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What is the private limited company registration procedure

Private limited company registration totally online now, there is no need to go anywhere to get the certificate. To start the private limited registration process minimum of 2 persons are required as a director and shareholder (both the person can be the same or different), maximum director can be 15 and shareholder 200.

Private Limited company is registered under the Ministry of corporate affairs (MCA) through the registrar of companies (ROC). It took around 10-15 days to complete the registration process. The company has many benefits like separate legal entity, limited liability, perpetual succession, etc. but there are also certain conditions on a private limited company like restriction on transfer of their share other than its existing shareholder, taxation burden (flat 25% tax on profit), filing of annual compliance of private limited every year, etc.

Once the company is registered there is no need to file any renewal application after a certain period of time. The company is valid till the closing application is filed to the registrar. During its tenure, the company can make any changes in the company like changes in director, company name change, address change, etc. but such changes shall be approved by the registrar of the companies. To start the company registration process, follow the following procedure:

Procedure To Register Private Limited Company:

  1. Name Reservation: The name is very important for every company therefore, it should be unique and approved by the registrar, and if it is approved it is reserved for 20 days and the procedure must be completed in these days otherwise name will get expired.
  2. DSC: To register a company digital signature is very important, without it the company registration application cannot get filed. For the digital signature, there are certain verification has to be made by the applicant, like video, mobile and email verification.
  3. Preparation of Documents: After name approval, there are certain documents that are needed to be prepared and the same shall be signed by the director and shareholder of the proposed company. These documents shall be submitted to the registrar along with the final forms.
  4. Final form submission: Once all documents are prepared the final form shall be filled with all required information, signed and then submitted to the registrar. The DIN allotment application is also made to the registrar along with the company incorporation and if the registrar is satisfied with the details, then he will issue a certificate of incorporation and DIN to the directors of the company.

After incorporation, the company has to appoint an auditor within 30 days from the date of its incorporation.

Documents Required for Private Limited Company Registration:

Director/Shareholder:

  • PAN
  • Photo
  • Aadhaar card
  • Id proof (voter id/ driving license/ passport); anyone
  • Address proof (bank statement/ electricity bill/ mobile bill/ telephone bill); anyone but should not be older than 2 months

Office Address Proof:

  • Sale deed or house tax receipt if owned
  • Rent agreement if rented
  • Utility bill (electricity bill/ mobile bill/ gas bill/ telephone bill); anyone but should not be older than 2 months
  • NOC from the owner of the property.

Also Read: Advantages & Disadvantages Of Private Limited Company

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