity must be formally recognized by the appropriate government authorities in order to be registered.
The MCA’s latest modifications have made it simpler than ever to register any kind of business with the government. Formally registering your company can take ten to fifteen days, assuming you have all your paperwork in order.
Read our Article: How To Get A CA For Company Registration?
