Top 10 Questions About Company Registration Services in India

September 23, 2015

Top 10 Questions About Company Registration Services in India

To start a new business has never been easy and hassle free. Right from getting it registered to getting it on-board there are million of things that requires your attention. It is a known fact that lengthy registration forms turns business owners off – and there is when Company registration services in India steps in.

The patterns of the businesses have changed in India, and with that the laws, rules and regulations of doing business, and incorporating the same has changed. It is difficult to keep track of these ever evolving rules and regulation hence, choosing Company registration services in India will be a wise decision.


Before you start with one of the company registration services in India, there are few questions that you should know prior to your registration process:-

1. Is It Compulsory To Register The Company?

The process of company registration in India is mandatory and treated as one of the business structures. There are plenty of benefits of incorporating the business. Below mentioned are the most important ones that you should be aware of:

Protection of personal assets
Pay less taxes
Transferable ownership
Easier to create retirement plans
Separate credit rating regardless of an owners personal score
Increased durability

2.What Do Business Owner Needs To Do To Incorporate Business?

To form a corporation, it requires filing incorporation documents with the secretary of state or other state agency that handles business filings. Each state has its own forms, rules and procedures for doing this. After you have filed incorporation papers, you will receive a certificate or other document from the state confirming that your corporation exists.

3.Which Types Of Documents Are Required For The Company Formation?

The documents required during the registration process varies greatly as per the different states of India. However, there is a common information that the state follows include following things like:

Details of at least 2 Directors/Promoters of the company for obtaining DIN (Director identification number)
Date of birth/nationality
Photograph of the proposed director
Copy of passport or similar identification which will be used as photo identification

Thereafter a provisional DIN would be obtained from the Ministry of Company Affairs and a copy would be send for obtaining signature of the applicant. In case of foreign residents the documents i.e. DIN Form, Proof of Identity and Proof of Residence have to be attested by notary of the home country.

Proposed names of the company in order of preference.
Main objects of the proposed company.

4. How Many People Are Required To Incorporate A Private Limited Company?

To incorporate a private limited company, minimum 2 people are required. A private limited company must have at least 2 Directors an have up to maximum of 15 directors. Minimum 2 shareholders and maximum of up to 200 share holders are allowed in a private limited company.

5. What Are The Requirements To Be A Director?

The director needs to be over 18 years of age and must be a natural person. There are no limitations in terms of citizenship or it’s residency. Hence, even a foreign nationals can be directors in an Indian Private Limited Company.

6. What Is The Capital Required To Start a Private Limited Company?

You can start a Private Limited Company with any amount of capital. Though the fees must be paid to the Government of India for issuing a minimum of shares worth INR. 1 Lac. This amount is treated as an authorized capital fees during the registration of the company. There is no requirement to show the proof of capital invested during the registration process.

7. What Is Authorized Capital Fee?

Authorized capital of the company is the amount of shares a company can issue to the shareholders. The companies have to pay the government an authorized capital fee to issues the shares in a company.

8. How Long It Will Take To Incorporate A Company?

Let’s Comply can incorporate a Private Limited Company for in 14-20 days. The time taken for registration will depend on submission of relevant documents by the client and speed of Government Approvals. To ensure speedy registration, please choose a unique name for your Company and ensure you have all the required documents prior to starting the registration process.

9. How Long Is The Registration Of The Company Valid?

Once the Company is incorporated, it will be active and in-existence as long as the annual compliance are met with regularly. In case, annual compliance are not complied with, the Company will become a Dormant Company and maybe struck off from the register after a period of time. A struck-off Company can be revived for a period of upto 20 years.

10. Can Foreign Nationals/NRI Be A Director In A Private Limited Company?

Yes Of course, a NRI or Foreign National can be a Director in a Private Limited Company after obtaining Director Identification Number. However, at least 1 Director on the Board of Directors must be a Resident of India.

Why It Is Important To Hire Business Needs Company Registration Services in India:
Incorporation describes the process of creating a new business structure where that business becomes a recognized entity or person under the law. Once created, this new legal entity can be treated separately from its founders or shareholders, potentially reducing liability for it’s shareholders and gaining other benefits that could help the business grow and thrive long term.

DIY your company formation process means that you need to go through all the documentation and requirements. Not an ideal way to setup a company. Also, the legalities for the company registration services in India are complicated – Company registration services in India.

Company registration in India has forever been a major hassle for entrepreneurs looking to set up their businesses in India. It’s no wonder then that India has been ranked 142nd on the Ease of Doing Business Index and 158th on Ease of Starting a Business. The newly introduced INC-29, a five-in-one form introduced by the Ministry of Corporate Affairs (MCA) in May 2015, will go a long way toward improving this ranking.

The INC-29 doesn’t replace the old procedure (at least not yet), but significantly reduces interaction with the authorities through the clubbing of forms for DIN allotment, name reservation, incorporation, PAN & TAN, as well as ESIC registration. Do note, however, that while INC-29 does begin the PAN & TAN and ESIC registration process, you are still required to submit supporting documents and information on the MCA’s e-biz ( portal (so for now it not clear why PAN, TAN and ESIC details are asked; perhaps the government plans to integrate these later). The INC-29 form has tremendous ramifications on the registration process. If you have registered a company prior to May 2015, you will immediately recognize how much smoother this process can be.

Let’s Comply is committed to help entrepreneurs and business owners to start, manage and grow their business by simplifying everything related to legal, financial & taxation related regulatory framework of business so that they focus on innovation and expansion without having concern about compliance, which matters the most. The company offers services like Company formation, Setting up business in India, New Company Registration in India, Statutory Compliance, Digital Signature, Trademark/Copyright/Patent registration.

Their esteemed client list includes names like State Bank of India, Fortis Escorts, Fashion TV, Barista, GAIL, JBM Group.

When discussing leaders like Let’s Comply in the legal segment of India, there are other prominent names like BMC Consultancy Services, Pramod Gupta & Company, D. Batra & Co., Treelife Consulting, Legal Fin India are the best legal advisory companies of India that are geared to offer sound legal and personalized proactive services ranging from business formation to business support.


September 23, 2015

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14 thoughts on “Top 10 Questions About Company Registration Services in India”

  1. To setup a new business, one has to identify the right business for themselves. For more clarity proper planning is required.

  2. Now a days everyone wants to work on his/her own ideas to give the unique services, products, and values to this world and to innovate the things to make this world better smarter and faster is doesn’t matter what type of services and products you are providing to this world its matter is your contribution to market !
    So, Well Company Registration is required for all the business person who really want to contribute to this world on his own ideas which provides services,values and products technically company registration gives you authorization of start or run your business and company legally under the Acts and Laws of Companies Acts and Government Guidelines.

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