{"id":1748,"date":"2023-05-25T03:15:13","date_gmt":"2023-05-25T03:15:13","guid":{"rendered":"https:\/\/dev.taxadwise.com\/?p=1748"},"modified":"2023-05-31T05:59:25","modified_gmt":"2023-05-31T05:59:25","slug":"private-limited-company","status":"publish","type":"post","link":"https:\/\/dev.taxadwise.com\/private-limited-company\/","title":{"rendered":"Private Limited Company"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\">How to Register a Private Limited Company in India<\/h2>\n\n\n\n<p>About Private Limited Company in India:<br>A Private Limited Company (PLC) is the most common type of legal entity preferred by Indian entrepreneurs and popular startups like Flipkart, PhonePe, and Swiggy. It is governed by the Companies Act, 2013, and requires a minimum of 2 Directors and 2 Shareholders with one of the Directors being an Indian Resident and Citizen.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Incorporation Requirements:<\/h2>\n\n\n\n<p>To register a Private Limited Company in India, the following are the minimum requirements:<\/p>\n\n\n\n<ul>\n<li>2 Directors \u2013 1 Indian National and Indian Resident<\/li>\n\n\n\n<li>2 Shareholders \u2013 The Directors can be shareholders<\/li>\n\n\n\n<li>Registered Office in India<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Process of Company Registration:<\/h2>\n\n\n\n<p>The following are the steps involved in registering a Private Limited Company in India:<\/p>\n\n\n\n<ol>\n<li>RUN Name Approval<\/li>\n\n\n\n<li>Digital Signature for Directors<\/li>\n\n\n\n<li>Incorporation Application Submission<\/li>\n<\/ol>\n\n\n\n<h2 class=\"wp-block-heading\">Documentation Required:<\/h2>\n\n\n\n<p>The proposed Directors of a Private Limited Company must present the following documents as proof of identification to register a company:<\/p>\n\n\n\n<ul>\n<li>Indian Nationals: PAN card mandatory<\/li>\n\n\n\n<li>Foreign Nationals: Passport is mandatory<br>In addition to the above document, the Directors must submit one of the following documents that contain the address of the Director:<\/li>\n\n\n\n<li>Indian Nationals: Passport \/ Driver\u2019s License \/ Election ID \/ Ration Card \/ Aadhar ID<\/li>\n\n\n\n<li>Foreign Nationals: Drivers License \/ Bank Statement \/ Residence Card<br>Finally, as proof of residency, the prospective Directors must produce one of the following documents. This document must have been generated within the last two months:<\/li>\n\n\n\n<li>Indian Nationals: Bank Statement \/ Electricity Bill \/ Phone Bill<\/li>\n\n\n\n<li>Foreign Nationals: Bank Statement \/ Electricity Bill \/ Phone Bill<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Other Considerations:<\/h2>\n\n\n\n<ul>\n<li>100% Foreign Direct Ownership (FDI) is permitted in most sectors in India, and there is no restriction on foreign shareholding of a Private Limited Company.<\/li>\n\n\n\n<li>A company can be started in India with a very minimum amount of capital. There is no fixed amount, and the shareholders of the company being incorporated can determine the capital they wish to contribute.<\/li>\n<\/ul>\n\n\n\n<p>Private Limited Company Compliances in India<\/p>\n\n\n\n<p>After registering a company in India, it is essential to comply with various regulations to avoid legal issues and penalties. This article outlines the compliances a private limited company must adhere to after incorporation.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Incorporation Process<\/h2>\n\n\n\n<p>During the incorporation process, a private limited company must complete the following:<\/p>\n\n\n\n<ul>\n<li>Appoint a licensed Chartered Accountant as an auditor within 30 days of incorporation.<\/li>\n\n\n\n<li>Obtain a Director Identification Number (DIN) for all directors and complete DIN KYC annually.<\/li>\n\n\n\n<li>Open a bank current account and deposit the subscription amount mentioned in the MOA of the company within 180 days of incorporation to obtain a commencement of business certificate.<\/li>\n\n\n\n<li>File financial statements with the Ministry of Corporate Affairs each financial year using Form MGT-7 and Form AOC-4, digitally signed by the directors and a practicing professional.<\/li>\n\n\n\n<li>File an income tax return using Form ITR-6 each financial year before the due date, regardless of the incorporation date.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Documentation and Other Considerations<\/h2>\n\n\n\n<ul>\n<li>All private limited companies registered in India must maintain a registered office with a board displaying the company name, which should be a place where notices and communications can be served.<\/li>\n\n\n\n<li>The registered office can be changed after incorporation, but the process varies depending on whether it is within the same city or state or a different one.<\/li>\n\n\n\n<li>GST registration is optional during the incorporation process but mandatory if the company crosses the turnover limit. Refer to our detailed guide on GST registration in India for more information.<\/li>\n<\/ul>\n\n\n\n<p>By complying with the above regulations, private limited companies in India can operate smoothly and avoid legal issues.<\/p>\n\n\n\n<p>Conclusion:<br>Registering a Private Limited Company in India can be done online through, and the process can be completed in less than 10 days at an affordable price. By fulfilling the necessary requirements and following the above steps, one can easily start and operate a business as a Private Limited Company in India.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Documents Required:<\/h2>\n\n\n\n<ul>\n<li>PAN Card<\/li>\n\n\n\n<li>Passport (Foreign Nationals Only)<\/li>\n\n\n\n<li>Aadhaar Card<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Pricing: \u20b96000 Onwards<\/h2>\n","protected":false},"excerpt":{"rendered":"<p>How to Register a Private Limited Company in India About Private Limited Company in India:A Private Limited Company (PLC) is the most common type of legal entity preferred by Indian entrepreneurs and popular startups like Flipkart, PhonePe, and Swiggy. It is governed by the Companies Act, 2013, and requires a minimum of 2 Directors and&#8230;<\/p>\n","protected":false},"author":1,"featured_media":2118,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false,"footnotes":""},"categories":[17],"tags":[],"_links":{"self":[{"href":"https:\/\/dev.taxadwise.com\/wp-json\/wp\/v2\/posts\/1748"}],"collection":[{"href":"https:\/\/dev.taxadwise.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dev.taxadwise.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dev.taxadwise.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dev.taxadwise.com\/wp-json\/wp\/v2\/comments?post=1748"}],"version-history":[{"count":3,"href":"https:\/\/dev.taxadwise.com\/wp-json\/wp\/v2\/posts\/1748\/revisions"}],"predecessor-version":[{"id":2001,"href":"https:\/\/dev.taxadwise.com\/wp-json\/wp\/v2\/posts\/1748\/revisions\/2001"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dev.taxadwise.com\/wp-json\/wp\/v2\/media\/2118"}],"wp:attachment":[{"href":"https:\/\/dev.taxadwise.com\/wp-json\/wp\/v2\/media?parent=1748"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dev.taxadwise.com\/wp-json\/wp\/v2\/categories?post=1748"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dev.taxadwise.com\/wp-json\/wp\/v2\/tags?post=1748"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}