Starting any business is always an exciting task. But to convert your business idea into a proper company, you must plan properly. Understanding company registration is one of the first things that an entrepreneur should know.
Nowadays, online company registration has become seamless. Thus, you won’t have to go to multiple government offices to complete the formalities. Knowing the steps, documents and requirements will help you to proceed with the registration process.
What Is Company Registration?
The company registration process helps register your business as per the applicable provisions of the Companies Act, 2013. After registration, the company will receive a certificate of incorporation and a Corporate Identity Number (CIN) issued by the Registrar of Companies (ROC). Registering a company makes it a separate legal entity. It can own assets, sign contracts, etc., in its name.
Types of Companies You Can Register
Before registering your company, you need to understand what type of business structure is available:
- Private Limited Company: This would be most suitable if you require a legal entity and may wish to raise money from investors.
- One Person Company (OPC): If you are an individual looking to create a company with a legal entity.
- Public Limited Company: Beneficial if you wish to raise capital from the public, subject to applicable requirements.
- Section 8 Company: A company formed to provide a charitable or other defined non-profit purpose, subject to applicable requirements.
The right structure depends on your business objectives, how you wish to own your company and any applicable compliance requirements.
Step-by-Step Company Registration Process in India
There are various steps to register your company. Here is an easy guide:
Choose which type of business you want to register
Decide if you want to register a Private Limited Company, OPC, Public Limited Company or Section 8 company.
Get Digital Signature Certificates
If your Directors and Subscribers will be signing documents electronically, they will need to get Digital Signature Certificates.
Get a Director Identification Number (DIN)
Anyone who will be acting as a director will need a DIN. This can be obtained during your incorporation process (if applicable).
Choose and reserve a company name
Ensure your company has a unique name following the guidelines set by the Ministry of Corporate Affairs (MCA). The name you choose cannot conflict with any existing company names or trademarks.
Gather necessary documents
This usually includes ID and address for proposed directors and subscribers, proof of address for your registered office and any consents/declarations. This can depend on what type of company you are registering.
Complete your application
Submit your forms and documents via the MCA portal. Your application will then be checked by the relevant authority. They may also ask for more information or to make any changes.
Receive your Certificate of Incorporation
If your application is approved, you will receive your Certificate of Incorporation from the ROC. You can then move forward with any applicable post-incorporation requirements.
How Online Legal India Can Help
Understanding how to set up your forms and documentation can be tricky for any new business owner. Online Legal India assists with online company registration by helping you understand what is required. Depending on how you want your business to be set up, you can get professional support from this firm with your registration.
Please note that this is not a Government Department or Authority, and any applications are reviewed by the Registrar of Companies (ROC).
Take an Informed Step Towards Starting Your Business
Registering your company will give your business a solid base to start. Before registering your company, make sure you know what options are available to you, prepare your documentation and understand the rules that apply. Consulting Online Legal India to get updated information and assistance with the process will give you confidence when registering your company.
