Introduction to Company Registration in Delhi-2021

Contents

Now register your Private Limited Company, LLP, OPC (One Person Company), etc. in Delhi at affordable prices.

If you are looking to start your business, then it is advised to go for the preferred company structure of your choice.

You can also start your business, in the form of a Private Limited Company. This company structure allows it’s shareholders to obtain limited liability. Though there will be certain limitations on the ownership of the business.

Or you can choose to go for an LLP (Limited Liability Partnership). It’s benefits include lower company registration cost in Delhi. And the burden of compliances will also be lower in this case.

Though there is another form of company structure known as OPC (One Person Company).

If you want to be the sole owner of your business, then this is the best company structure for you. Banks and other financial institutions find such a company structure to be very trustworthy. So you will find it easy to obtain loans.

LegalRaasta also provides company registration services in Delhi, of other business structures. Such as Section 8 company, Partnership, Public limited company registration, NBFC registration

So what are you waiting for ?

Hurry and contact us for a smooth company registration process in Delhi, at affordable prices.

Now let’s go ahead and learn about the…

Different Types Of Company Structures In India.

  1. Limited Liability Partnership (LLP)

It is a flexible legal entity, which provides the partners with the benefit of limited liability. In other words, the partners get to form “economies of scale”, with the benefit of reduced liability.

The registration of an LLP in Delhi is more hassle-free in comparison to other business structures.

  1. One Person Company (OPC)

If you are and wish to remain the sole owner of your business. Then OPC is the best company structure for you. In the online company registration process of an OPC, there are minimum requirements.

You just have to begin the process by filling out the company registration form. And we will take care of the rest.

Learn more

  1. Private Limited Company

It is a form of business structure that is privately owned, by it’s private stakeholders. The owners involved have limited liability. As they can be considered liable only for the number of shares they own.

  1. Public Limited Company

Under Company Act, 2013, it is a form of company structure that offers it’s shares to the public. And has limited liability. Any person can buy it’s stock.

It is very stringently regulated and is required to publish it’s true financials every year.

So if you want to get your Private or Public limited company registered. The contact us for a hassle-free yet online company registration experience.

We will make sure that you receive your company registration number, with any hurdle.

  1. Section 8 company

 It is a form of company, which is incorporated for social welfare. It’s central aim is to work for the benefit of society. It’s company registration process is smooth and hassle-free.

So to begin the registration online process in Delhi, contact us and we will take care of the rest.

Requirements for Company Registration

Company Act, 2013, has established the following rules for a smooth registration process.

  • No. of Directors

An OPC must have one person as it’s the sole owner.

Whereas an LLP must have at least 2 designated directors.

In the case of a Private Limited Company, there must be a minimum of 2 directors.

In the case of a Public Limited Company, there must be a minimum of 3 directors.

And in a section 8 company, there must be at least 2 directors.

  • Unique Name

Your company name must be unique, be it any kind of business structure. A unique name will ease the company registration process for you in Delhi. And will ensure that you receive the company registration certificate on time.

  • Minimum Capital Amount

The minimum capital amount is different for each kind of business structure.

In the case of a Private Limited Company, you can start with Rs.0 as the paid-up capital.

In the case of a Public Limited Company, the minimum paid-up capital required is Rs. 5 Lakhs.

So while doing Private limited company registration or Public limited company registration online in Delhi, make sure that you have all the required registration documents.

And also make sure that you pay the company registration fees on time. This will ensure that you receive both the “company registration number and certificate” on time.

Important Of Selecting the Perfect Business Structure

  • Always choose the business structure wisely, while doing company registration online. As both the “Tax returns” and the “number of compliances to be met with”, will depend on it.
  • Most business structures are required to get their books audited every year. So while doing registration online, do understand the number of legal formalities you want to deal with.
  • Certain business structures are more investment-friendly. Such as structures like LLP, Pvt. Ltd. Company attracts a large number of investors.
  • And the company registration fees will be different for every company structure. So the registration process in Delhi can be different for each of them.

Now let’s learn about

Procedure For Company Registration Online

It is very important that you get your preferred company structure registered. As it provides certain kinds of benefits.

Below the steps have been mentioned for the company registration procedure.

  • Step 1: Apply for Digital Signature Certificate (DSC).
  • Step 2: Apply for Director Identification Number (DIN)
  • Step 3: In this step, you will have to apply for name availability.
  • Step 4: File EMoa and eAoA, to register for a Pvt. Limited Company.
  • Step 5: Apply for the company’s PAN and TAN.
  • Step 6: A certificate of incorporation, which also acts as a company registration certificate, will be issued by RoC along with PAN and TAN.
  • Step 7: Open a current bank account with the name of the company.

Benefits of Company Registration

There are multiple benefits of company registration in Delhi:-

  • Generation Of More Capital

Every business requires capital to produce more and more goods and services.  And there are two methods, through which you can acquire capital. The former method involves raising funds through the public and the latter method involves raising funds by taking loans from financial institutions.

  • Acting as a separate legal entity

When a company gets officially registered, then it attains the status of being a different and distinct legal entity.  It acts as a separate legal entity to the following people:

  1. Promoters: These are the people, who have initiated the setup of the company.
  2. Directors: These are the people who control the company and are involved in managing it’s business.
  3. Shareholders: These are the people who have the ownership of the company.
  • Limit Personal liability

If you are in a partnership or if you are a sole trader, then you will be legally held liable for all aspects of your business, including debts and losses. But a company acts a separate legal entity. And thus provides the limited liability to it’s owners.

So you as an owner will not be considered responsible for any kind of debt, which is attached to the company.

  • Decision making power

In case any kind of dispute arises between the co-founders of the company. Then the number of shares owned by them will determine, who has the upper hand in decision making.

  • Brand Awareness

By getting your company incorporated, you will get the option of enhancing your brand image.

Now let’s understand

The Procedure Of Selecting A Business Structure

(When you are going for Company Registration)

Any person who wishes to go for Company registration in India, must ponder over these factors. So that he can make a comprehensive decision…

  • How Many Directors will the Business Be Owned By ?

The most primary factor your mind should think about is about the no. of owners in your business.

If there is only one owner, then a one person company structure will be ideal for you.

But if your business has more than one partner, then either LLP or Pvt. Ltd. Company will be the most suitable business structure for you.

  • Who will bear the liability of the business ?

There are certain business structures which have unlimited liability (HUF, Sole proprietorship etc.).

This in turn means that in case of any default or loss, the entirety of the loss amount, will be recoeverd from the partners itself. Thus their personal assets are more than liable for risk.

And there are also business structures which have limited liability such as a Pvt. Ltd. Company or an LLP.

But in this case the personal assets of the partners are completely secured. In case of default, their assets will remain untouched.

  • Your initial investment will play a big role in the determination of your business structure.

The amount which you are initially goint to invest in your business, will play a big role, in determining the business structure.

So in case you want to make a small investment, then Sole Proprietor, or a HUF or a Partnership, are the preferred business structures.

But if you are willing to make a big investment, then One Person Company, LLP or a Private Limited Company, can be your suitable choices.

  • Tax Rates which are applicable on the business structure.

Different kinds of business structures have different kinds of tax rates applicable on them.

In case of sole proprietorship and HUF, normal tax rates are applicable. But in case of partnership and company, 30% tax rates are applicable.

  • How will you get the money from the investors ?

If your business structure is unregistered, then it  will be a difficult task for you to get investments.

Whereas in case of company registration online,l entities like LLP and Private Limited Company are highly trusted.

Now let’s do…

Comparison Of The Different Type Of Business Structures In India:

Type Of Company StructureWho does it suits best?Taxation BenefitsRequired Legal compliances
LLP (Limited Liability Partnership)It is for those businesses which are “Service-oriented businesses or ones that have low investment requirements”.There is an advantage of depreciation.Both “Business tax returns and ROC returns” must be filed.
One Person Company (OPC)This form of business structure is for those sole owners, who want to limit their liability.You will receive a “Tax holiday for the first 3 years” under the Startup India scheme.

There are more benefits on depreciation.

There will not be any kind of tax on dividend distribution.

You will be required to file “Business returns” and there will be Limited ROC compliance.
Private Limited CompanyThis form of company structure is for those “businesses” that have a large yearly turnover.You will receive a “Tax holiday for the first 3 years” under the Startup India scheme.

There are more benefits on depreciation.

Both “Business tax returns and ROC returns” must be filed.

An audit is compulsory.

Public Limited CompanyThis form of company structure is for those “businesses” that have a large yearly turnover.There are benefits of tax exemption.“Business tax returns” must be filed.

An audit is compulsory.

 

Documents Checklist For Company Registration

  • Memorandum of Association (MoA)
  • Articles of Association (AoA)
  • Declaration and Affidavit by directors and first subscribers
  • Proof of Office Address
  • Utilities Bills’ Copy not more than 2 months old (Electricity, Gas, Water Bills, etc.)
  • Copy of approval if the proposed name is containing words/expressions which need authorization by the Central government.
  • In the case of a proposed name based upon a registered trademark then it is mandatory to attach a trademark registration certificate or trademark application copy.
  • NOC from sole proprietors partners /associates/ existing company.
  • Proof of identity and residential address of subscribers.
  • Proof of identity and residential address of directors.

More About Company Registration

India has risen to 100 from 130 in the ease of doing business rankings across the globe according to ZEE in this article.

A large contributing factor towards this is drastic improvements is the rewarding nature of the two capitals of the country Financial Capital Mumbai and the National Capital- Delhi.

According to statistics accumulated by Doing Business, Delhi ranks number 1 among 17 major cities for starting a  business. A feat which has been achieved by a simplistic procedure of Private Limited Company Registration in Delhi.

This serves as a major motivation to register your company in Delhi. The Ministry of Corporate Affairs (MCA) is taking great strides towards quicker processing of company registration with One-Day Company incorporation with SPICe.

Final Thoughts

Company Registration can become a daunting task if you do not have all the necessary knowledge. But with the assistance of LegalRaasta, you can do company registration online in a completely easy manner.

We will make sure that you pay the company registration fees on time. It will assist you in receiving the company registration certificate and company registration number in a stipulated time.

We provide company registration services in Delhi, Mumbai, Bangalore, and all over India. So if you are looking for “Private Limited Company Registration in Delhi”, then we are the right fit for you.

Frequently Asked Questions

  1. Is there any need for me to be physically present, during the company registration process.

The company registration process in the present time is a completely online process.

You just need to send the relevant documents to the team of LegalRaasta and we will take care of the rest

  1. In How much days can I get my Private Limited Company registerd ?

If you decide to perform the whole company registration procedure yourself, then it can be a daunting task. As you may not be aware of all the legal formalities involved.

So contact the expert team of LegalRaasta and we will assist you every step of the way. Our team of experts will make sure that your Pvt. Ltd. Company gets registered in fifteen days.

  1. What are the documents required to complete the company registration process ?

Being the directors of the company, you must provide the following documents:

  • Memorandum of Association (MoA)
  • Articles of Association (AoA)
  • Declaration and Affidavit by directors and first subscribers
  • Proof of Office Address
  • Utilities Bills’ Copy not more than 2 months old (Electricity, Gas, Water Bills, etc.)
  • Copy of approval if the proposed name is containing words/expressions which need authorization by the Central government.
  • In the case of a proposed name based upon a registered trademark then it is mandatory to attach a trademark registration certificate or trademark application copy.
  • NOC from sole proprietors partners /associates/ existing company.
  • Proof of identity and residential address of subscribers.
  • Proof of identity and residential address of directors.
  1. What is definition of DSC ?

It is a form of electronic, which can only be issued by certifying authorities. It enables you to sign electronic documents.

  1. What is the life period of a Pvt. Ltd. Company ?

A Private Limited Company has continuous existence. But you must keep meeting all the compliance requirements.

In case you fail to do that, then the company will go dormant.

  1. Is is mandatory for a company to get it’s books audited ?

Yes it is compulsory for a Private Limited Company to get it’s books audited.
When your company has been incoroporated, you must appoint an auditior within the 30 days of the incorporation period.

  1. Why is a Private Limited Company called a separate entity.

It is called a separate entity because in the eyes of the law, it acts a completely separate person.

  1. Are foreign nationals allowed to become directors in a Private Limited Company ?

Yes, any foregin national can become director in an Indian company but it needs to get the DIN from the Indian ROC.

  1. How much time does Legal Raasta takes to get a Private Limited Company Registered?

Generally, it takes 25-30 days to get it done. But we at LegalRaasta will get your limited company registered within 10-20 days.

Update:

PUBG India is now registered officially as a Private Limited Company. It has been registered with the MCA with a CIN (Corporate Identification Number). It now also has a registered office in Bangalore.- November 24,2020.

Registration of new companies is the highest in comparison with the last 7 years.

Data shared by MCA shows that a total of 16,487 new companies registered in India, in the month of July,2020. It has been the highest since January 2013.- 19th August, 2020.

SPICEe+ Form Stipulates compulsory Registration Of EPFO & ESIC

Now EPFO and ESIC, is mandatory for all organisations registered. And now they cannot be separately issued by agencies.- Mar 9, 2020