Private Limited Company
A private limited company is a company which is privately held for small businesses. A minimum number of 2 and a maximum number of 200 members or shareholders are required as per the companies’ act 2013 before registration of the company. A minimum number of 2 directors is required for registering the private limited company. Each of the directors should have DIN.
Features of Private Limited Company:-
- Easy to register, manage & run.
- The separate legal entity which limits your liability.
- Easy to allocate and redistribute shares to investors or other directors.
- Easy to dissolve or wind-up.
- Cannot accept deposits.
- Preferred by banks, VCs & investors
No. Private Limited Companies are held PRIVATELY which means trades of the company are not tradable to the general public.
Yes. Private Limited Companies are great instruments to attract venture capital FDI in India. Private Limited Companies have great scope for growth.
To run a private company, an amount equals to Rs 15,000 are spent on the ROC Compliances of the private limited company. It would hardly take 40,000 to 50,000 to register a private limited company.
No, a Private Limited Company cannot invite the general public top to subscribe to the company shares.
Ministry of Corporate Affairs has introduced a new form called the SPICe INC- 32 forms for the faster company incorporation. Apart from this, to register a private limited company, an e- MoA (INC-33) and e- AoA (INC- 34) are also to be submitted with the above form.
Advantages Of Private Limited Company Registration
●Dual Relationship
●Free & Easy transferability of shares
●Separate Legal Entity
●Limited Liability
Process Of Private Limited Company Registration
●Step 1: Obtain a Digital Signature Certificate (DSC).
●Step 2: Obtain DIN.
●Step 3:Name Availability.
●Step 4: Form SPICE INC-32.
●Step 5: MOA and AOA.
●Step 6: PAN and TAN Application.
Required Documents:
●Passport size photo of directors and shareholders.
●Address proof of the registered office (Electricity bill, telephone bill etc.)
●Contact details of directors and shareholders.
●Affidavits for non- acceptance.
●A duplicate copy of the latest electricity bill, telephone bill, or mobile bill for directors.
●The email address of the directors and shareholders.
●MoA and the AoA subscriber sheets.
●Occupation details of directors as well as shareholders
●A short description of the company and the business.
●Name of the city where the registered office of the company is located.
●Identity proof of the Directors and Shareholders (PAN Card).
●Address proof of the Director or the Shareholder (Voter ID, Passport, Driving license etc.)
●Share capital amount and proposed ratio for holding share.
●NOC for a change in the original subscribers of MOA.
●Ownership and sale deed (In case your own premise).
●Passport size photo of directors and shareholders.
●In case the property is on rent then you need to submit a copy of rent agreement with No Objection Certificate (NOC) from the landlord.
●In case you are a foreign national subscriber then you need to provide Nationality proof.