Eligibility Criteria for Private Limited Company Registration

As per the Companies Act, 2013, the private limited company must fulfill the below criteria before applying for the registration process in India.

• A company must have a minimum of two directors and a maximum of fifteen. One member must be a resident of India.
• There should be a minimum of two shareholders and a maximum of 200 shareholders.
• The name must be unique, and it should not be similar to any existing company name or trademark in India.
• The minimum capital amount required for a Private Limited company should be Rs. 1 lakh.
• The registered address of the company should be a commercial space, even the rented home can be registered as an office, as long as NOC is taken from the landlord.

Document requirements to register a Private Limited Company

• Self-attested copy of identity proof of all the Directors and Shareholders. Any one of the following can be used as proof of identification.
  • Self-attested PAN card copy
  • PAN card
  • Aadhar card
  • Driving license
  • Passport

• Address proof of all the directors and shareholders. Any one of the following can be used as company address proof:
  • Latest telephone bill (not older than 2 months)
  • Latest electricity bill (not older than 2 months)
  • Bank account statement showing address
• Director Identification Number (DIN) and Digital Signature Certificate (DSC) of the Directors.

Documents Required for Foreign Nationals

• Passport is mandatory
• Self-attested copy of any one of the Identity Proofs Driving license/ Bank Statement/ Residence Card
• Self-attested copy of any one of the Addresses Proof like Bank Statement / Electricity Bill / Phone Bill
• Board resolution authorizing investment in the company
• Incorporation Certificate of the Company
• Address proof of the company

Process for Private Limited Company Registration in India

Want to know the procedure for the formation of a Private Limited Company in India?

But before jumping into the procedure, you must know that the registration process is not easy, it's complex because of the many compliances involved. Here you don’t need to worry about the process because our expert will assist you at every step.

Well, the procedure for online Pvt Ltd Co incorporation in India is as follows:

Step 1: Obtain Digital Signature Certificate

The Directors of the company must have a digital signature certificate to file the company formation. As the process is completely online, so all the forms are required to have a signature.

A DSC certificate is compulsory for all subscribers and has it in the Memorandum of Association (MoA) and Articles of Association (AoA). The certificate must be Government recognised, and the cost depends on the certifying authority.

Step 2: Apply for Director Identification Number (DIN)

The DIN number must be obtained by the person who wants to be a Director of a company. One DIN is enough to become a director. To obtain the number, fill the SPICe+ Form with details such as the name of the proposed director, PAN card, Aadhar card, and address proof. A maximum of three directors can apply for DIN but if the applicant wants to incorporate more than three directors. Here first the company should be incorporated with three directors and then appoint a new director after incorporation.

Step 3: Get Name Approval

Reserve the name through the SPICe+ form, in this two proposed names can be reserved and one re-submission can be done while reserving Unique Names of the Companies. 

In case the name gets rejected due to any similarity or other reason, the applicant has to refile another SPICe+ form with the prescribed fees. Once the name gets approved, it will be reserved for 20 days. During this time the company must proceed with the incorporation process by submitting Part B of the SPICe+ form.

Another option for name approval is by filing Part-A and Part-B of the SPICe+ Form together: The company can file the name along with the application for incorporation. Part B of the SPICe+ enables applying for incorporation. 

In case of rejection of the application due to non-approval of the name, the applicant will get a chance to refill the same SPICe+ form without any further charges. This means you get two chances to change the name without paying an extra charge of Rs. 1000/- both times. 

After getting the second chance, even if the name gets rejected, then the applicant has to file the SPICe+ form from scratch. So, this option is cheaper as compared to the first one. The whole process of name approval and incorporation takes 2-3 days.

Step 4: Form SPICe+ (INC-32)

The MCA has introduced the Form SPICe+ form for new companies. The process is web-based and it makes the process easier. The online process helps in real-time validation of the incorporation process seamlessly and quickly.

Information filled in Part -A and Part B of the SPICe+ form will be automatically shown in the linked forms such as AGILE PRO, eAoA, eMoA, URC1, and INC-9. Download the forms in PDF and sign digitally. 

Step 5: e-MoA(INC-33) and e-AoA (INC-34)

It is an electronic Memorandum of Association and an electronic Article of Association. These forms have brought the simplified process of company registration in India. Memorandum shows the charter of the company whereas the other hand AoA shows the internal rules and regulations of the company.

First, the MoA and AoA are required to be filed physically. But now these forms are filed online on the MCA portal as a linked form with SPICe+ (INC-32). Both documents must be digitally signed by the subscribers.

Step 6: PAN and TAN Application

With the help of the SPICe+ form, PAN and TAN can be applied. The system will automatically generate the form after the submission of the SPICe+ form. An email containing the certificate of incorporation, PAN and TAN will be sent to the applicant. The PAN card will be issued by the Income Tax Department.

If all the details filled in the form are correct, the MCA will approve the registration and provide a Corporate Identity Number (CIN). Applicants can track the application MCA portal.