Overview of Private Limited Company Registration
A Private Limited Company is a privately held company for small businesses, which is the most recommended way to commence a business in India. The process of private limited company registration is governed by the provisions of the Companies Act of 2013. The minimum requirement of shareholders is 2 for starting a Pvt. Ltd. company, and the maximum number of shareholders a private company can have is 200, as stated in the provisions of the Companies Act, 2013.
Private Limited Company Registration offers several benefits to the members of the company, and one of the major benefits is of limited liability for the members and the shareholders of the company as in the company any kind of financial menace, the shareholders of Pvt. Ltd. Company are not subject to sell personal assets for the repayment of debt. Every private limited company must use "Pvt. Ltd." after their name. There is no minimum paid-up capital that is needed for Pvt. Ltd. Company registration. Another key feature of a private company is that it has a never-ending existence even if the owner dies or is bankrupt, the company will hold its existence.
Benefits of Private Limited Company Registration
Necessary Documents for Private Limited Company Registration
Memorandum of Association (MoA) and Articles of Association (AoA) of the company.
Declaration of Subscribers and Directors.
The applicant must submit an address proof of the registered office of the company.
Utility Bills such as water bill, telephone bill, gas bill, electricity bill, etc. The submitted utility bills must not be older than two months.
Certificate of Incorporation, if there is any foreign body corporate.
If required, a resolution approved by the global corporation.
If required, a declaration recommendation by the promotional company.
If required, the interest of the proposed directors from other companies.
Nominee's consent.
Nominee and shareholders have to provide their residential address and identity proof.
Address proof and Identity proof of all the directors.
The declaration or resolution of unregistered companies.
Any other document, if asked by the authorities.
For AGILE-PRO
Documents supporting address verification of company registered address.
Appointment proof of Authorized Signatory for GSTIN.
Certified copy of Resolution or Authorization Letter approved by the BOD (Board of Directors).
Managing Committee
Acceptance Letter
For opening a bank account, address proof and identity proof of Authorized Signatory.
Specimen signature of Authorized Signatory for EPFO.
Private Limited Company Registration- Online Process
SPICe+ form put forward ten different services via three central government ministries and divisions, such as the Ministry of Labour, Department of Revenue, Ministry of Finance, and Ministry of Corporate Affairs (MCA). SPICe+ form does not waste the time of the applicants as well as the government officials. The forms filed along SPICe+ are SPICe+MoA, SPICe+AoA, AGILE-PRO.
Registration procedure for Private Limited Company:
The applicant entity has to visit the MCA's official site (Ministry of Corporate Affairs), and under the 'MCA Services' applicant has to click 'SPICe+.'
In the next step, an applicant has to choose 'New Application.'
Under 'New Application,' the applicant can choose 'Existing Application' and in that he/she has to fill the application number with the anticipated name and then click on 'Type of Company.'
Now click on 'Class of Company' and then choose 'Category of Company.'
Now the applicant entity has to choose the sub-category of the company by clicking on 'Sub-Category.'
Now in this step, the applicant entity has to mention the Main division of industrial activity of the company.
In the next step, the applicant entity has to submit details of the company's selected name and then click on ‘Auto-Check’ to check that the selected name satisfies the rules and regulations regarding name selection. Now the applicant has to submit the Part- A form for name reservation and continue with the further registration process.
Part- B of the SPICe+ form has different segments for ‘check form.’
Following are the requisite details:
Location of the registered office of the proposed company.
Information regarding the proposed directors and subscribers.
Details regarding the Resources of the company
TAN and PAN application for Tax Registration
After all requisite details are provided, a confirmation will appear on the screen on the form's successful submission. A pre-examination of the provided information for any mistakes is advisable.
In this step, the applicant has to download the Part- B of the SPICe+ form in the prescribed PDF format for affixing the DSC (Digital Signature Certificate) for the intention of filling up any correlated forms along with Part- B of SPICe+. The various forms correlated with SPICe+ are SPICe+AoA, SPICe+MoA, AGILE-PRO, URC-1, and INC-9. The applicant has to upload the SPICe+ form and other correlated forms on the official portal of the Ministry of Corporate Affairs (MCA).
After the applicant has uploaded all the necessary documents, a service request number will be generated for the payment for private limited company registration. After the successful payment, the forms will be processed.
If any errors in the submitted SPICe+ form or the form require resubmission, the SPICe+ form has to be resubmitted in the same format.
Conclusion
A Private Limited Company is a privately held company for small businesses, which is the most recommended way to commence a business in India. The process of private limited company registration is governed by the provisions of the Companies Act of 2013. Every private limited company must use "Pvt. Ltd." after their name. There is no minimum paid-up capital that is needed for Pvt. Ltd. Company registration. Another key feature of a private company is that it has a never-ending existence even if the owner dies or is bankrupt, the company will hold its existence.