Company Formation

Introduction
For the establishment of both public and private companies , the Companies Act 1956 sets down various rules. Unlike unlimited companies, most commonly used corporate form is limited company. By registering the Memorandum and Articles of Association with the State Registrar of Companies of the state in which the main office is to be located, a company can be formed.

 

Various steps involved in the formation of a company:
Two types of Companies with limited liabilities in India

 

Private Limited :-

  • Minimum Shareholders & Directors: TWO
  • Minimum Paid Up Capital : INR 1,00,000/-
  • Maximum Shareholders: FIFTY
  • Less Compliance as compared Public Limited

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Public Limited :-

For businesses interested in raising money from public

  • Obtain Director Identification Number (DIN) of proposed directors
  • Obtain digital signature of proposed director
  • Choose a suitable name for the company and apply for Name Approval with Registrar of Companies (ROC) with requisite fees
  • Drafting of Memorandum and Articles of Association carrying main objects, shareholding and other rules and regulations of the company.
  • Stamping of the Memorandum and Articles with the appropriate stamp duty.
  • Get the Memorandum and Articles signed by minimum two subscribers in his own hand, his father's name, occupation, address and the number of shares subscribed for and witnessed by minimum one person.
    Get other necessary documents signed and deposited with ROC
    Pay requisite fees to ROC
  • Generation of Incorporation Certificate

Process for incorporation of private limited company is complete and the company can now commence its business.

 

Ahuja & Ahuja provide all the solutions regarding formation of a company in shortest time possible, so that their clients can commence their business as early as possible.

Read in detail about Company registration

 

 

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