Company Registration Online – How to Register a Company Online in India
Everyone knows the value of money and time they invest in starting a company. The main thing that matters and important as the other business activity is choosing, what would be the best company structure for a business? Registering with the right company will help you in completing business processes efficiently in order to achieve the business goals that you have made.
If you are starting a business in India whether it is a small, medium, or large scale, registering it is one of the mandatory parts. In this blog, we will learn about the business structures of India and how you can register your business as a company.
Before heading towards the point that how to register a company, let’s see the business structures and types of companies in India.
Different Types Of Business Structures In India
This will help you in choosing the company structure for your business. Let’s understand the types of those structures available.
1) Private Limited Company
First of all, a private company is a separate legal entity from its founder, as per the company laws. A private company can never be owned by a government organization. Usually, a private limited company has small number of members and they do not trade their shares to the public on the platform such as stock market exchange. Only private stocks are owned and traded in the market.
2) Limited liability partnership
A limited liability partnership business means a legal business structure in which all the partners have their limited liabilities. It is a business structure that most commonly used by professionals such as accountants who go into practice together.
3) One Person Company
One person company business structure is introduced in 2013. It is a business structure that handles and owned by only one person. That person can enjoy every service and benefit that a private company has like access to credits, loans from the bank, limited liability, and much more.
4) Public limited Company
A public limited company is a company that has a separate legal existence and the liability of the owners or members is limited to the number of shares they are holding in the company. The shares of a public limited companies are listed on the stock exchange where they are open to being traded publicly.
These are the types of business structures available in India and you can choose from them that fits your business needs and requirements. You can register your business under one of these structures and enjoy the benefits that come with them.
Now let’s jump towards the documentation because it is important to know about the documentation requirement related to the registration.
Documents Required Completing The Online Company Registration In India?
Providing proper documents is the only way you can get your business registered under a company. These documents include proof of identification, proof of address, details of all the shareholders and the company’s directors.
- Documents like the PAN card of the directors are mandatory for the company registration.
- Now, coming to the address proof, the name of the director should be on the address proof that matches the PAN card.
- For the residential proof, you can give any document not older than two months and must be named on the director.
You must keep all the documents ready before starting the registration process. Other documents that you should keep while registration and are mandatory including Aadhar card, driving license, passport (these will be used as the proof of identity of the director). Telephone bills, electricity bills, bank account statements are used to provide address proof.
In order to register your business online, you must have a registered office in the country. For the proof of that office, a copy of any electricity bill, property tax receipt, and water bill must be available. If you are running an office on rent then a rental agreement, maintenance bills, ale deed, NOC from the landlord, and his permission to use his property as the registered office.
Apart from these documents, the DIN (director identification number) and DSC of the directors are also needed while doing the registration. We will talk about them ahead. But these are the most important documents that you have to submit while doing company registration in India.
Reasons And Benefits To Register A Company In India
There are various reasons and benefits to register a company in India that includes-
1) Separate Legal Existence
It means your company is a separate legal entity from its directors and shareholders because according to the law, a company is an artificial judicial person supported by the companies act. The members of the company are not liable for the acts and decisions of the company even after owing the large percent of shares.
2) Easy Transfer of Ownership
There does rise a situation sometimes in a business when you need to transfer the ownership of the business to anyone else but if you haven’t registered your company then it is not possible to transfer the ownership. This is one of the most important reasons and a benefit of the company registration in India. Whether One Person Company, Limited Liability Partnership, Private Limited Company, or Public Limited Company, you can do it easily if you have registered.
3) Brand Recognition
If you have registered your business, you got the biggest asset as it can go on from one generation to another or could be sold to a new entrepreneur in the market. You will grab the position in the competition and this will constantly increase your reputation and brand recognition. You can build goodwill and if you are a business owner then you know better how goodwill plays the role.
4) Secure Funding And Investment
To move your business ahead, a businessman cannot miss out on the ways to securing funding and investment. Incorporation always promotes and facilitates funding and attracts more investors to the business. Not only this, but the banks and other financial institutions prefer to provide funds and loans to the registered companies rather than the unregistered ones.
How to register a company in India online?
Whether you want to go for the one person company registration, partnership firm registration, private limited company registration, sole proprietorship registration, or any other registration, it is important to know about the process of registering the company in India. We prefer online registration because it is easy, time-saving, and done with an expert’s help. Let’s see how to register a company in India online.
Step 1: Digital Signature Certificate (DSC)
A digital signature certificate is an electronic format of one's signatures and can be presented as proof when you are doing the online company registration in India. This is the best way to sign documents digitally on the internet to access any service or information. This certificate will be used to sign the forms required in the process.
Step 2: Director Identification Number (DIN)
While registering for the company online, you will need the Director’s identification number that is eight digits and comes with lifetime validity. It maintains the information related to the director of the company in the database. One DIN number can be used to be the director of two companies at a time. DIN of the director along with the name roof and address proof will be provided in the company registration form.
Step 3: Registration on the MCA Portal
For accessing basic e-services you have to register on the MCA (Ministry of corporate associates) portal. When you successfully registered yourself, you can easily use the e-services that MCA provides to their registered users. To apply for the company registration, a form called SPICe + form is to be filled and submitted on the MCA portal. After the successful registration in the MCA portal, you are free to access the services of the MCA portal that includes e-form filing, viewing public documents, etc.
Step 4: Certificate of Incorporation
It is a legal certificate or document that describes the information related to the company. This certificate is counted as the legal proof of the identification of the company or corporation, you can avail of all the benefits offered to your company by the legal business structure. These benefits include tax benefits, perpetual existence, and many other things that may help you in growing business operations.
Once the form f registration is filled successfully, it will be submitted by attaching the required documents and then the registrar of the companies will go through the application form and properly examined it. After this, you will get the certification of the incorporation from them.
Expertbells Can Help You In Company Registration
We are the leading online business services platform that can help entrepreneurs to start and grow their businesses. If you are planning to register your company in India, online registration is the best way that can save your time as well as money. You don’t have to visit any registrar's office and make your place in any queue.
We offer business services that can make it easy for you to GST registration and filing, license, tax filing, and much more at an affordable cost. Visit Expertbells and choose services according to your requirements. We will provide expert advice to every customer in order to make the process convenient and faster.