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Company Registration

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Company Registration Online

Company registration has become a compulsory step, for any individual(s), looking to start a business. It has become the most important factor due to both tax and legal reasons. Company registration is a necessary and compulsory step in India, for most business structures. And to coherently follow the procedure of company registration, you must ensure that your business is in alignment with certain compliances.
The registration step also permits a company to hire new people and pay them salaries, in respect to state laws. The step of company registration also provides tax benefits and exemptions to certain types of business structures. So make sure to get your company registered.

Importance of Choosing The Best Business Structure

You must be very cautious while choosing your business structure, as your “Income Tax Returns”, are dependent on it. And when you are registering your business, do understand that every kind of business structure, must adhere to different levels of compliances. For example:- In the case of a “Sole Proprietor”, the sole member has to file only the “Income Tax Return”. But this fact changes with the change in the type of business structure. A company must file annual returns along with income tax returns, with the ROC (Registrar of companies).

Also, the directors of a company must ensure, that their company’s financial books are audited every year. Adhering to all these legal compliances brings the requirement of spending money on auditors, tax filing experts. So it is very essential to choose the right business structure when you are thinking of company registration. The aspiring entrepreneur must gain all the information, about all the kind of legal compliances, he is going to deal with. Some kinds of business structures are very investor-friendly whereas others are not. And investors will always find a legal and recognized business structure more lucrative.

How Can You Select The Best Business Structure?

When you are going for company registration, it becomes very essential to select the best business structure for your company.

So if you are an aspiring entrepreneur and are looking to find the best business structure for your company, then you must think about the following aspects:-

A Comparison of Different Types Of Business Structures

Private Limited CompanyOne Person CompanyLimited Liability PartnershipPartnership FirmProprietorship Firm
ActCompanies Act, 2013Companies Act, 2013Limited Liability Partnership Act, 2008Indian Partnership Act, 1932No specified Act
Registration RequirementMandatoryMandatoryMandatoryOptionalNo
Number of members2 – 200Only 12-Unlimited2 – 50Only 1
Separate Legal EntityYesYesYesNoNo
Liability ProtectionLimitedLimitedLimitedUnlimitedUnlimited
Statutory AuditMandatoryMandatoryDependentNot mandatoryNot mandatory
Ownership TransferabilityRestrictedNoYesNoNo
Uninterrupted ExistenceYesYesYesNoNo
Foreign ParticipationAllowedNot AllowedAllowedNot AllowedNot Allowed
Tax RatesModerateModerateHighHighLow
Statutory CompliancesHighModerateModerateLessLess

Procedure For Company Registration In India

Now You Can Register a Company In India, in just 4 steps. Below is the list of things, which are required for Company Registration.

Which Documents Are Required For Company Registration?

If you want to register a company in India, then you must ensure that you have proof of address and proof of identity. Both become necessary documents for initiating the incorporation process, of all the directors of the company.

All the relevant documents of the directors and shareholders must be submitted to the registrar, during the process of registration. Pan Card/Aadhar card/Driving license/passport are some of the following documents, which serve as identity proof. And the most recent Latest Telephone Bill /Electricity Bill/ Bank Account Statement will work as the address proof. If a business entity wants to start an online business, then also it is required to have a registered office in India.

A recent copy of an energy bill or the property tax receipt or water bill will work as proof of the physical presence of the office. Also with the tenancy/rental agreement, the maintenance bill or the sale deed or a letter or NOC from the landlord with his/her permission can also be submitted as proof.

With all these documents, it is mandatory to submit both the DIN and DSC of all the directors.

Advantages Of Company registration In India

  • A company by getting itself registered, increases it’s credibility level.

  • Provides Protection to the business against any kind of personal obligation.

  • It helps in building a high goodwill level, which further attracts more business.

  • Helps in earning the trust of investors, which leads to more investment.

  • Curates new pathways for the growth and development of the company.

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Frequently Asked Questions

Where can my company, be registered?
What will happen in the case, of my company being already taken by someone else?
Can an NRI, be the director of a company?
How long does it take to get a company registered?
Do all the partners/directors need to be present online for the registration process?
How will I know, if my company is registered?
How much time does LegalRaasta.com take to get the Private Limited Company registered?