Registering a company in India involves several steps and compliance requirements. Here is a detailed guide to help you understand the process:
1. Choose the Type of Business Entity
- Private Limited Company (Pvt. Ltd.): The most popular choice due to limited liability, easy funding options, and more.
- Public Limited Company: Suitable for larger companies that intend to offer shares to the public.
- One Person Company (OPC): For individual entrepreneurs.
- Limited Liability Partnership (LLP): Offers the flexibility of a partnership with limited liability.
- Sole Proprietorship: Simple and best for single-person operations.
- Partnership Firm: Traditional and simpler, but without limited liability.
2. Choose a Unique Company Name
- Select a unique name not already registered and follow the MCA’s naming guidelines.
- Use the MCA’s portal for a preliminary search to check name availability.
3. Obtain a Digital Signature Certificate (DSC)
- All proposed directors are required to sign electronic documents.
- Apply for DSC through certifying authorities like eMudhra, NSDL, etc.
- Documents needed: PAN, Aadhaar, photo, email ID, and phone number.
4. Obtain Director Identification Number (DIN)
- Apply for DIN for all proposed directors, usually done in the SPICe (INC-32) form during the incorporation process.
- Existing directors can use their previous DIN.
5. Draft the Memorandum of Association (MoA) and Articles of Association (AoA)
- MoA: Defines the company’s objectives, operations, and powers.
- AoA: Outlines the internal rules and management structure.
- The MoA and AoA must comply with the requirements of the Companies Act, 2013.
6. Fill in the SPICe+ Form for Company Registration
- The SPICe+ (INC-32) form allows you to:
- Apply for incorporation.
- Obtain PAN and TAN.
- Apply for GST registration (optional).
- Fill in Part A (name reservation) and Part B (company incorporation and other registrations).
- Attach supporting documents like MoA, AoA, ID/address proof, and address proof for the office.
7. Register the Company Address
- Provide proof of the registered office address, which can be a rental or owned property.
- Submit documents like utility bills (not older than 2 months), and a NOC from the property owner if it’s rented.
8. Pay Fees and Stamp Duty
- Pay fees for company registration and stamp duty based on the authorized capital and state-specific regulations.
9. Certificate of Incorporation (CoI)
- After verification, the Registrar of Companies (RoC) will issue a Certificate of Incorporation (CoI), which includes the Corporate Identity Number (CIN).
10. Apply for PAN and TAN
- Once the CoI is received, PAN and TAN applications are submitted automatically through the SPICe+ form, and they are generated along with the CoI.
11. Opening a Company Bank Account
- Use the CoI, MoA, AoA, PAN, and TAN to open a bank account in the company’s name.
Documents Required for Company Registration
- Directors' Documents: PAN, Aadhaar, address proof, photo, and contact details.
- Registered Office Proof: Utility bill, rental agreement (if applicable), and NOC from the owner.
- Additional Documents: MoA, AoA, consent letters from directors.
Additional Registrations (if applicable)
- GST Registration: Mandatory if turnover exceeds the specified threshold or for certain businesses.
- Professional Tax: Required in some states.
- Employee Provident Fund (EPF) and Employee State Insurance (ESI): Mandatory if you have over 20 employees (EPF) or 10 employees (ESI).
The entire process typically takes 7–10 working days, provided that all documents and information are correct. You can complete the registration online through the Ministry of Corporate Affairs (MCA) portal.