The Modes Involved In Setting Up A Public Limited Company

In India, beginning a public limited company adds multiple legal processes. However, once you acknowledge the structured procedure, the steps become smoother to operate. While in the market, the public company plays the crucial role by raising capital. Responsible for providing the funding for expansion and further monitoring the value of shareholders. The procedure can be done through an Initial Public Offering (IPO). This blog will explore the steps to register a public company in India and its effects on economic growth.

A Comprehensive Way for Registering a Public Company

As mentioned, the limited public company donates its shares to common people. Although anyone can take the position of shareholder. Before obtaining the position of shareholder, the individual needs to register a public company in India. The major points of the registration process

• Selecting the company’s name: The primary step for public limited company registration is to choose a different and unique name that defines your public company. The name of the company should be based on its features and activities, not similar to those of other registered companies. The company’s name should adhere to the regulations under the Ministry of Corporate Affairs (MCA). The presentation of the company’s name can be checked through an online tool, MCA’s Name Availability.
• Legal process of a business: In India, the public company must comply with legal fundamentals outlined in the Companies Act, 2013. The preparation of necessary documents (MOA, AOA, and ROC) is the primary step and completing the application. Memorandum of Association (MOA) certificates explained the company’s activities and plans chart, including the powers they possess.  The Articles of Association (AOA) document outlines the rules and regulations of the company, such as how meetings will be held and what its purpose will be. 
• Scale for Directors: According to the administration rules, they must have at least or a minimum of 3 directors. Among the three, there must be one citizen of the Indian nation. For the company, the directors play an instrumental role, monitoring the legal compliance and other major functions. 
• Get DSC and DIN: The director who is selected for the company’s function needs to collect the Director Identification Number (DIN) and Digital Signature Certificates (DSC). This unique and different identification number clarifies that the directors get the permission to operate legally. 
• Certificate of Incorporation: After the complete procedure and the verification of the company’s name, legal connection of directors, and many more, the businesses needed to register with the Registrar of Companies. 

The application for the certificate of incorporation can be filed through the official portal, MCA. 

Necessary Documents for the Public Company Registration

• The personal details with government identity documents of shareholders and directors
• The registered company bill document
•  The requirement of NOC from the relevant operator 
• Requirements of MOA and AOA
• DIN and DSC of the directors 
• The other major documentation submitted to the Registrar of Companies

Final thoughts

Registering a public company in India adds multiple functions, which can be a little complicated. However, by learning the key stages, the procedure can be done.  While the public limited company registration adds the steps of selecting the company’s name, gathering the necessary documents as per the requirements, and many more. Connect with Legal Raasta Private Limited, which has years of experience and specializes in online public limited company registration in India.