If you are planning to start a company, make sure to get it registered as company registration, as it is the most prevalent legal structure for business in India. There can be a minimum of two members or a maximum of fifty members in the private limited company. There are many multiple advantages of registration from – easy to register to easy to dissolve.
Start-ups companies customarily favours private limited company as outside funding is easily raised, limits the accountabilities of its shareholders and permits them to offer employee stock options to boost up the top talent.
Private Limited Company Registration can be easily done through us – jainandpartners (company registration agent). You can totally rely on us, as we can help you with the entire process for company formation procedure. All the company registration support will be given to you by our doyens.
Private Limited Company Benefits
- It is flexible and has a limited obligation
- Better capital contribution and superior stability
- Possibility of growth and expand
- Preferred by banks and investors.
- Easy to allot and redeploy shares to investors or other directors.
- The separate legal entity which limits your liability.
- Offers the advantage of a partnership firm.
- Easy to register, manage and run.
- Easy to dissolve or wind-up.
Steps for Company Registration
- Complete the Simple Form
Initially, you have to fill the simple form and the documentation work is done. For the documentation and the formation of the company, you have to submit documents.
- Application of DSC & DPIN:
After the documentation, the partners will have to apply for DSC (Digital signature) and DPIN. Digital signatures are the online signature used for filing purpose and DPIN is the Directors PIN number issued by MCA. If you are already having DSC and DPIN, then these steps can be skipped.
- Name Approval:
3 different name options for the company are provided to MCA from which one name will be selected. Names should be unique and should represent the company business.
- MOA & AOA Submission:
Once name approval is done, you need to draft Memorandum of Association and Articles of Association. MOA and AOA are filed with the MCA along with the subscription statement
- Get the Incorporation Certificate:
The minimum duration to form a Private limited company and get the incorporation certificate is 15 to 25 days. Incorporation certification is basically proof that the company has been created and it includes CIN number.
- Apply for PAN, TAN and Bank Account:
Once all the formalities are done then you have to apply for PAN and TAN and these are received in 7 working days. After this, you can submit the documentation such as Incorporation certificate, MOA, AOA and PAN with a bank to open a bank account.
Factors to Consider In Company Name Selection
The company name is the first impression for the suppliers, buyers and stakeholders. So the company name should be unique, relevant, suggestive, attractive and legal. There are numerous factors to be considered while naming your company. Some of the important factors are enlisted below:
Short, Simple and Meaningful
The name should be simple, short and meaningful so that people should be able to pronounce and remember the company, once they hear or read it. The company name should be relevant to your business, means it should represent your business and fit the company’s branding. For example, the company name Infosys refers to IT technologies or information systems.
The company name should end with the suffix “Private Ltd” if it is the Private limited company and “LLP” if it is limited liability partnership.
Should not be illegal/offensive
The most important the company name should be legal. It should not be against law, abusive or against the customs and beliefs of any religion.
The company name should not be identical to an existing company or trademark. Also avoid the plural version e.g., “Flipkart’s” or spacing or punctuation marks and changing just letter Case of an existing company name.