First step towards starting your business is to register an entity or name where you would carry out your business. Such entity can be registered in many forms or regulations depending upon the requirement, industry, partners and other factors. Some of forms are as under: –

  1. Private/Public Limited Company
  2. One Person Company
  3. Partnership Firm
  4. Limited Liability Partnership
  5. Proprietorship

Among above, registering a Company to start your business, is gained maximum positive and long term points as compared to others. Some of the big advantages are mentioned below:

  1. Separate legal entity.
  2. Preferred by Venture Capitalist/Investors.
  3. Directors can be changed without changing the ownership.
  4. Name can be secured for goodwill.

Company Registration

Company registration is basically for those who are looking for a transparent and compliant model of business. It is very easy to register as only two persons having common objective can join their hands together to register a Company. All the businesses seeking for any legal constitution of Business with the separate legal entity.

Concerned Authority

The Concerned Authority for Private Limited Company Registration is Central Registration Centre, Manesar.

Minimum Requirement for Company Registration

In case of Private Limited Company:

Minimum 2 Directors

Minimum 2 Shareholders.

In case of Public Company:

Minimum 3 Directors

Minimum 7 Shareholders

Documents Required for Company Registration

  1. Pan Card of all the Proposed Directors/Promoters.
  2. Aadhaar Card and Voter ID of all the proposed/ Directors/Promoters.
  3. Address Proof for the premises of the Business along with the no Objection certificate from the owner of the property.
  4. Email ID and Mobile no of all the Directors

Company Registration Process

  1. Obtaining Digital Signature for all the Directors/Promoters.
  2. Obtaining DIN for all the Directors.
  3. Name Approval Application.
  4. After getting name approval, application for certificate of incorporation will be filed.

Advantage of Company Registration

  1. Separate Legal Entity
  2. Limited Liability
  3. Best for Equity funding.
  4. Ownership and control of the business is easily transferable.
  5. Preferred by Foreign investors for making Foreign Direct Investment (FDI).



What is Private Limited Company?

A  Private Limited Company is a form of constitution of business where minimum 2 people can start their business along with the benefits of separate legal entity and limited liability on members.

What is Separate Legal Entity?

Separate legal entity means that the Company is an artificial person and has its own identity distinct from its members. A Company being an artificial person is eligible to own property or can enter into any contract but it is accustomed to act as per the directions of Board of Directors.

What is limited liability concept?


The limited liability is an advantage to the members of the Company as they are only liable to Company debts up to the nominal value of their shares and Company is being separate legal entity is liable for the rest.

What is Director Identification Number (DIN)?


Director Identification Number (DIN) is a number which shall be taken by every individual who is going to be the Director on the Board of the Company. Once taken it is valid for lifetime and it is illegal to have 2 DIN by one individual.

What are the benefits of Private Limited Company for small businesses?


Private limited Company is a very renowned form of business and the preference is given to the Private Limited Company in case of getting loans and credits from the banks and suppliers.

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