Question 1

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

Accepted Answer

The registrar of companies (RoC) across India expect 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.

Question 2

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

Accepted Answer

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.

Question 3

Do I need to be physically present during this process?

Accepted Answer

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.

Question 4

What documents are required to complete the process?

Accepted Answer

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.

Question 5

Does a private limited company have continuous existence?

Accepted Answer

Yes, so long as the annual compliances are met, the private limited company will continue to exist. If you do not comply with the requirements, it will go dormant, until it is struck off the register altogether.

Question 6

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

Accepted Answer

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.

Question 7

What are articles of association and memorandum of association?

Accepted Answer

These documents contain the rules, vision and mission of your organisation, and define, among other things, the exact business and the roles and responsibilities of shareholders and directors.

Question 8

Are two directors necessary for a private limited company registration?

Accepted Answer

Yes, a minimum of two directors are needed for a private limited company. The maximum members can be 200. You can register as a one person company, if you are the sole owner of the company.

Question 9

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

Accepted Answer

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

Question 10

Can the director of a private limited company be a salaried person?

Accepted Answer

Yes, a salaried person can become the director in a private limited, LLP or OPC private limited company. One needs to check the employment agreement if that allows for such provisions. In a lot of cases, the employers are quite comfortable with the fact that their employee is a director in another company.

Question 11

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

Accepted Answer

No, one cannot convert an LLP into a private limited company as it is not a MCA. The LLP Act, 2008 and the Companies Act, 2013, both don't have any provisions on conversion of the LLP in 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.

Question 12

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

Accepted Answer

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

Question 13

If there are no partners available, then can one register their family members in the company?

Accepted Answer

Yes, it is good to register a family member as a partner. At a later stage one can change this or transfer shares of the directors.

Question 14

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

Accepted Answer

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.

Question 15

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

Accepted Answer

Yes, a 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

Private Limited Company Registration

Start Your Company Registration
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Private Limited Company Registration

Private Limited Company Registration

Start Your Company RegistrationGet Expert Guidance FREE

Private Limited Company Registration

Start Your Company Registration
Get Expert Guidance FREE