In recent times, starting a business in India has enhanced and has become better notably. In the meantime, the government has also helped the small firms by introducing many schemes which has contributed to the growth. Here, comes the question that what are the legal documents that are required to do Private Limited Company Registration.
Alonika, the Chartered Accountant Firm in Jaipur has deep knowledge and experience to tell about the documents related to Company Registration in Jaipur. When a private company has started its business whether its retailing or services, the company’s very step before entering the market, should be to get itself a Company Registration in Jaipur.
Therefore, the write-up will talk about all the needed documents to register your firm in Jaipur.
In India, there are various types of business structures
#1 One-Man Company (OPC)
In 2013, the Indian government approved a new type of business organization known as the One Person Company. A sole proprietor or sole owner can now launch his own small business. It allows a solo entrepreneur to maintain his firm while remaining in the corporate sector.
Before the government’s initiative, sole proprietorship companies could not be incorporated, and a minimum of two directors were necessary to start a small corporation. The members/owners of this corporation are only liable for the shares they brought into the company.
The advantage of establishing this sort of service is that it is simple to operate, and the owners may simply obtain a loan from a bank because such a company is legally recognized under company legislation.
#2 Limited Liability Company (LLP)
A Limited Liability Company is a separate legal entity, and the partners in such a company are only liable for their agreed-upon contribution to the company.
A limited liability partnership (LLP) is a flexible corporate form that separates personal and business liabilities. It is a business structure that exists for a short time and is not liable for any debts incurred by the business, unlike other business structures.
#3 Public Limited Company (PLC)
It is a sort of business that is incorporated under company law and is made up of a voluntary association of members. The members’ liability is restricted to the shares they brought into the firm. The company is a legal entity distinct from its members.
#4 Private Limited Company Incorporation in Jaipur
A private limited company is a company with a minimum of two members and a maximum of 200 members. This firm’s funds cannot be raised from the general public, hence the corporation cannot publicly issue shares.
Because the company is recognized as a separate legal entity from its owners, there is no paid-up capital necessary, to begin with, this sort of organization. The responsibility of the company’s owners is limited to the amount invested in the company.
Furthermore, the shares are easily transferable to other individuals, and the corporation can issue debentures to the public and collect capital from them.
About the Legal documents to register your business in India
There is a certain way that is needed to be followed to get a Private Limited Company Registration easily as per the Companies Act 2013. However, there are four legal documents to register a small firm in Jaipur (India).
Obtaining a Certificate of Digital Signature (DSC)
The private corporation is required to apply for the DSC. It is an e-signature that aids in the completion of the company registration process in India online. After providing the required paperwork, obtaining a DSC takes nearly two days.
Getting Your Director Identification Number (DIN)
The next step is to apply for a director identification number. It is necessary to obtain a DIN, according to the amended act of 2006. The company’s director must file a DIN e-form, which may be obtained from the official State Ministry of Corporate Affairs.
After acquiring the DIN, the director must notify the company’s members using the DIN-2 form. The firm must then notify the Registrar of Corporate of all the DIN of the directors using the DIN-3 form. The director can make adjustments to the DIN using the DIN-4 form. Details such as the address, contact number, and name are examples of such modifications.
Obtaining a Director Identification Number (DIN)
The following step is to obtain a director identification number. According to the modified statute of 2006, obtaining a DIN is required. A DIN e-form, which can be accessed from the official State Ministry of Corporate Affairs, must be filed by the company’s director.
Following the receipt of the DIN, the director must notify the company’s members using the DIN-2 form. The firm must then use the DIN-3 form to notify the Registrar of Corporate of all the directors’ DIN.
The DIN-4 form can be used by the director to make changes to the DIN. Details like the address, phone number, and name are instances of such changes.
Obtaining an Incorporation Certificate
The final step is to obtain an incorporation certificate. It is a legal document that validates the company’s incorporation formation and brings it into existence. It contains the following information:
The name of the company, as well as its abbreviation, Names, addresses, and other contact information for the managers, secretary, and proposed directors
A statement outlining the company’s mission. The address of the registered office and the name of the registered agent. The number of shares authorized to be issued, as well as a description of the various types of stocks that the company may issue if more than one type is authorized.
New entrepreneurs benefit greatly from company formation. All of these legal requirements to register a small firm are critical since they not only increase a small firm’s credibility but also safeguard it from threats. It increases the company’s goodwill and reputation while also attracting customers’ attention.
Still, confused? No worry, Alonika the CA firm in Jaipur is there to help and guide you about the Private Limited Company Registration for the growth & development of your business.