What is Private Limited Company Incorporation Overview
Private Limited Company is the most popular corporate entity that is registered extensively in India. It is governed by the MCA (Ministry of Corporate Affairs) and regulated by the Companies Act, 2013 and the Companies Incorporation Rules, 2014. Taxcom Technologies can help you with company registration across India at a very competitive price. We will help you with company formation procedures and new company formation procedures. All the company registration information will be given to you by our experts.
Documents required for Company Incorporation
Directors and Shareholders
- Copy of the Pan Card
- Copy of Aadhaar Card & Voter Identity Card / Passport / Driving License
- Passport size photograph
- Copy of Bank Statement
Documents of Proposed Company where the Registered Office will be located
- No – Objection (NOC) letter from the Owner of the Address to use the address of the registered office of the Company.
- Electricity Bill/Telephone Bill /Gas Bill/ Water Bill -To be signed by the the Owner of Premises
What you will get
- Company Incorporation Certificate
- Registration fees and stamp duty
- PAN and TAN of the Company
- Drafting MOA & AOA of the Company
- DIN and DSC for two Directors
- Share Certificates
- ESIC and PF Registration
- GST Registration Certificate
- Udyam Registration Certificate
- Bank account Opening Support
Advantages of Private Limited Company
The following are the major advantages of incorporating a private limited company in India versus other entity types.
- Separate Legal Entity
A company is both a legal entity and a juristic person. Therefore, a company has broad legal rights to like acquiring property, incurring debts, hiring people, etc. As a company is a separate legal entity, the company’s members (shareholders or directors) are not personally liable for the company’s liability.
- Limited Liability
A private limited company is a separate legal entity with limited liability provisions. Therefore, the shareholders are not liable for the losses of the company – for an amount more than what was invested by them into the company as share capital.
- Uninterrupted Existence
A company has ‘perpetual succession,’ which means it will continue to exist until it is legally dissolved. Because a company is a separate legal entity, it is unaffected by the death or other departure of any of its members, and it continues to exist regardless of membership changes.
- Fund Raising
A private limited company has multiple options for fundraising. A company can raise funds from shareholders, investors, angels, venture capital funds, private equity funds, foreign funds, NBFCs, banks and other financial institutions. Only a company can raise debt and equity funds from investors.
Disadvantages of Private Limited Company
While a company has various advantages, registering a company may not be ideal for all entrepreneurs due to the following reasons:
- Compliances
A company has to mandatorily maintain various compliances irrespective of business turnover or activity. Hence, operating a company involves a minimum recurring cost each year.