Company formation consists of so many steps that need to be followed in the correct manner. You have planned an innovative business idea, arrange the financial budget, choose the location, and buy all the advanced technologies. Don’t you believe that you are missing some very important thing that plays a vital role in company formation? Before starting any business or establishing a firm, it is highly advised to run all essential procedures as per the specified terms and conditions, policies, and standard to gain the legal benefits. Company registration is such a most important legal step that allows entrepreneurs to get a right to form a corporation anywhere in India.
No single company can work or run a business smoothly without the proper registration process. According to Company Law Act, registration is essential for corporation to prove their legal business identity, deal with worldwide dealers, and work in a regular environment. Steps, requirements and registration process have got a little bit changed from the last few years. To get the company registered in proper way and avail all the enclosed benefits, it is advised to take company registration services in India. There are several types of company registration in India from which some of them are defined below:
A One Person Company is a new concept of business in India commenced by the Companies Act, 2013. Combining the features of a company and sole proprietorship, it requires only one member as being a shareholder and sole owner or director. Thus, it is named as One Person Company. This business type is formed to create the unorganized sector of proprietorship firms. OPC has the limited liability where only single person enjoys all the benefits and does not share cake with others. To register a company, entrepreneur requires obtaining DIN (director identification number) and DSC (Digital Signature Certificate), company name, file consent in final corporation form with required documents and receiving the final incorporation certificate.
Private companies comprises of minimum two members and a maximum two hundred members. This business type enjoys all the advantages of greater capital combination of diversified abilities, high stability, limited liability, and legal entity. Transferability of share is subjected only to some specific restrictions. The managing director in a private company may be appointed for a time period of more than 5 years at a time. Being a separate legal person, company is not affected by the sickness, death or other leaving of any member. It enjoys the perpetual succession irrespective of the changes in membership. To register a company, you need DIN, DSC, filing new user registration, and incorporate the company.
Partnership firm is essentially a completely matched business type for small and medium entrepreneurs (SMEs) and professionals. The firm is owned and managed by an association of people for profit generation and revenue. Like private and one Person Company, partnership registration also includes some steps that needs to be followed.
Applying for any company registration while running a business or doing other related task seems tiresome and difficult hence taking service from company of highly experience legal teams, charted accountants or company secretaries is always advised.