Public limited company is a company where two or more members can form a Company while offering shares to the general public. Shares can be held by anyone where holders have limited liability to an extent of paid up of shares. Offering shares to general public is a best mean to raise a capital. Here ownership and management are two different segments with limited liability. Among the different forms of corporate in India; public limited company formation in India is one of the common one usually carried for prominent and authentic projects. For a public limited company in India it requires minimum of 3 directors and 7 shareholders.
- Here shares can be offered to general public.
- One can advertise for selling of share publicly.
- Can access to capital and easily enter to stock market.
- Can put value to shares and define extra financial status.
- Get prestigious status in the society.
Thus, if you need to have prestigious profile, need to offer opportunity to public in respect of buy or selling of shares and need to have greater access to capital then you must go for public limited company formation in India.
Documents Required for Public Ltd Company FormationBelow are the documents require for the public ltd company formation in India these documents comprised of legal forums, company profile documents and other applications need to apply for certifications.
- Firstly apply for approval of company's name while filing an application to ROC.
- Then it is require to get file an application for company registration.
- Then submit fees along with other documents like legal forums, company documents and other formalities like MOA / AOA.
- Finally after incorporation of company; need to apply for certification of commencement of business. But before that below points must be complied by the company.
- Need to attach a statement in Form INC – 21 for a declaration of compliance by the directors of the company under the provisions of Section 11 of the New Companies Act, 2013.