Online Private Limited Company Registration in Delhi NCR
Private companies represent a different set of relationships in terms of ownership, risk and reward as compared to public companies. Since Private Limited Company Registration, does not access capital markets, they require less rigorous protection for their shareholders. They however represent an important organizational form for the conduct of business. Therefore, there is a case for a lighter regulatory overhang over private companies.
The existing law provides for certain relaxations to private companies on account of their nature. We are of the view that this approach should be continued and amplified where appropriate. While good Corporate Governance is equally important for the success of such private companies, the obligation for dissemination of information in the corporate process should be so structured that such enterprises do not lose the flexibility in conduct of their business.
In particular, the law should enable a private company to take any decision it is otherwise empowered to take, without observing the formalities of the Act if the members of the company unanimously agree. A simplified circular resolution procedure should also be considered where unanimity is not possible. Since disputes may also arise amongst the members of such companies, the costs of which may ruin the company, the regime for private companies should contain dispute resolution procedures, simplified to the extent possible.
What are the advantages of Private Limited Company Registration?
- Minimum Capital:- There was a minimum paid-up share capital requirement of Rs. 1 lakh previously, but that is omitted now.
- No of Members required:- A private company can have a minimum of just two members and a maximum of up to 200 members.
- Transferability of shares:- Private companies cannot freely transfer their shares to the public like public companies. This is why stock exchanges never list private companies.
- PVT LTD company registration:- All private companies must include the words “Private Limited” or “Pvt. Ltd.” in their names.
private companies do not freely transfer their shares and involve limited interest by members, the law has granted them several exemptions that public companies do not enjoy.
Types of PVT LTD Companies
Private companies are of three types:
- Company Limited by shares: The liability of the members is limited to the amount unpaid to the company concerning the shares held by them.
- Company Limited by guarantee: Here the members’ liabilities are limited to the amount of money they guarantee to pay in case the company is wound up.
- Company Unlimited Liability: The liability of members is unlimited in this type of private company. Personal assets of members can be attached and sold when the company is being wound up.
What documents are required for registering a Private Limited Company in India?
PAN Card: A copy of the PAN Card of the proposed Directors of the Company will be required for Company Registration.
Address Proof: The address proof submitted must have the name of the Director as mentioned in the PAN Card and the present address of the Director.
Residential Proof: The residential proof must contain the name of the Director as mentioned in the PAN Card and must not be older than three months.
Registered Office Proof: Along with identity, address and residential address for the Directors, proof must be provided to validate the registered office address of the Company.
The registered document of the title of the premises of the registered office in the name of the company; OR
The notarized copy of the lease/rent agreement in the name of the company along with a copy of the rent paid receipt not older than one month
The following must also be provided as proof of registered office:
The authorization from the Landlord (Name mentioned in the Electricity Bill Gas Bill Water Bill Property Tax Receipt or Sale Deed) to use the premises by the company as its registered office. This is usually referred to as NOC by the Landlord; AND
Proof of evidence of any utility service like telephone, gas, electricity, etc. depicting the address of the premises in the name of the owner or document, which is not older than two months.
The list is illustrative and we may require additional documents and information from time to time to complete the registration.