Private Limited Company Registration Requirements

by Compliance Calendar LLP compliance calendar

Starting something beyond your comfort zone needs a lot of determination, passion, and encouragement. There is an old saying in English “Nothing Ventured, Nothing Gained.” It essentially means that if you don’t engage in new experiences, you don’t gain new perspective. This holds a true story from the ancient sailor who explored new land to the modern entrepreneurs who have built remote online business. Life continues to reward those who venture into unknown.

Do you also dream to become an entrepreneur?

If yes, continue reading this write-up. The truth is we all dream and aspire to become our own bosses and Entrepreneurship is segment which allows us to fulfill all that we can desire of. Here you can make your own rules and you are not constantly answerable to someone above you. While these insights may push adrenaline to rush and register a company, there are negative side to it as well if you are not open to learning, exploring, and making mistakes.

Many people leave 9-5 job only to realise later that they are working day in and day out including overnight shift without any relaxation break. Being a startup founder can be tiring, exhausting and a lonely journey when your own family and friends stop believing in you. Jobs give us security and fixed income which are not the case if you are building a startup. But as they say, where there is high risk, there is high reward too. Every day we hear a lot many companies getting funded and a startup founder becomes Millionaire or Billionaire in 5-10 years which are not the usual case while doing a full-time job.

Deciding to become an entrepreneur is not enough to become successful.

If you are treading the path of becoming an entrepreneur, you should be resilient and must have belief in yourself. You should work on your idea and give your level best to create the MVP. There are various other requirements to begin with and one among them is to choose the type of correct business structure for your venture.

Vision and scale of the business makes the choice easier in choosing the right business structure

The business structure significantly affects the success path of the business. Even if you have a chance to change it later, you must make a wise choice in the first place itself. In this write-up, we will talk about the entrepreneurs first preference that is Private Limited Company Registration Requirements.

As per The Companies Act 2013, basic requirements to form a private limited company are as follows:

Age Criteria

Any person who is above 18 years of age and is of sound mind is eligible to register a Private Limited Company in India. He must have valid PAN card which contains ten-digit unique alpha-numeric number issued by Income Tax Department.

Educational Requirement

There is no minimum qualifications requirement to register a company. All you need is the business mindset, specific set of believes, strategy, idea, and plan.

Minimum 2 directors

A Pvt Ltd Company must have at least 2 directors, with the maximum of fifteen. One director of the company must be a resident of India which means he should have stayed in India for at least one eighty-two days during the financial year.

Registered Office

For Company registration, you need to submit the proof of registered address which can be Electricity Bill/ Mobile Bill/Telephone Bill/ Gas Bill with the NOC from the owner of the property and Rent Agreement produced on the name of the company.

REQUIRED DOCUMENTS TO REGISTER A COMPANY

1. Self-attested copy of PAN Card

It is mandatory for all the directors/shareholders to submit their PAN Card copy. If any director does not have the PAN Card, it is advisable to first file an application for PAN and then start incorporation procedure.

2. Self-Attested copy of Identity Proof

After PAN Card, copy of anyone of the following Identity Proof

Passport/Voter Id/ Driving license shall be submitted to the MCA for verification process.

3. Current Address Proof

Bank statement/Electricity Bill/Mobile Bill/ Gas Bill/ Telephone Bill

(Anyone of the above utility bill must be submitted and it should not be older than two months from date of submission to MCA. The complete name and address as per the Identity proof. Any mismatch can cause trouble.)

Do you need to visit Govt. Department to register Private Limited Company?

You would be glad to know that MCA has made the Registration process completely online. However, never give the work to an amateur or consultant without having a professional like company secretary or chartered accountant since it’s a legal procedure. Therefore, it is highly advised to get your company registration work done from professionals.

FREQUENTLY ASKED QUESTION

Q1. What are the minimum requirements to register a Private Limited Company?

Ans. To register a Private Limited Company, the following are the minimum requirements:

• 2 Directors, one of which must be an Indian resident and an Indian Citizen.

• 2 shareholders and both can be a natural person or a legal entity.

• 1 Registered office address of the company.

• Basic KYC of Promoters and Company should be available.

Q2. Is it mandatory to add a Private Limited after the company’s name ex. XYZ PVT LTD?

Ans. Yes, if your company is incorporated as a Private Limited Company, it is mandatory to add a Private Limited Company after the company’s name.

How can we help you to register company from the comfort of your home?

At Compliance Calendar LLP, we have dedicated team of Professionals who are experts in their fields and will guide you to towards what is the best for your business. With you, you will be at ease as our team will give you complete handholding support right from the compilation of KYC documents to drafting of Main objects of your company.

We will be there for you till MCA issues the Certificate of Incorporation. Not only this, but we will also guide you in your post incorporation compliances like first auditor appointment, commencement of business and others. If you have any query, feel free to connect with us at info@ccoffice.in or call at 9988424211.