A Private Limited Company is the most popular business structure in India for startups and growing businesses. It offers limited liability, separate legal identity, and easy access to funding. The Ministry of Corporate Affairs (MCA) has simplified the process through the SPICe+ (Simplified Proforma for Incorporating Company Electronically Plus) form.
Benefits of a Private Limited Company
- Limited liability protection for shareholders
- Separate legal entity status
- Easy to raise funding from investors & VCs
- Enhanced credibility with clients and banks
- Perpetual succession - company continues regardless of member changes
- Tax benefits and deductions available for companies
- Easy transfer of ownership through share transfer
Basic Requirements
Minimum 2 Directors
At least one must be a resident of India (stayed 120+ days)
Minimum 2 Shareholders
Directors and shareholders can be the same persons
Unique Company Name
Name must not be identical or similar to an existing company/LLP/trademark
Registered Office Address
A valid address in India with proof (rent agreement / utility bill)
Minimum Authorised Capital
No minimum paid-up capital requirement (earlier it was Rs. 1 lakh)
Digital Signature Certificate (DSC)
Required for all directors for online filing
Step-by-Step Incorporation Process
Obtain Digital Signature Certificate (DSC)
All proposed directors must obtain a Class 3 DSC from a certifying authority. This is used to digitally sign all MCA forms. Processing takes 1-2 days.
Apply for Director Identification Number (DIN)
DIN is now allotted through the SPICe+ form itself. Earlier, a separate DIR-3 application was needed. You will need identity and address proof of directors.
Name Reservation via RUN (Reserve Unique Name) or SPICe+
Apply for name reservation through Part A of SPICe+ form. You can propose up to 2 names. MCA typically approves within 1-2 days. Choose a distinctive name related to your business.
Prepare MOA & AOA
The Memorandum of Association (MOA) defines the company's objects and scope. The Articles of Association (AOA) defines internal rules and management. These are auto-generated in SPICe+ with INC-33 and INC-34.
File SPICe+ Part B (Incorporation Form)
Fill Part B of SPICe+ with company details, director details, registered office address, and subscriber details. This single form also applies for PAN, TAN, EPFO, ESIC, GST, and bank account opening.
Upload Documents & Pay Fees
Upload scanned copies of MOA, AOA, director KYC documents, address proof of registered office, and NOC from property owner. Pay the applicable government fees online.
Verification by ROC
The Registrar of Companies verifies the application and documents. If everything is in order, the COI is issued. If there are queries, a resubmission may be needed within the given time.
Certificate of Incorporation (COI) Issued
Upon approval, you receive the Certificate of Incorporation with your unique CIN (Corporate Identification Number), along with PAN and TAN allotment. Your company is now legally registered.
Post-Incorporation Compliance
- Open a current bank account in the company's name
- Obtain GST registration (if applicable)
- File INC-20A (Declaration for Commencement of Business) within 180 days
- Maintain statutory registers and minute books
- Hold the first Board Meeting within 30 days
- Appoint an auditor within 30 days at the first Board Meeting
- File annual returns (MGT-7) and financial statements (AOC-4) with ROC
Need Help with Company Registration?
Pujara & Co handles the entire incorporation process end-to-end. From name reservation to COI, we take care of everything.