What is a Private Limited Company?
A Private Limited Company is a private organization owned by shareholders who have jointly invested a sum of capital in the company. In a private limited the chances of facing liability are limited that need to be borne by the shareholders. They enjoy the dividends that come from the profit made by the company. The Private Limited is the most used legal abbreviation among the businesses.
There is no set industry or size which private limited comes under. Any kind of profession can adopt the legal abbreviation Private Limited and enjoy the benefits. For example, A doctor, Shop, real estate companies etc.
How To Register A Private Limited Company In India?
Our Registration Process
Verify the necessary documents for registration
DIN for all Directors
Obtain Director Identification Number
DSC for 2 Directors
(Valid for 1 year)
Obtain Digital Signature Certificate
(4 Options allowed)
Submit name choices for approval
Register the chosen company name
Complete the company registration process
Receive the certificate of incorporation
Issue share certificates to shareholders
NOTE : If DSC is required for more than 2 Director then per DSC Charges shall be applicable.
Fill the Form to Get Your Quote(Payable in installments)
Benefits of Private Limited Company Registration
Separate Legal Identity of the Company
Private Limited Company Registration gives separate Legal identity to the Company
Investment friendly Company for Investors
Investors love to invest in Pvt Ltd companies as it is the best formulated company among the rest.
Liberty to have International Partners
Pvt Ltd gives liberty to have international partners, only partner is required to be an Indian Citizen
Best Form of Company Registration
Private Limited Company is the best form of registration and it enables the company to scale dynamically
Detailed Comparision Between Types Of Companies in India
|Act||The Company Act 2013||The Company Act 2013||The LLP Act 2008|
|Minimum Number of Directors/Partners||At least 2 Directors Required||At least 1 Directors Required||Minimum 2 Partners will be required|
|Maximum Number of Directors/Partners||Maximum 15 Directors a Company Can Have||Maximum 15 Directors a Company Can Have||No Limit|
|Maximum Members/Shareholders||Maximum 200 Members/Shareholders are allowed||Only One||No Limit|
|Authorized Capital||Minimum 1 Lakh||Minimum 1 Lakh||No Minimum Capital Required|
|Eligibility Criteria||Any Person May Form a Private Limited Company, but any of them should be an Indian Resident||A Person who is Resident of India||Any two Person who is Major and at least one of them must be an Indian Resident|
|Put After Name||Pvt Ltd||OCP||LLP|
|Liability of Shareholders/Partners||Shareholder’s Liability is Limited to their Allotted Capital||Liability is Limited to Member’s Capital||Liability of Partners is Limited to their Agreed Contribution|
|Any Changes in Business||Filling Form 32 with ROC||Filling Form INC-4 with ROC||Filling Form 3 with ROC|
|Existence||A Private Limited Company has a Perpetual Succession since any changes will not affect its existence.||A Private Limited Company has a Perpetual Succession since any changes will not affect its existence.||A LLP Company has a Perpetual Succession since any changes will not affect its existence.|
|Transfer of Ownership||Can Transfer Ownership by Transferring Share||Can Transfer Ownership||LLP Ownership is Wholly or Partly Transferable.|
|Business Conversion||Can Be Converted into LLP, OPC or LTD||Can be Converted into LLP or PVT LTD||LLP Can be Converted into Company|
|Maintaining Books of Accounts||Mandatory||Mandatory||Mandatory|
|Maintaining Books of Statutory Records||Mandatory||Mandatory||Mandatory|
|Provision for Public Deposit||Sec. 73 of The Company Act 2013||Sec. 73 of The Company Act 2013||No Provision|
|Provision for Loan to Directors||Sec. 185 of The Company Act 2013||Sec. 185 of The Company Act 2013||No Provision|
|Board/Partners Meeting||First Meeting should be held within 30 Days from Incorporation, After First Meeting Minimum 4 Meeting in a Calendar year Should be Hold.||NA||Not Required|
|Statutory Audit||Mandatory||Mandatory||In Case Turnover is More than 40 Lakh or Partners Contribution Exceeds 25 Lakh.|
|Internal Audit||Companies Having Turnover of 200 Crore are applicable for Internal Audit||NA||NA|
|Income Tax Audit||Turnover above 1CR||Turnover above 1CR||Turnover above 1CR|
|Income Tax Rate||25%||25%||30%|
|Income Tax Return||ITR-6||ITR-6||ITR-5|
Frequently Asked Questions (FAQs)
It is necessary to get the Company registered. It reserves the position and name in the market and shows that the company is a reliable one.
The documents required for Private Limited Company registration are as follows:
- PAN Card of the Directors
- Aadhaar Card of the Directors
- Bank Statement
- Latest Electricity Bill
- Latest Mobile Bill
- Passport size Photograph of the Directors
- Board Resolution Authorising Investment.
- Investing Company Address Proof
- Recent Utility Bill for Business Purpose
The eligibility criteria for Pvt Ltd company Registration in India are:
- Minimum of 2 persons can be the Director in a Pvt Ltd. The people who have lived in India for more than 182 days.
- Minimum 1 lakh should be the capital for starting.
- At Least 2 shareholders should be there.
- Office should be registered.
- A brand new name of the company.
- Both the directors should be Indian.
The benefits of ltd company registration are as follows:
- All the transactions made by the company account are legal.
- The Company becomes a distinct identity in the public.
- Enjoys the freedom of borrowing funds.
- The debts of the company become limited since it is not a very big firm.
- Mutual Trust on the other partner.