Private Limited Company Registration in Punjab
A company is a form of business organization that is set up under the law. In India, the companies come under the Companies Act 2013. The act identifies two main categories of the companies "Public companies and private companies".
A Private company is a company that is owned and managed by a small group of persons and mostly by their private funds. Section 2(68) of the act defines a private company, " private company" means a company having a minimum paid-up share capital as may be prescribed, and which by its articles
- Restricts the right to transfer its shares;
- Except in the case of One Person Company, The Private Limited Company limits the number of its members to two hundred
The act states that a Private company has to mention the word Private limited or in short PVT LTD in their name for their identification as a Private company. And differentiate it from other types of companies.
Advantages of a Private Limited Company
A company form of organization enjoys a better image than a sole proprietor type of business organization for the reason it is registered under the law.
The main benefits of a company are:
- Limited Liability
- Tax Efficient
- Separate Legal Entity
- Easier to Raise Capital
- Easier to Maintain
- Flexible Management Structure
- Professional Image
- Protection from Creditors
Investors and banks are more likely to provide funds as compared to the sole proprietor business. The company form of business enhances the level of business operations.
The law grants certain relaxations to the private company to encourage investment and business in the economy. These relaxations provide freedom of operations to the company. Some examples of these relaxations are:
- A Private Limited Company can be formed by a minimum of 2 Directors.
- There can be a minimum of 2 members up to 200 members in the Private company.
- The Private company does not have to appoint independent directors on its board.
- The company has the freedom to give greater remuneration to its directors as compared to a public company.
Pvt Ltd Company Registration Process in India
The process of registration of a private company is very simple and completely online. The person desiring to register his company can get his company registered through the Ministry of Corporate Affairs portal. That is www.mca.gov.in. A company is needed to be registered with the registrar of companies (ROC). ROC keeps all the records regarding all the companies in India.
How to register an Online Company in India
There are certain requirements for registering a company. These are:
- Digital signatures or DSC of all the subscribers and DIN of the person desiring to be the directors of the company. All the forms which are filed on the MCA portal require Digital signatures of the signatories
- After getting the DSC the form Spice+ is filled on the portal with the required documents as attachments.
Required Documents for Registration of PVT LTD Company
- Aadhar Card of all the Directors/ Subscriber
- Pan Card of all the Directors/ Subscriber
- DL/Voter ID/ passport, anyone document of all the Directors/ Subscriber
- Bank statement/ Electricity Bill of all the Directors/ Subscriber
- Latest utility bill for proof of Company address
- Rent agreement is required for rented place
Registering a company is a simple process but it requires professional guidance. We at Companify helps you to take a step forward in owning your company by providing you a hassle-free process of company registration. Our team of experts will guide you at each step so that you can make the right decision as per your need. We have different company registration packages as per your requirements.