A private limited company is a privately held business form. In this type of business entity the liability of the owner is restricted to his/her share in the company. It also restricts the shareholders to publically do trading of shares.
Here is the detailed process of incorporation of Private Limited Company:
Step 1 : The first step is to obtain DSC Digital Signature Certificate(DSC) followed by DIN or Director Identification Number .
Documents submitted for company's registration must have the digital signature of the director. DSC is required on all the forms that are submitted electronically for company registration. It ensures security and authenticity of the documents. The DSC can be obtained from any of the government approved vendor like MTNL, TCS, IBDRT, NIC, e-Mudhra, n-Code solutions.
Documents to get Digital Signature Certificate:
- The Digital Signature Certificate form must be signed by the applicants.
- Rest all the documents are the same as above
- An important point to note here is that all the id and address proof must be attested by the Gazetted Officer or Postmaster or bank manager, rest of the documents must be self-attested. The photograph must also be self-attested.
Director Identification Number/DIN is a unique identification number issued to the existing director or the person who is a probablecandidate to become the director of the company.The DIN has to be applied using DIR-3 form.
Documents Required for Obtaining DIN:
- ID Proof of the directors - PAN card, Voter ID, Passport, Driving Licence, Aadhar Card etc.
- Address Proof- Electricity bill, telephone bill,Ration Card, Voter ID,
- Latest passport size photo
- Current occupation
- Mobile Number
- Email Address
- Educational Qualifications
- All the documents must be verified by the applicants
- In case the director is a foreign national then he/she must submit passport which is mandatory and address proof which shows that the person has been living at the residence. The foreign nation must submit the attested supporting documents by the consulate of Indian Embassy or a foreign public notary can do the attestation for foreign national.
Step 2: Search for company name, check availability and apply to get the name
Once you are through with the process of registering for DIN and DSC , you need to step into the process of finalizing the name for your company. Form No. INC-1 needs to be filled to Registrar of Company for reservation of the company name.
Step 3: One the name is approved by the Registrar of Companies, the next step is to DraftMemorandum of Association and Article of Associations of the company.
- MoA covers the fundamental objectives of the company
- AoA covers the rules and regulation governing the company; moreover, it is like a binding contract between company and its associates. It defines the rights and duties of the members of the company.
Step 4: Filling of Incorporation Forms for getting Certificate of Incorporation
Form INC 7: Details of Promoters of the Company
The following forms need to be uploaded on the MCA portal along with e-form INC-7:
- MoA and AoA
- Declaring the professionalin the Form INC-8
- An affidavit from the subscriber in INC-9
- Residential proof of promoters which shall not be older than 2 months
- ID Proof of promoters
Note: On a case to case basis it is advisable to attach the following documents:
- Passport in case the promoter is a foreign national
- PAN card if promoter is an Indian National
- Certificate of incorporation of foreign body
- In case the company is planning to conduct Non-Banking Financial institution activities then approval granted by RBI must be attached
INC-22: About the location of the registered office.
Documents required to be attached with INC-22:
- Registered office address proof- lease agreement, rent agreement with rent receipts
- Photocopy of utility bills likes telephone bill, mobile bill, electricity, gas bill etc. The bill should not be older than 2 months
- NOC from the owner of the premises, if any
FORM DIR12:which shows information about the directors of the company. Documents which needs to be attached with DIR 12:
- Declaration by the first director in INC-9
- Consent from Director in Form DIR-2.
Step 5: Pay the company registration fee to the Registrar of Companies (ROC) and stamp duty
After filling the online form and attaching the documents you are required to pay the ROC fees and stamp duty.
Step 6: Verification of documents
Once you are through with the process of filling the forms, ROC fees and stamp duty, verification of the form is done by the concerned authority.
Step 7: Issuance of Certificate of Incorporation
Once your form is scrutinized and is approved by ROC, you will be issued the Certificate of Incorporation. Usually, this is emailed to you. After receiving the certificate your company is set to roll out its function.
Our Role: EmpressaLegal helps you with registration process and ensures that all the paper work for incorporation and registration are up to date which leads to timely verification and incorporation. We help you with the registration process of the company. To avail the best professional help for registering your firm and understanding the nitty-gritties of the Company's Law in India, call us or drop us an email.Disclaimer: Statements and opinions expressed in articles are those of the author's personal views.
About the author: Satyendra Kumar Mishra
Satyendra Kumar Mishra is the founder and CEO of EmpressLegal.com which was founded with the singular objective of offerings the highest quality corporate and incorporation services to its clients all over the globe. Since its foundation, EmpressaLegal.com has helped entrepreneurs across India to incorporate their businesses in a fast and secure manner.