What is a Private Limited Company?

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• published: 15 Mar 2016
• views: 17784

To know more, log on to : http://vakilsearch.com/company-registration Follow us : https://www.facebook.com/vakilsearch/ https://twitter.com/Letsvakilsearch Private Limited Company: All You Need To Know Starting a business can be one of the most exciting things a person can do. But to understand and wade through the legal hassles can be a really tough task. Here are the 7 important things you need to know when you start your business as a Company. What is a Private Limited Company? A private limited company is a small business entity with at least two directors and shareholders. If you are a single shareholder, your mother, father, sibling or close friend can be the other shareholder with just a single share. Why do start-ups prefer it? Simple. Private limited companies can accept venture capital funding and give stock options to employees. And start-ups prefer this because without these, it is otherwise almost impossible to build a large business. Banks and vendors also prefer to deal with Companies instead of working with sole Proprietors. What is the procedure to register one? First, we obtain a Digital Signature Certificate, also known as DSC. This is nothing but an e-signature to enable completion of the registration procedure online. Getting a DSC takes 2 days after you submit all the documents. Next, we get a Director Identification Number (DIN) for each director. This takes 1 day. Thirdly, we discuss a Unique Name for your Company. Remember, your Company name DOES not have to be your brand name. Naukri.com is incorporated as INFOEDGE Technology Private Limited. You can COIN a word in a unique way. For example, if you like the colour Blue, and your name is Ravi, and you are into software, you can coin a name like BLURASOFT. That’s it – really simple, really straightforward. What documents are needed? Once the process starts, you need to share the following documents: Scanned copies of the following are needed. For the Directors PAN Card or Passport (Foreign Nationals & NRIs) as an Identity Proof Voter's ID, Passport or Driver's License as an Address Proof Latest Bank Statement/Telephone or Mobile Bill/Electricity or Gas Bill as Residence Proof Passport-sized photograph for each director Specimen signature (blank document with signature [directors only]) For the Office Notarised Rental Agreement in English if it is a rented property No-objection Certificate from property owner if it is a rented property Sale Deed/Property Deed in English in case of owned property Once you’ve submitted the documents, you can just sit back and relax. We will prepare your Memorandum & Articles of Association, pay the registration fees & stamp duty and submit your forms. You will receive a pleasant gift in the form of your Certificate of Incorporation! We will then apply for your Company PAN & TAN Card. How much do you need to invest? You don’t need to invest ANY money in your business to get started. Most people bring in assets, like computers and furniture at the time of starting the business, and they can be treated as your initial capital. Is a commercial space necessary? No, it isn’t. You can even register at your home address. If you own the home, you will need to provide the sale deed. If you’re living on rent, you will need to provide the rental agreement, along with a No Objection Certificate from your landlord.

What is a Private Limited Company?

• Report rights infringement
• published: 15 Mar 2016
• views: 17784

To know more, log on to : http://vakilsearch.com/company-registration Follow us : https://www.facebook.com/vakilsearch/ https://twitter.com/Letsvakilsearch Private Limited Company: All You Need To Know Starting a business can be one of the most exciting things a person can do. But to understand and wade through the legal hassles can be a really tough task. Here are the 7 important things you need to know when you start your business as a Company. What is a Private Limited Company? A private limited company is a small business entity with at least two directors and shareholders. If you are a single shareholder, your mother, father, sibling or close friend can be the other shareholder with just a single share. Why do start-ups prefer it? Simple. Private limited companies can accept venture capital funding and give stock options to employees. And start-ups prefer this because without these, it is otherwise almost impossible to build a large business. Banks and vendors also prefer to deal with Companies instead of working with sole Proprietors. What is the procedure to register one? First, we obtain a Digital Signature Certificate, also known as DSC. This is nothing but an e-signature to enable completion of the registration procedure online. Getting a DSC takes 2 days after you submit all the documents. Next, we get a Director Identification Number (DIN) for each director. This takes 1 day. Thirdly, we discuss a Unique Name for your Company. Remember, your Company name DOES not have to be your brand name. Naukri.com is incorporated as INFOEDGE Technology Private Limited. You can COIN a word in a unique way. For example, if you like the colour Blue, and your name is Ravi, and you are into software, you can coin a name like BLURASOFT. That’s it – really simple, really straightforward. What documents are needed? Once the process starts, you need to share the following documents: Scanned copies of the following are needed. For the Directors PAN Card or Passport (Foreign Nationals & NRIs) as an Identity Proof Voter's ID, Passport or Driver's License as an Address Proof Latest Bank Statement/Telephone or Mobile Bill/Electricity or Gas Bill as Residence Proof Passport-sized photograph for each director Specimen signature (blank document with signature [directors only]) For the Office Notarised Rental Agreement in English if it is a rented property No-objection Certificate from property owner if it is a rented property Sale Deed/Property Deed in English in case of owned property Once you’ve submitted the documents, you can just sit back and relax. We will prepare your Memorandum & Articles of Association, pay the registration fees & stamp duty and submit your forms. You will receive a pleasant gift in the form of your Certificate of Incorporation! We will then apply for your Company PAN & TAN Card. How much do you need to invest? You don’t need to invest ANY money in your business to get started. Most people bring in assets, like computers and furniture at the time of starting the business, and they can be treated as your initial capital. Is a commercial space necessary? No, it isn’t. You can even register at your home address. If you own the home, you will need to provide the sale deed. If you’re living on rent, you will need to provide the rental agreement, along with a No Objection Certificate from your landlord.