Company Registration in India

For fast, flawless, and economical company formationin India and incorporation in places all across entire India, ours internationally admired law firm is now rather famous and popular by Indian and foreign individuals and companies. Superb and punctilious legal services connected with the company law, business and commercial law, intellectual property law, international business, foreign direct investment, labor and employment law, corporate taxation and insurance, and so on, have been ours highly appreciated services of ours internationally prominent IPR law firm of India, which is located in Delhi. For a long time, we have been extending these expert and reliable services in cities all across India, and other countries worldwide, with inspiring success and high commendations. In this truly informative webpage, we are providing comprehensive and vital information about ours internationally reputed company registration services in India.

So far, almost all hugely popular and highly preferred forms of companies have been formed and established in all around the whole country of India, on behalf of Indian and foreign people and companies, inevitably including the varieties of the private limited companies, public limited companies, limited liability partnership companies, unlimited companies, One person Companies, joint ventures, mergers and acquisitions, and branch offices, project offices of international corporations in India and subsidiarycompany in India. These types of companies can be set up in any interested economic fields and anywhere in India, for doing businesses at regional, national, or worldwide levels. The section below offers more information about the process of company registration, and our dutiful and expert company registration services.

List of Documents Required for Company Registration in India

The process for registering a public limited company is almost the same as the private (pvt) company registration process. For registration of both these forms of limited companies, immediately concerned is the registrar of companies (ROC) appointed in the targeted State of India, under the Section 396 of the Indian Companies Act, 2013. Along with impeccable services for private limited company registrations, ours public company registration services too, are internationally reputed. For knowing the difference between the private limited company and the public limited company, please visit our other pertinent articles. All tasks and services that exist during the entire company registration process in India, are handled adroitly by ours well-experienced, expert, and internationally renowned company lawyers. The following are the main and most important documents required during the process of company incorporation in India:

·         Complete Personal Details, along with Proof of Identity and Address.

·         Director Identification Numbers (DINs)

·         Digital Signature Certificates (DSCs)

·         Minimum one and Maximum Six Proposed Names of the company, in order of preference (Form INC  1)

·         Form INC 7 (For Incorporation of a Company)

·         Form INC  22 (associated with the address of the company being registered)

·         Form DIR  12 (related with appointment of Directors)

·         MOA and AOA

REGISTRATION OF PRIVATE LIMITED COMPANY IN INDIA

REGISTRATION OF PRIVATE LIMITED COMPANY IN INDIA:

To Register a Private Limited Company in India, you have to fulfill the following requirements:

Minimum 2 Members.

Minimum capital for the Company should be Rs. 1,00,000/-

Members should have valid individual proofs and identity.

A valid address proof for your registered office address.

Apart from this a Private Limited Company should be properly named. Name of a company has a vital role, it should be unique and have to reflect the business of the company.

Name of a Company contains two parts- Prefix and Suffix. The Prefix should be unique and Suffix has to reflect your company’s main business nature. Check with MCA website to find you name availability, click here.

HOW DO I INCORPORATE MY PRIVATE LIMITED COMPANY:

To Incorporate a Private Limited Company, kindly follow the below four simple steps:

Step 1: Obtain DSC and DIN

To get started with formation of private limited company, you need to get a DSC- Digital Signature Certificate and once obtaining DSC you need to apply for DIN i.e Director Identification Number. This DIN is a unique eight number allotted to the respective Directors of the Private Company. You have to file an e-form DIR-3 to get an DIN, to download the necessary form click here.

Step 2: Name Reservation

For a Private Limited Company you have to apply with six names to the Registrar of Companies i.e. RoC and any one name from the six would be approved. Name has to be applied through Form INC-1 along with the prescribed fee. To know your fee, click here.

Step 3: Submission of Legal Documents

After the allotment of name, in order to complete the process of company registration, you need to draft MOA, AOA and other legal documents, which has to be submitted along with valid registered office address proof. If you don’t have the proof during incorporation, you can submit after incorporation but within 30 days from the date of receipt of Certificate of Incorporation.

Step 4: Certificate of Incorporation

When all the necessary documents are being submitted to the Registrar of Companies, the RoC after verification of documents would issue the Certificate of Incorporation.

POST INCORPORATION PROCESS

The Incorporation is over after the receipt of Certificate from the Registrar of Companies, but Private limited Companies needs to follow certain Post incorporation compliance which is mandatory.

The post incorporation compliance would be as following:

File form for Commencement of Business.

Registered Office address of the Company.

Appointment of Auditor for your company.

Maintenance of Statutory Registers and records.

Convening First Board Meeting and recording it in Minutes Books of the Company.

Apart from this a Private company has to file the Annual returns to the RoC annually without fail. If you need assistance for the above you can avail our retainer services or if you need more information you can check our Start-up tool kit.

To understand the private limited company procedural aspects of same in easy manner, check out our infographics.

If you have any doubts kindly get in touch with us by filing a simple form given in this page http://www.companyformationindia.com/contact-us.html . Our team member would contact you within short span of time to answer your doubts.

THE COMPANIES (AMENDMENT) ACT, 2015 – HIGHLIGHTS

THE COMPANIES (AMENDMENT) ACT, 2015

After implementation of New Companies Act 2014, the Government has made changes in provisions of the New Companies Act 2014 and published “Companies Amendment Act 2015” on 25.05.2015.  This Act came into force on 26.05.2015. The amendment has been made in the requirement of paid up capital, common seal, filing e-form INC-21 with the Registrar for commencement of business,  passing of special resolutions in certain cases and many more requirements which shall not apply henceforth.

Following is the list of comparison between the changed provisions.

Sr. No.	Amendment to Sections	The Companies Act, 2013	The Companies Amendment Act 2015
1	Section 2 Clause 68	Definition of Private Limited Private limited company means company “having minimum paid up share capital of one lakh rupees” or such higher paid up share capital	(i) in clause (68), the words “of one lakh rupees or such higher paid-up share  capital” shall be omitted
2.	Section 2Clause 71	Definition of Public company Private limited company means company which  (a) is not a private limited (b) has a minimum paid up share capital of five lakh rupees or such higher paid up share capital	(ii) in clause (71), in sub-clause (b), the words “of five lakh rupees or such higher paid-up capital,” shall be omitted.
3.	Section  9	Effect of registration	the words “and a common seal” shall be omitted.
4.	Section 11	Commencement of business The company shall be required to file e-form 21 before commencement of business or exercising its borrowing powers.	Section 11 of the principal Act, shall be omitted Filing of e-form 21 with Registrar of company before the commencement of business or exercising its borrowing powersis not required.
5.	Section 12	Registered office of company clause 3(b)“have its name engraved in legible characters on its seal”	In section 12 of the principal Act, in sub-section (3), for clause (b), the followingclause shall be substituted, namely:—“(b) have its name engraved in legible characters on its seal, if any;”.
6.	Section 22	Execution of bills of exchange Refer sub-section (2) of Companies Act 2014 which reads as follows : (2) A company may, by writing under its common seal,authorise any person, either generally or in respect of any specified matters, as its attorney to execute other deeds on its behalf in any place either in or outside India;3) A deed signed by such an attorney on behalf of the company and under his seal shall bind the company and have the effect as if it were made under its common seal.	In section 22 of the principal Act,—(i) in sub-section (2),—(a) for the words “under its common seal”, the words “under its common seal, if any,” shall be substituted;(b) the following proviso shall be inserted, namely:—“Provided that in case a company does not have a common seal, the authorisation under this sub-section shall be made by two directors or by a director and the Company Secretary, wherever the company has appointed a Company Secretary.”(ii) in sub-section (3), the words ‘‘and have the effect as if it were made under its common seal” shall be omitted.
7.	Section 46	Certificate of shares Clause (1) of Section 46 read as follows(1) A certificate, issued under the common seal of the company, specifying the shares held by any person, shall be prima facie evidence of the title of the person to suchshares.	In section 46 of the principal Act, in sub-section (1), for the words “issued under the common seal of the company”, the words “issued under the common seal, if any, of the company or signed by two directors or by a director and the Company Secretary, wherever the company has appointed a Company  Secretary” shall be substituted.
8.	Section 76	Acceptance of deposits from public by certain companies Earlier Section 76A section was not implemented.	Section 76A after Section 76 is inserted Where a company accepts or invites or allows or causes any other person to accept or invite on its behalf any deposit in contravention of the manner or the conditions prescribed under section 73 or section 76 or rules made thereunder or if a company fails to repay the deposit or part thereof or any interest due thereon within the time specified under section 73 or section 76 or rules made thereunder or such further time as may be allowed by the Tribunal under section 73,—(a) the company shall, in addition to the payment of the amount of deposit or part thereof and the interest due, be punishable with fine which shall not be less than one crore rupees but which may extend to ten crore rupees; and(b) every officer of the company who is in default shall be punishable with imprisonment which may extend to seven years or with fine which shall not be less than twenty-five lakh rupees but which may extend to two crore rupees, or with both:Provided that if it is proved that the officer of the company who is in default, has contravened such provisions knowingly or wilfully with the intention to deceivethe company or its shareholders or depositors or creditors or tax authorities, he shall be liable for action under section 447.”.
9.	117	Resolutions and agreements to be filedSub section (3) (g) the resolutions passed in pursuance of sec section (3) of Section 179 and	In section 117 of the principal Act, in sub-section (3),—(i) in clause (g), the word ‘‘and’’ occuring at the end shall be omitted;(ii) after clause (g), the following proviso shall be inserted, namely:—“Provided that no person shall be entitled under section 399 to inspect orobtain copies of such resolutions; and”.
10.	123	Declaration of Dividend There were only three proviso.	In section 123 of the principal Act, in sub-section (1), after the third proviso, the following proviso shall be inserted, namely:—“Provided also that no company shall declare dividend unless carried over previous losses and depreciation not provided in previous year or years are set off against profit of the company for the current year.”

How The Modi Government Is Easing Entrepreneurship – And All That Remains To Be Done

All governments too often gather only flak, regardless of the improvements they see through. Part of this simply comes down to the disparity between actual results and the grand expectations set by campaign speeches. But in focusing on these initial promises, we almost always forget how hard it is to breathe life into a moribund economy. Entrepreneurs, of all people, can appreciate how hard it is to produce change in a large workforce.

To some extent, our pessimism is understandable, given that the media would rather push bad news rather than positive developments. But from where we’re standing – and Vakilsearch has daily interactions with government institutions across India – the developments are often positive, with improving processes and better solutions with the capacity to quicken starting-up and ease running of a business.

Now, don’t get us wrong. It’s still very far from perfect. And if you don’t know how things were, you’ll never believe that it has improved. But take this as an example – while it often takes us up to 45 days to register a new a company, we did so in under 14 days because of a new 5-in-1 form introduced in May 2015.

So let’s give credit where it’s due by going through the improvements. And only then initiate a discussion about what remains to be done.

Doing business in India

With India languishing at 142nd on World Bank’s Doing Business Index, there’s of course, much that we can do to ease entrepreneurship in India. This is no small exercise given the multitude of organisations and thousands of people involved in the processes pan-India. So while we are unlikely to crack the top 50 even a year since the election of the new government, as was discussed, crucial changes have been made:

Simplifying Company Registration: Form INC-29

A private limited or one-person company(OPC) is now simpler and quicker to form, with this form, which combines three separate applications – for the Director Identification Number, company name and final incorporation. So, while entrepreneurs had to previously wait for one procedure to be completed to begin the next, all three are now processed simultaneously. And by the same officer, who will inform you of all the corrections you need to make, if any, at one go. This eliminates the need to run from one department to another, which leads to miscommunication. While there can be improvements to this system too, the INC-29 is a big step in the right direction.

Lowering Cost Of Registration: No Minimum Capital Requirement

The Companies (Amendment) Bill, 2015 has boldly decided to remove the minimum paid-up capital requirement, previously Rs. 1 lakh for private limited companies and OPCs and Rs. 5 lakh for public limited companies. So while a young entrepreneur had to issue share capital worth Rs. 1 lakh, he can issue even Rs. 5000, thus severely reducing the cost of starting-up. If entrepreneurship is a priority, and it most certainly is, this is exactly how to encourage it.

Lessening The Need For Resolutions: Transactions Between Related Parties

The Companies Act, 2013 required a special resolution (votes in favour need to be three times votes against) for even transactions between related parties. This has now been relaxed to only an ordinary resolution (simple majority). More importantly, shareholder approval is no longer required for transactions between holding company and its wholly owned subsidiary, if consolidated accounts are submitted to shareholders for their approval.

Fewer Rules & Deadlines: For All Involved

When dealing with government, you’ll often find the rules to be arbitrary. For example, Form INC-10 required applicants to have their signatures and photograph verified by a banker or notary. While applying for company registration, all directors needed a Digital Signature Certificate (DSC). The company name was reserved for only 60 days, even though the process is most often delayed by the Registrar. Over the past two months, all such problems have been done away with. Only one director may apply for DSC, Form INC-10 can be self-attested, while the name reservation does not expire.

Starting A Business

The top 50 countries to start a business in let entrepreneurs start-up in 7 to 10 days. In India, while incorporation has been shortened, the various licenses and certificates still take around 40 to 50 days to obtain. And there’s duplication everywhere. The Certificate of Incorporation, for example, is enough to obtain a Permanent Account Number, but you need the Certificate of Commencement to get a current account. And even this alone won’t do. You also need to have registered under the Shops and Establishments Act.

Paying Taxes

Particularly when a business is small, entrepreneurs’ lives should be made simpler. But we still live under a system wherein we need several separate government registrations (Service Tax, Professional Tax, SalesTax, Shops and Establishments), which take between 10 and 35 days to obtain, and you need to file taxes bi-annually or monthly for three of these four. It’s not like other countries haven’t solved for this. The US, for example, has simply brought all these processes under one body and enabled all tax payments through the Tax Identification Number. Local businesses here do get a Tax Account Number, but that’s only for tax deducted at source, not for all the other indirect taxes that need to be filed.

Enforcing Contracts

We’re 186th (out of 189) on ease of enforcing contracts. How much more investment could we attract if we can assure foreign investors that contracts they enter into will quickly be enforced by a court of law? Currently, the trial, enforcement and judgement takes up to 1420 days, that’s almost five years, as compared to less than two years in developed nations. Moreover, 46 procedures are involved, as compared to 21 for developed nations. What we need to do is have fast track courts for commercial disputes (arbitration is not as easy as it sounds) and reduce powers of regulators. For more information follow our blog http://buisnessregistration.blogspot.in for resister one-person company,LLP or private limited company