Private Limited Company

Description

A Private Limited Company (Pvt Ltd) is a legally recognized business entity in India, offering limited liability protection to its shareholders and a separate legal identity from its owners. It requires a minimum of two directors and two shareholders, with a cap of 200 shareholders. The company enjoys perpetual succession, meaning it continues to exist despite ownership changes. While it provides credibility and ease of fundraising, it also comes with compliance requirements under the Ministry of Corporate Affairs (MCA). This structure is ideal for startups and growing businesses looking for scalability and investor confidence.

• Obtain Digital Signature Certificate (DSC) DSC is required for directors and shareholders to sign electronic documents.
  Apply through Certifying Authorities (CA) like eMudhra, Sify, or NSDL.
• Apply for Director Identification Number (DIN) Every proposed director needs a DIN, which can be applied for in the SPICe+ form.
• Name Reservation (RUN or SPICe+ Part A) Choose a unique company name and apply for approval through SPICe+ (Part A) on the MCA portal.
  Ensure compliance with MCA naming guidelines.
• Draft and File Incorporation Documents (SPICe+ Part B, AGILE-PRO-S, and e-MoA & e-AoA) Submit the SPICe+ (Part B) form along with:
  1. e-MoA (Memorandum of Association) - Defines company objectives.
  2. e-AoA (Articles of Association) - Lays down internal management rules.
  3. AGILE-PRO-S - For GST registration, EPFO, ESIC, and bank account opening.
• PAN & TAN Application Issued automatically along with incorporation via SPICe+ form.
• Issuance of Certificate of Incorporation (COI) Once approved by MCA, you receive a Certificate of Incorporation (COI) with the Corporate Identification Number (CIN).
• Open a Bank Account & Set Up Compliance Open a corporate bank account using the COI, PAN, and other required documents.
  Register for GST, Shops & Establishment, and any other applicable licenses.

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