Private Limited Company in India is one of the popular forms of business entities. Approximately 90% of companies in India are registered under Private Limited Company. There are more than 150,000 companies that are being registered on a yearly basis. It is a separate legal entity with limited liability and perpetual existence incorporated now under the Companies Act, 2013.
A Private Limited Company offers limited liability and legal protection to its shareholders. A Private Limited Company in India lies somewhere between a partnership firm and a widely owned public company. It can be registered with a minimum of two people. A person can be both a director and shareholder in a Private Limited Company.
The liability of the members of a Private Limited Company (PLC) is limited to the number of shares held by them. A Private Limited Company in India can begin with operations after getting the Certificate of Incorporation. A PLC can be incorporated within 15 working days.
Steps to be taken to get a new company incorporated:
Selection of a suitable name
MOA & AOA drafting
Application to concerned ROC
Filing of the Forms & Documents
Registration of a Pvt Ltd Company
Hence, Incorporating a Private Limited Company is even easier now .
Documents required for Private Limited
1) PAN card for each Directors
2) ID Proof – Driving License/ Passport or Voter ID of each Directors
3) Address Proof – Latest Bank Statement OR Telephone/Mobile Bill of each Directors
4) Address Proof of The Company – EB CARD or GAS Bill
5) Passport Size photo of each Directors.
6) email and mobile number of each Director
Registering a company offers many benefits. A registered company increases the authenticity of your business. It helps your business:
This is a non-Governmental organization which is secretly held for small business. The liability of the individuals from a Private Limited Company is limited to how much share separately held by them. Shares of Private Limited Company can’t be publically exchanged.