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Overview:
Our Private Limited Company formation Services in India includes
helping small and medium sized entrepreneurs to start a private
company and assisting clients in selecting the best legal entity
in India.
Limited company formation in India is as per provisions of the
companies Act 1956 section 3 (1) subsection (iii) of this Act
defines a private company as one which
• Has a minimum paid capital of INR 1,00,000/- or such high
capital may be prescribed
• By its Articles restricts the to transfer its shares
• Limits the numbers of its members to 50, excluding its present
its present and past employees
• Prohibits any invitation or acceptance of deposits from
persons other than its members.
Setup a Private Limited Company:
• ensure that the name does not resemble the name of any other
company already registered
• apply to the concern registrar of companies to ascertain the
availability of name in form 1A along with a fee of rupees 500/-
• drafting the memorandum, Article of Assoc vetting the same by
registrar and printing the same
• stamping of memorandum and Article of Association with an
appropriate stamp duty
• get the following forms filled up and signed –
form 1 – Declaration of compliance
Form 18 – Notice of situation of the registered office of the
company
Form 32- Particulars of Directors, Managers , Secretary
• Present the following documents with the registrar along with
filing fee and registration fee.
• Consent of directors to at as such in form 29
• there should be at least two directors of the company
• The two directors will be the subscribers of the minimum
capital.
• Registration fee is depending up on the authorized capital of
the company. It should be equal or more than the subscribed
capital.
Other requirements of a private limited company in India are
• There should be at least two directors of the company
• The two directors will be the subscribers of the minimum
capital.
• Registration fee is depending up on the authorized capital of
the company. It should be equal or more than the subscribed
capital.
Advantages and Disadvantages Of Private Limited Company
• STABILITY OF LIFE: - Being a registered company it has
stability, separate legal entity and perpetual existence.
• QUICK COMMENCEMENT OF BUSINESS:- Unlike a public limited
company , a private limited company need not issue prospectus
does not require minimum subscription and can start its business
as soon as it gets the certificate of incorporation. It need not
wait for securing the trading certificate.
• PRIVACY AND SECRECY:- A private company can maintain privacy
in its business. It need not keep its accounts open for
inspection.
• EXEMPTIONS AND CONCESSIONS UNDER LAW:-A private company enjoys
various exemptions under the companies act. It is free from
strict control and supervision of the government.
• LIMITED TAX BURDEN:-A private limited company has to share
less tax burden as compared to partnership and public limited
companies.
• LIMITED LIABILITY:-It has a benefit of limited liability.
• LIMITED MEMBERSHIP:- Only two members are adequate for the
formation of a private company.
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