Private limited company registration in Trichy is essential .As of 2016, there are over 10 million active private limited companies in India. The provisions governing private limited companies are contain in the Companies Act. A minimum share capital. The Companies Amendment Act of 2015 remove the minimum payment capital require for the inclusion of private (as well as public) companies in India. Non-Resident Indians (NRIs) and foreigners are allow to set up or invest in private limited companies in India.
Requirements for the private limited company registration in Trichy
A ‘private company‘ is a limited company form with at least 2 shareholders and 2 directors. The members in a private company is limit to 200. This is the maximum number. Shareholders can be individuals, companies or LLPs but for directors of the company only individuals are allow. A director does not have to be a shareholder of a company and shareholders do not necessarily have to be directors.
Shareholders / members are individuals who hold shares in a company.
Company directors are responsible for the management of company affairs and for legal compliance under various laws. Directors are usually appoint by shareholders. Indian company laws state that only one person can be appoint as a company director.
Company name should end with the words ‘Private Limited‘. ‘Private Limited’ is the most widely incorporate business entity in India. This is commonly refer to as a ‘private company’.
Procedure for Private limited company registration in Trichy
Step 1: Name the reserve company
The Ministry calls it RUN (Reserve Unique Name) which allows an applicant to apply for a company name and reserve it in just one day. Research name availability and legitimacy in choosing the right name for your company to avoid unnecessary submissions or rejections. We recommend that you go through our detail article on how to choose a name for your company to avoid mistakes when applying your name.
Step 2: Apply for Class II Digital Signature
Members and directors must have a Class II digital signature to e-sign the forms to file for Pvt Ltd registration. You can get your digital signatures from certified vendors like VSign, eMudhra.
There are various documents like Directors Declaration, Directors Affidavits, No Objection Certificates, and Memorandum of Association & Article of Association.
Step 3: Create Incorporation Documents
Step 4: Apply for Incorporation
If using your name is accept, you can apply for registration immediately after your documents are ready. Incorporation forms have now been convert to integrated forms call as SPICe32, which integrates Incorporation, PAN application, TAN application and GST application into a single form. So if you want GST registration with your company you can choose the same depending on your need or register later.
Step 5: Obtaining a Certificate of Registration
The central team processes the e-Forms in fast track mode. Once approve the Certificate of Incorporation will be issue by the Registrar and the company is now legal.
There is no need to choose company name in advance and apply for the name in an integrated SPICe32 form, but we recommend that you approve the name in advance to save time on name re-submissions during the integration phase.
The trick is to keep your self-prepare before contacting for registration with your propose company names, business objectives abbreviation, and proper capital of your organization and directorship structure, other information and documents. The procedural part should not take more than ten working days on average once things are right.
Benefits of Private limited registration in Trichy
Special Identity: A private limited company is consider as a separate legal entity. It has its own identity and is recognize as a separate entity by law. Also, the company may own the property in its name due to this feature. The company can sue and sue in its own name due to a similar feature.
Stability due to limited liability: The private limited company has this feature of limited financial liability of all shareholders. Liabilities are limit to their shares only. This feature protects the personal assets and income of the shareholders during any financial crisis the company is facing. Also, it gives the company more freedom to take risk.
Long and Continuity of Existence: Private Limited Companies do not affect their own status when it comes to their existence. Death or inability to continue if the employer does not interfere with the activities of the company.
Minimum requirement of shareholders and members:Firstly, Only two members and two shareholders are require to join a private limited company. This gives many entrepreneurs the opportunity to set up their own company.
Ease of Fundraising:Similarly, shareholders are allow up to two hundred and another two hundred members, this number and the reputation of the private limited company makes it easy to raise capital funds compare to other types of companies. Therefore, we can say that the scope of expansion is greater when merging a private limited company. It is very easy to take loans from banks and other financial institutions.
Tax Benefits: They are taxable on taxable profits and are exempt from higher personal income tax rates.
Flexible Relationships: An individual can act as a shareholder, director and employee when considering a private limited company. They are considered reliable too.
On February 4, 2020, the Securities and Exchange Board of India (SEBI) issued a Foreign Notification stating that applicants seeking registration of Foreign Portfolio Investors (FPIs) are require to fill up the CAF and ‘CAF’ Registration and Permanent Account with SEBI Registration and Permanent Account Fee applicable for issuance of number (PAN). Furthermore, designated Depository Participants (DDPs) may accept transit FPI registration applications within a period of 60 days from February 4, 2020, as indicated in the Activity Guidelines issue on 5 November 2019. This notification has been issue. Government of India (GOI) informs the Common Application Form (CAF) Notification dated 27th January 2020:
Registration of Foreign Portfolio Investors (FPIs) with SEBI;
Allocation of Permanent Account Number (PAN); And
Get to know your customer (KYC) for opening bank and demat accounts.