It’s an exciting time when you decide to set up your own business. You are the master of your destiny, which can often be extremely rewarding. But to ensure that everything is done right, you must go through the correct steps – including Pvt Ltd company registration. This guide will break down all the steps you need to take to set up your business.
Step 1: Choose a Name for Your Company
The first step in Pvt Ltd company registration is choosing a unique name representing your brand. Your company name must comply with the Registrar of Companies (ROC) rules. The name must not be similar or identical to any existing registered companies, and it should not violate any trademark laws.
Once you have chosen your company name, you can check its availability on the Ministry of Corporate Affairs (MCA) website. If it’s available, reserve it by filing Form No. INC-1 with ROC.
Step 2: Obtain Digital Signature Certificates (DSC)
A digital signature certificate (DSC) is an electronic form of identification that verifies the authenticity of documents filed online with ROC. As per Indian law, all directors and subscribers of a PLC must obtain DSCs from government-approved agencies.
To obtain DSCs, you must apply along with identity and address proof documents to an approved agency. Once approved, you will receive your DSCs via email.
Step 3: Apply for Director Identification Number (DIN)
A Director Identification Number (DIN) is a unique identification number assigned to each director appointed in a company. All directors of a PLC must have DINs before they can be appointed as directors.
To apply for DINs, file Form DIR-3 with ROC, identity, and address proof documents. You can also apply for DINs while incorporating your company by filing Form SPICe+.
Step 4: Prepare a Memorandum of Association (MOA) & Articles of Association (AOA)
A Memorandum of Association (MOA) and Articles of Association (AOA) are two essential documents required for incorporating a PLC in India. MOA defines the scope and objectives of your business activities, while AOA outlines the internal rules and regulations governing your company’s operations.
You can hire a professional consultant or use online tools provided by MCA to draft these documents according to your business needs.
Step 5: File Forms with the Registrar of Companies
After submitting these forms online along with necessary fees and supporting documents like MOA/AOA/DIN/DSC etc., ROC will issue a Certificate of Incorporation via email within a few hours if there are no errors found during the verification process.
Step 6: Register for Other Mandatory Registrations
After obtaining a Certificate Of Incorporation from ROC, you must register under other mandatory registrations like GST registration(if applicable), Professional Tax Registration, Municipal Tax Registration, etc. For more details on other mandatory registrations, visit the MCA website or hire professional consultants to help complete these formalities.
Conclusion
Registering your business as a private limited company offers many advantages over other legal structures. It provides limited liability protection for shareholders, meaning their assets are safe even if things go wrong. It also gives access to funding opportunities from banks/investors easily compared to other legal structures. So if you’re considering starting a new venture or expanding an existing one into the Indian market, don’t hesitate – to incorporate as Pvt Ltd Company today!