Why to Choose a Private Limited Company?

• Limited Liability
• Easy to get funding
• Easy ownership Transferability
• Improve Business Credibility
• Grab the International business Opportunity
• Limit the Risk to Personal Assets
• An Easy Exit Plan
• Separate legal entity
• Perpetual Succession
• Eligible for Government Start-up Scheme

What is DIN?

DIN is Director Identification Number given to an existing Director or potential Director of any Company which is incorporated or to be incorporated. It is a Unique Identification Number. DIN is issued by Ministry of Corporate Affairs.

What is DSC?

Digital Signature Certificate means singing the valuable documents electronically/digitally by an authorized person. It is used for signing the electronic forms. It cannot be used in physical documents.

Can Minor become a Director?

No, minor cannot become a Director because for Director DIN is compulsory and to get a DIN an individual should have achieved age of 18 years or above.

Can NRI/Foreign Nationals become a Director in an Indian Company?

Yes, NRI/Foreign National Can become a Director as well as a Shareholder of the Indian Company provided he should be a Competent to Contract and the Company in which NRI/ Foreign Nationals is/are Director(s), should have at least 1 Indian Resident as a Director on its Board of Directors.

Can a Salaried person also become a director of a Company?

Yes, a salaried person can also become a Director of a Company provided employment agreement allow for such provisions. Generally, employers do not have any problem if their employee is Director of any Company.

What is Authorized Capital?

Authorized Share Capital is basically the maximum permissible amount of share capital that a company can issue to shareholders. A Company can change its authorized share capital whenever it require from time to time depending upon the requirement of the company subject to shareholders/members approval.

What is Paid-up Capital?

Paid-up share Capital also known as the Issued share Capital of the company is an amount of shares issued by a company to its share holders.

What is Registered Office?

The registered office of a Company or legal entity is the principle/main place of business for a company and all official correspondence is sent to this location.

What is MoA- Memorandum of Association?

According to Section 2(56) of the Company Act, 2013 “Memorandum” means the memorandum of association of a company as originally framed or as altered from time to time in pursuance of any previous company law or of this Act. It is a Charter document of the company which contains basic and fundamental details about the company. Any act done beyond the scope of the MoA is void.

What is AoA – Article of Association?

Article of Association are by-laws of the Company. It contained Rules & Regulation followed by the Company. It defines objectives, duties and powers of the Board of Director, Borrowing Capacity, Voting Rights, Procedure for issue and transfer of Shares.

Can we increase Authorised Capital & Paid-Up Capital after Incorporation?

Yes, Authorised Capital & Paid-Up Capital can be increased anytime after incorporation.

How can I register an Indian Company?

Yes, Incorporating a company through Simplified Proforma for Incorporating Company electronically (SPICe -INC-32), with eMoA (INC-33), eAOA (INC-34), is the default option and most companies are required to be incorporated through SPICe only.

How can Foreign companies establish a place of business in India?

Any foreign company can establish its place of business in India by filing eForm FC-1 (Information to be filed by foreign company.