Step-by-Step Process for Private Limited Company Registration
Here's a guide to the private limited company registration process:
1. Obtain Digital Signature Certificates (DSC)
Proposed directors and subscribers to the Memorandum of Association (MOA) must obtain a Class 3 Digital Signature Certificate from a certified issuing authority. The DSC enables digital signing of all incorporation documents, making the process paperless.
The DSC is valid for two years and costs approximately Rs 1,000 - Rs 2,000, depending on the certifying authority. It's recommended to obtain the DSC from reputable agencies like eMudhra or NIC to ensure smooth processing and acceptance by the MCA portal.
2. Acquire Director Identification Numbers (DIN)
Each proposed director needs a unique DIN. For new company registration, a DIN can be obtained through the SPICe+ form during the incorporation process itself, eliminating the need for a separate application.
The DIN is a lifetime identification number that remains with the director across all their directorships. Foreign nationals can also obtain a DIN by providing the necessary documentation, including passport copies and address proof from their home country.
3. Company Name Approval
Submit a name reservation application through the RUN (Reserve Unique Name) service on the MCA portal. Provide up to 4 name options in order of preference. The name must:
- Be unique and not similar to existing companies
- Must not include prohibited words
- Comply with the naming guidelines of the Companies Act
The MCA typically approves or rejects name applications within 1-2 working days. Once approved, the reserved name remains valid for 20 days, during which you must complete the incorporation process. If the name is rejected, you can immediately apply again with different name options without any waiting period.
4. Prepare Incorporation Documents
Draft and finalize these essential documents:
- Memorandum of Association (MOA) outlining the company's objectives
- Articles of Association (AOA) detailing internal rules and regulations
- Declaration of compliance with the Companies Act requirements
- Consent letters from all directors
- Proof of registered office address
Ensure all documents are properly formatted according to MCA guidelines and digitally signed by authorized persons. The registered office address must be supported by a rent agreement, utility bills, and NOC from the property owner, as the company must have a physical presence at this location.
5. File Incorporation Application
Submit the SPICe+ (Simplified Proforma for Incorporating Company Electronically Plus) form along with all supporting documents and pay the prescribed government fees based on your authorized capital.
The SPICe+ form also facilitates simultaneous applications for PAN, TAN, EPFO registration, ESIC registration, and bank account opening through integrated services. Ensure all uploaded documents are in PDF format and maintain consistency in director details to avoid rejection.
6. Receive Certificate of Incorporation
Upon successful verification, the Registrar of Companies issues a Certificate of Incorporation with a unique Corporate Identity Number (CIN), along with the company's Permanent Account Number (PAN) and Tax Deduction and Collection Account Number (TAN).
At RegisterKaro, we target a turnaround time of 7 -10 working days for simple applications, but the full procedure generally takes between 10 to 15 working days, depending on the correctness of documents and the pace of government approvals.
