Company Registration in India
Starting a business in India would require you to register your business. Whether it’s a startup, LLP, Partnership firm, etc. you can register your business online with Goom Tax. Groom Tax provides you with cost-effective solutions for registering your company in India.
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Overview
Registering a company in India is quite straightforward and simple. The company incorporation process is a completely online process. The portal of ministry of corporate affairs (MCA) is the main portal used for company registration. Company registration provides legal recognition and increases the status of your business. However, for registration of your company step-by-step procedure needs to be followed. Hence it is important to consider using Groomtax services for company registration.
Once you have decided to start business, the first and foremost requirement is to select a favourable type of business entity to register the business in India. The choice of the right business entity will affect many factors starting from your business name, your liability towards your business, compliance cost, startup benefits, eligibility for FDI or funding and how to file your taxes and statutory dues. In India, business can be registered under different types like private Limited Company, Limited Liability Partnership, One Person Company, partnership firm, and proprietorship firm. Setting up a private limited company is one of the extremely recommended way to start a business in India. Normally, Start-ups companies prefer to register company as a private Limited company because it allows funding to be raised easily. It limits the liabilities of the shareholders and enables them to offer Employee Stock Options (ESOP) to attract top talents. If you want to start a company in India, make sure you get Online Company Registration from our experts' team.
Benefits
Limited Liability: The Liability of shareholders is limited to the unpaid subscribed share capital only. Shareholder not liable to pay losses and liability of company by personal assets.
Separate Legal Entity: Company is a separate legal person in the eyes of law and different from its directors and shareholders. Company can operate, contract and own assets and liabilities by its own name like any individual person.
Easy Funding: If you want to raise funds then company is the only options in which you can get funds against issue of equity shares.
Eligible for FDI: You can get the investment from foreign countries also easily in the company under automatic approval route.
Eligible for startup India Recognition: Company can be recognized as startup and get the benefit of income tax exemption u/s 80-IAC and angel tax exemption u/s 56(2)(viib) of the income tax act.
Tax Benefits: There are different rates of taxes on companies ranging from 15% to 30% depends on nature of business and turnover of the company which are as follows:
Section | Type of Company | Tax Rates |
---|---|---|
115BAB* | Manufacturing Company incorporated after 1st Oct, 2019 | 17.16% (Tax + SC + EC) |
115BAA* | Other Companies | 25.17% (Tax + SC + EC) |
If Turnover less than 400 crore | 26% (Tax + EC) | |
If Turnover more than 400 crore | 31.2% (Tax + EC) |
* Note: Under section 115BAB and 115BAA, companies could not claim certain deduction, exemption and brought forward losses.
List of Documents Required
- Two Proposed Names
- The objective of the proposed company
- Latest Utility bill i.e., electricity bill, landline bill or water bill, etc.
- For rented place, NOC required in the name of the proposed company
- PAN Card of all the Subscribers/Directors
- Photograph of all the Subscribers/Directors
- Aadhar Card of the Subscribers/Directors
- Mobile No. and Email Id. of all the Subscribers/Directors
- DL/Voter ID/ passport, anyone documents of all the Subscribers/Directors
- Bank statement/ Electricity Bill in the name of the Subscribers/Directors, anyone documents of all the subscribers/directors
- Share capital and voting share of directors
- Whether director or partner in any existing Co/LLP
- Place of birth, Occupation and Educational qualification of director
- Present residential address and duration of stay
- Specimen Signature of one signatory
Process
- 1
Apply for a name approval for your company using Spice+ Part-A.
- 2
Apply for DSC of subscribers and directors
- 3
Online preparation of Spice+ PartB, eMOA, eAOA & AGILEPRO.
- 4
Online filing of Spice+ Part B, eMOA, eAOA, AGILEPRO and INC-9
- 5
Get a certificate of incorporation, PAN & TAN of your company.
Deliverable
- Certificate of incorporation
- Company name approval
- Director identification numbers (DIN)
- Digital signature token for directors
- Memorandum of association
- Articles of association
- Company PAN card
- Company TAN number
- ESI/PF registration
Compare-Table
Particulars | Private Ltd Company | Limited Liability Partnership | One Person Company | Partnership | Proprietorship |
---|---|---|---|---|---|
Separate Legal Entity | Yes | Yes | Yes | Yes | No |
Limited Liability | Yes | Yes | Yes | No | No |
Registration | Mandatory | Mandatory | Mandatory | Optional | No |
Statutory Audit | Mandatory | Dependent | Mandatory | No | No |
Owners/Partners | 2 - 200 | 2 - Unlimited | 1 Person | 2 - 50 | 1 Person |
Tax Rate | 25% | 30% | 25% | 30% | Slab Rate |
Legal Compliance | High | Moderate | Moderate | Least | Least |
Eligible for Start-up India Benefits | Yes | Yes | Yes | Limited | No |
Eligible for FDI | Yes | Yes | No | No | No |
Funding from Investor | Yes | No | No | No | No |
Click Here | Click Here | Click Here | Click Here | Click Here |
FAQs
- Shareholder agreement
- Founders agreement
- Certificate of incorporation
- No objection certificate (NOC)
- Company PAN card.TIN ID
- Non-disclosure agreement
- GST Number
- Startup India Registration
- Department for Promotion of Industry and Internal Trade or DPIIT Recognition Registration
- Board;
- Commission;
- Authority;
- Undertaking;
- National;
- Union;
- Central;
- Federal;
- Republic;
- President;
- Rashtrapati;
- Small Scale Industries;
- Khadi and Village Industries Corporation;
- Financial Corporation and the like;
- Municipal;
- Panchayat;
- Development Authority;
- Prime Minister or Chief Minister;
- Minister;
- Nation;
- Forest corporation;
- Development Scheme;
- Statute or Statutory;
- Court or Judiciary;
- Governor;
- The use of word Scheme with the name of Government (s), State, India, Bharat or any Government authority or in any manner resembling with the schemes launched by Central, State or local Governments and authorities; and
- Bureau.
- List showing the names, address and occupation of the persons named as members with details of shares held by them, if any
- List showing the first directors of Company along with their particulars.
- Copy of LLP agreement and Incorporation Certificate
- Statement of assets and liabilities of LLP supplemented by a certification of chartered accountant in practice, dated not earlier than 15 days of filing form no. URC-1 along with the financials of previous year.
- Copy of latest income tax return of LLP
- Undertaking of proposed directors signifying the oath of compilation with requirements of Indian stamp Act, 1899
- Certificate from a CA/CS/CWA certifying the compliance with all the provisions of Stamp Act, to the extent applicable
- Written consent/ no objection certificate from all secured creditors.
- Written consent of majority of partners.
- Publication of advertisement seeking public objections at least 21 days before filing form.
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- Date of Advertisement should not be older than 30 days.
- In URC-2, it is to be specifically mentioned that objection in writing should be communicated to the Registrar at Central Registration Centre (CRC), Indian Institute of Corporate Affairs (IICA), Plot No. 6, 7, 8, Sector 5, IMT Manesar, District Gurugram (Haryana)-122050.
- Financial Statements should not be older than 15 days from the date of filing the form or the notes to financial statements are not attached.
- All the partnership deeds should be attached in the Form.
- Amount of Fixed Assets/Secured Debts/Number of shares or price per share should be correct.
- NOC from the Secured Creditors should be attached.
Provided that the approval of regulatory authority may be obtained at the time of application for incorporation or change of name, as the case may be.
However, compliances are not required to be carried out in respect of EPFO and ESIC provisions until the company surpasses the threshold limit provided in EPFO and ESIC provisions.