Public Limited Company Registration In Delhi

Overview

Public Limited Company Registration In Delhi in which companies enjoy all the rights of a corporate entity with limited liabilities and is an ideal choice for small and medium scale enterprises who wish to raise equity capital from the general public.

Just like other companies, Public Ltd. The company is also registered as per the rules and regulations of the Companies Act, 2013. A Public Limited Company Registration In Delhi enjoys the benefits of limited liabilities for its members and has the right to sell its shares for raising the capital of the company.

It can be incorporated with a minimum number of three directors and has more stringent rules and regulations as compared to a Pvt. Ltd. Company.

It must have a minimum number of seven members whereas there is no limit for the maximum number of members.

It provides all the benefits of a private limited company along with more transparency and easy transferability of ownership and shareholding. Name, shares, formation, number of members, management and directors, etc differentiates any Public limited company from the private limited companies.

What is the difference between the Public limited Company and the Private Limited Company?

There are various points of difference between both these companies. Here are some chief differences between both :

Point Of Difference	Public Limited Company	Private Limited Company
Members	Minimum: 7 Maximum: No Limit	Minimum: 2 Maximum: 200
Directors	Minimum: 3	Minimum: 2
Public Invitations	Yes	No
Minimum Capital Income	No	No
Issuance Of Prospectus	Required	Not Required
Name Differences	Must have “Limited” at the end of its name	Must have PVT LTD at the end of its name
Mandatory Statutory Meeting	Yes	No
Managerial Remunerations	There are no as such restrictions	Cannot exceed the limit of 11/% of the net profit
Stock Exchange	Is listed on stock exchange and stock trade is carried out publicly.	Not listed on stock exchange neither carry out stock trade publicly.

Benefits of Registration

Here are the benefits provided to the company with Public Ltd. company registration

Limited Liabilities For The Shareholders Of The Company

Shareholders of the public company enjoy the benefits of limited liabilities under which their assets are safe and cannot be used to clear the debts and losses of the company. Despite it, the shareholders are responsible for their legal offenses. All the members, directors, and shareholders enjoy this right and their assets cannot be seized by any bank, creditors, or government bodies.

Perpetual Succession

A public limited company is considered a corporate body that has perpetual succession. This means in case of death, retirement, insanity, and insolvency of one or more members/shareholders/ directors, the company continues its existence.

Improved Capital Of The Company

In a public limited company, the general public is invited to buy the shares of the company. Hence, anyone can invest in a public company that improves the capital of the proposed company.

Borrowing Capacity

A public company can enjoy unlimited sources for borrowing funds. It can issue equity, debentures and can accept the deposits from the general public by selling its shares. Moreover, most financial institutions find public companies more prominent than other unregistered companies.

Fewer Risks

Since public companies can sell their shares to the public, it lesser the scope of unsystematic risks of the market.

Better Opportunities For Growth And Expansion Of The Company :

Fewer risks lead to better opportunities so that the company can grow and expand by investing in new projects from the funds raised by selling its shares in the market.

What are the basic requirements of Online Public Ltd. Company Registration in India ?

According to the provisions of the Companies Act, 2013 here are the requirements you need to fulfill to incorporate a Public company in India:

The proposed company must have a minimum number of 7 shareholders
The proposed company must have a minimum number of 3 directors
No minimum capital required
At least one director should have a Digital Signature Certificate
Memorandum of Association and Article of Association.
After approval from the Registrar of the Companies, the proposed public company has to apply for the “Certificate of Business Commencement.”

Documents Required for Public Limited Company Registration

Identity Proof such as Aadhar card, PAN card, Driving License, Voter Id of all the designated directors and shareholders.
Address Proof of all the proposed directors and shareholders of the company.
PAN card details of all the directors and shareholders
Utility bills such as telephone, gas, water, or electricity bill of the registered office as a residential proof of the business place. It should not be older than 2 months.
A NOC or No Objection Certificate from the landlord of the business place.
DSC or Digital Signature Certificate of the designated directors

To get start with Public Limited Company, reach CA in Delhi homepage.

Private Limited Company Registration process

Private Limited Company In Delhi | Registration | Process | Documents Required

What is Private Limited Company

A Private Limited Company In Delhi Registration is a privately maintained small business existence, which is one of the highly recommended means to start a business in India. The Companies Act 2013 governs Pvt. Ltd. company registration in India. While, minimum of 2 shareholders are required to start a private company, the higher limit of members is 200 as per the Companies Act, 2013. If a private limited company faces financial risk, its shareholders are not subject to sell their personal assets, i.e. they ought to have limited liability.

For online company registration, there must be a least of 2 directors while a maximum of 15 directors can be appointed in a company. The proposed director must have attained the age of 18 years. A foreign national can also become a director of a private limited company in India. There is no minimum paid-up capital required for a Pvt. Ltd. company registration. Every private limited company must use “Pvt.Ltd.” after their name.

A private limited company has never-ending existence, Pvt. limited company holds on existing even in the case of death or bankruptcy of its Members. A private limited company does not have any relationship with the public; they aren’t permitted to ask for any collateral from the public or public sectors. In a private limited company, people are not entitled to transfer shares, which protects takeovers of private limited companies from big enterprises.

Benefits of Pvt. Ltd. company registration

EASE OF FORMATION: A Private Limited Company can be formed by two persons only, by complying with the prescribed formalities of the Companies Act. With Spice forms, this is the fastest way to register a company
SEPARATE LEGAL ENTITY: The biggest advantage of a Private Limited Company is that its identity is distinct from that of its members. A company is a separate person having its own rights & Obligations.
PERPETUAL SUCCESSION: In case of the death of the owner or transfer of shares, your business won’t get affected and There will be no effect on the firm’s continuance.
LIMITED LIABILITY: The greatest benefit of a Private Limited Company is limited liability. If any liability arises then its member is not personally affected; members are only liable for unpaid shares held by them and not more than that. Stakeholders are not liable for corporate debts and liabilities
GREATER FLEXIBILITY: A Private Limited Company is required to perform lesser legal formalities as compared to a Public Limited Company. It enjoys special exemptions and privileges under the company law. Therefore, in a Private Limited Company, less compliance is required.
SECRECY: A Private Limited Company is not required to publish its accounts or file several documents. Therefore, it is in a better position than a public company to maintain business secrets.
INVESTMENT: Flexibility to raise investments or loans from NRIs and Foreigners. Easy to raise investments and corporate loans
TRANSPARENCY: Private Limited Company enjoys enhanced transparency thus able to win the trust of the general public.
MINIMUM COMPLIANCE: Private Limited Company Registration enjoys enhanced transparency thus able to win the trust of the general public.

What are the rules for picking a name for a private limited company?

The registrar of companies (RoC) across India expects applicants to follow a few naming guidelines. Some of them are subjective, which means that approval can depend on the opinion of the officer handling your application. However, the more closely you follow the rules listed below, the better your chances of approval. First, however, do ensure that your name is available.

How much time is needed for setting up a private limited company in India?

If you have all the documents in order, it will take no longer than 15 days. However, this is dependent on the workload of the registrar.

Do I need to be physically present during this process?

No, new company registration is a fully online process. As all documents are filed electronically, you would not need to be physically present at all. You would need to send us scanned copies of all the required documents & forms.

What documents are required to complete the process?

All directors must provide identity and address proof, as well as a copy of the PAN card (for Indian nationals) and passport (for foreign nationals). No-objection certificate must be submitted by the owner of the registered office premises.

Is it necessary to have a company’s books audited?

Yes, a private limited company must hire an auditor, no matter what its revenues. In fact, an auditor must be appointed within 30 days of incorporation. Compliance is important with a private limited company, given that penalties for non-compliance can run into lakhs of rupees and even lead to the blacklisting of directors.

What is the minimum capital needed to form a private limited company?

There is no minimum capital required for starting a private limited company.

Can the limited liability partnership (LLP) be converted to a private limited company?

No, one cannot convert an LLP into a private limited company as it is not an MCA. The LLP Act, 2008, and the Companies Act, 2013, both don’t have any provisions on the conversion of the LLP is a private limited company. However, if one wants to expand their business they can register a new private limited company with the same name. The LLP company needs to just issue a no-objection certificate.

Can one register a private limited company on their home address?

Yes, the company can be registered at the owner’s home address. A copy of the utility bill is required to be submitted.

Does one have to be present in person for the incorporation of a private limited company?

The entire procedure is done online and one does not have to be present at our office or any other place for the incorporation. A scanned copy of the documents has to be sent via mail. They get the company incorporation certificate from the MCA via courier at the business address.

Can NRIs/foreign nationals become directors in a private limited company?

Yes, an NRI or a foreign national can become a director of a private limited company. He or she must obtain a DIN from the Indian RoC. They can also hold a controlling stake in the company. As long as at least one director on the board of directors is an Indian resident.

For more information, or to get started, reach out to Chartered Accountants from CA in Delhi‘s homepage

Know more about Documents required for Private Limited Company In Delhi

Public Limited Company Registration

Overview

Public Limited Company Registration in which companies enjoy all the rights of a corporate entity with limited liabilities and is an ideal choice for the small and medium scale enterprises who wish to raise equity capital from the general public.

Just like other companies, Public Limited Company is also registered as per the rules and regulations of the Companies Act, 2013. A public Company enjoys the benefits of limited liabilities for its members and has the right to sell its shares for raising the capital of the company.

It can be incorporated with a minimum number of three directors and has more stringent rules and regulations as compared to a Pvt. Ltd. Company.

It must have a minimum number of seven members whereas there is no limit for the maximum number of members.

What is the difference between the Public limited Company and the Private Limited Company?

There are various points of difference between both these companies. Here are some chief differences between both :

Point Of Difference	Public Limited Company	Private Limited Company
Members	Minimum: 7 Maximum: No Limit	Minimum: 2 Maximum: 200
Directors	Minimum: 3	Minimum: 2
Public Invitations	Yes	No
Minimum Capital Income	No	No
Issuance Of Prospectus	Required	Not Required
Name Differences	Must have “Limited” at the end of its name	Must have PVT LTD at the end of its name
Mandatory Statutory Meeting	Yes	No
Managerial Remunerations	There are no as such restrictions	Cannot exceed the limit of 11/% of the net profit
Stock Exchange	Is listed on stock exchange and stock trade is carried out publicly.	Not listed on stock exchange neither carry out stock trade publicly.

Benefits of Public Limited Company

Here are the benefits provided to the company with Public Ltd. company registration

Limited Liabilities For The Shareholders Of The Company

Perpetual Succession

Improved Capital Of The Company

In a public limited company, the general public is invited to buy the shares of the company. Hence, anyone can invest in a public company that improves the capital of the proposed company.

Borrowing Capacity

Fewer Risks

Since public companies can sell their shares to the public, it lesser the scope of unsystematic risks of the market.

Better Opportunities For Growth And Expansion Of The Company :

Fewer risks lead to better opportunities so that the company can grow and expand by investing in new projects from the funds raised by selling its shares in the market.

What are the basic requirements of Online Public Ltd. Company Registration in India ?

According to the provisions of the Companies Act, 2013 here are the requirements you need to fulfill to incorporate a Public company in India:

The proposed company must have a minimum number of 7 shareholders
The proposed company must have a minimum number of 3 directors
No minimum capital required
At least one director should have a Digital Signature Certificate
Memorandum of Association and Article of Association.
After approval from the Registrar of the Companies, the proposed public company has to apply for the “Certificate of Business Commencement.”

Documents Required for Public Limited Company Registration

Identity Proof such as Aadhar card, PAN card, Driving License, Voter Id of all the designated directors and shareholders.
Address Proof of all the proposed directors and shareholders of the company.
PAN card details of all the directors and shareholders
Utility bills such as telephone, gas, water, or electricity bill of the registered office as a residential proof of the business place. It should not be older than 2 months.
A NOC or No Objection Certificate from the landlord of the business place.
DSC or Digital Signature Certificate of the designated directors

Private Limited Company Registration | Process | Documents Required

What is Private Limited Company

A Private Limited Company Registration is a privately maintained small business existence, which is one of the highly recommended means to start a business in India. The Companies Act 2013 governs Pvt. Ltd. company registration in India. While, minimum of 2 shareholders are required to start a private company, the higher limit of members is 200 as per the Companies Act, 2013. If a private limited company faces financial risk, its shareholders are not subject to sell their personal assets, i.e. they ought to have limited liability.

For online company registration, there must be a least of 2 directors while a maximum of 15 directors can be appointed in a company. The proposed director must have attained the age of 18 years. A foreign national can also become a director of a private limited company in India. There is no minimum paid-up capital required for a Pvt. Ltd. company registration. Every private limited company must use “Pvt.Ltd.” after their name.

A private limited company has never-ending existence, Pvt. limited company holds on existing even in the case of death or bankruptcy of its Members. A private limited company does not have any relationship with the public; they aren’t permitted to ask for any collateral from the public or public sectors. In a private limited company, people are not entitled to transfer shares, which protects takeovers of private limited companies from big enterprises.

Benefits of Private Limited Company Registration

EASE OF FORMATION: A Private Limited Company can be formed by two persons only, by complying with the prescribed formalities of the Companies Act. With Spice forms, this is the fastest way to register a company
SEPARATE LEGAL ENTITY: The biggest advantage of a Private Limited Company is that its identity is distinct from that of its members. A company is a separate person having its own rights & Obligations.
PERPETUAL SUCCESSION: In case of the death of the owner or transfer of shares, your business won’t get affected and There will be no effect on the firm’s continuance.
LIMITED LIABILITY: The greatest benefit of a Private Limited Company is limited liability. If any liability arises then its member is not personally affected; members are only liable for unpaid shares held by them and not more than that. Stakeholders are not liable for corporate debts and liabilities
GREATER FLEXIBILITY: A Private Limited Company is required to perform lesser legal formalities as compared to a Public Limited Company. It enjoys special exemptions and privileges under the company law. Therefore, in a Private Limited Company, less compliance is required.
SECRECY: A Private Limited Company is not required to publish its accounts or file several documents. Therefore, it is in a better position than a public company to maintain business secrets.
INVESTMENT: Flexibility to raise investments or loans from NRIs and Foreigners. Easy to raise investments and corporate loans
TRANSPARENCY: Private Limited Company enjoys enhanced transparency thus able to win the trust of the general public.
MINIMUM COMPLIANCE: Private Limited Company Registration enjoys enhanced transparency thus able to win the trust of the general public.

FAQ- Frequently Asked Question