If you are trying to start a new business and looking to incorporate a new private limited company in India, then, first of all, a big congratulation to you for taking this step.
Entrepreneurship is hard and if you have taken this leap of faith, then I must admire you for that, after all I am an entrepreneur myself and started my own B2B contact data company a few years back.
Now that you have decided to start your own business let me share a step-by-step guide on how you can register for a private limited company in India.
Find a name for your company
The first step is to identify a name for your company, the name should be unique and resemble the business you are into, ideally.
For example in our case, it's Sponsifyme Technologies Private Limited.
The name should be of 4 words, out of which the first word is a unique word, the second word usually represents the business like if you are a service then you may user Services private limited, if you are a technology company you may want to use Technologies private limited, just like we have done.
The ministry of corporate affairs, recommend that you should propose at least 1 and a maximum of 6 names for your business while applying for a name for approval.
And the name should not resemble any other company already registered in India as an entity, you can ensure that by looking at the existing company names via the MCA website.
Apply for the name
Once you have decided on the names, you can now apply for the availability of the name via eForm1 A to the concerned ROC by logging on the MCA portal.
You have to pay INR 500 fee for the name approval.
Get your Digital Signatures
The next step is to apply for DIN but in order to do that, you first need to have your digital signatures ready with you as it will require them while applying for DIN.
There are various certifying agencies who will provide you with Digital signatures i.e DSC.
Using Aadhar card-based authentication, digital signatures can be obtained and they can also be arranged by your chartered accountant.
Get your Director Identification Number
In order to apply for a private limited company, all the individuals who are going to be the shareholders i.e Directors will have to get their Director Identification Number i.e DIN individually.
The SPICE Inc form helps you do that. You can apply for a DIN via the MCA website.
Applying for MOA and AOA
The next step is to apply for a Memorandum of Association and Articles of Association.
The Memorandum of Association or MOA is the document that covers the power and constitution of the company and outlines the core foundation of the company upon which it is to be built upon.
It defines the scope and boundaries of the company and what it can be and what it cannot do.
The Articles of Association or AOA defined the bylaws of the company, i.e the duties and responsibilities of the directors of the company.
Apply for MOA and DOA and get it vetted by the ROC and get those documents printed.
Get PAN and TAN
Once your company is incorporated you will be given the incorporation certificate which you can print and apart from that you will also get the PAN Card and the TAN i.e Tax deduction and collection account number.
Both the PAN and TAN are required for you to raise invoices and deduct tax i.e TDS for billings done by the company.
You can also apply for a GST certificate and number later on.
Open a bank account
With all the information in your hand, you can now open a current bank account under the name of your company at any bank of your choice.
All the payments you receive or payments you make will have to be done via the bank account.
Also, after you open your bank account, all the directors have to deposit a cheque in proportion to the face value of the shares allocated to the directors. This cheque should be deposited within a few days of the opening of the bank account.
Next Step, B2B leads?
Now that you have already opened up your private limited company, the next step is to grow your business and for that, you will be needing a B2B company database to target potential customers.
You can check EasyLeadz for the B2B leads database.