The Most Popular Types of Companies in India
As India is one of the largest and steadily prospering economies of the world, the corporate world of India is rather rich and varied with presence of almost all types of companies/firms which are engaged in its various economic fields/sectors. In general, the types of companies active in entire India include the following:
One Person Company (OPC), Sole Proprietorship, Partnership Firms (registrable under the Indian Partnerships Act, 1932), Private Limited Company, Limited Liability Partnership (LLP), Public Limited Company, Unlimited Company, and Section-8 Company. Excepting Sole Proprietorships, Partnership Firms, and the LLP, all these types of companies are now registered and regulated as per the new Indian Companies Act of 2013, and all provisions and rules associated with this main and magnificent company law of India.
Today, the sole proprietorships and partnership companies are on decline, constrained by a variety of factors, including the non-availability of the advantages of the limited liability. These discouraging factors have been further averted by introduction of the LLPs and OPCs in India. The LLPs are registered and regulated by the Indian LLP Act of 2008 (including the LLP Rules of 2009), while the OPCs are registered and controlled under the Companies Act, 2013. The Unlimited Companies (deprived of the benefits of limited liability and other advantages) are also not very popular and common in India. Thus, today, the most popular types of companies booming in India are the following:
Private limited companies, one person companies, public limited companies, limited liability partnership companies, and the section-8 companies. Here, it may be just mentioned that, the Non-Governmental Organizations (NGOs) are registered and regulated under other legal acts and statues. The paragraphs below give exclusive and very beneficial information only about the registration of the most popular types of companies in entire India, for doing business or providing services in the desired economic fields.
For registration of private limited company, public limited company, one-person company, and the section-8 company, relevant is the Registrar of Companies (RoC) of the concerned State/Union Territory. Today, online filing of requisite application is also available, along with the same through the traditional process (i.e. offline process). Again, for registration of a limited liability partnership, the legal Act concerned is the LLP Act of 2008, and the appropriate governmental authority for its registration is the Ministry of Corporate Affairs (MCA), Govt of India (website: mca.gov.in). In general, for registering any of these hugely popular types of companies anywhere in India, the following are the main processes/tasks
- Getting DSC and DIN, and PAN by individual directors
- Checking availability of the any of the proposed names of the company
- Filing requisite application for registration of the company
- Filing/submitting the various necessary documents (including MOA & AOA or LLP Agreement) and information related with the company as well as its directors and other executive professionals
- Getting any necessary permissions from the regulatory bodies for registering the proposed company
- And, then getting the certificate of company registration from the relevant Registrar.
For registering a one-person company, required are one director and one stakeholder, both can be the same person. For a private limited company registration in India, necessary are two directors and two shareholders; while for registering a public limited company, essential are three directors and seven shareholders at the minimum. The section-8 company is registered as a private limited company, like the OPC. And, for registering an LLP, required are at least two designated partners. The information and documents to be submitted to the Registrar vary as per the type of selected company.
For registration of a company, today available are two other procedures, apart from filing separate forms for above-mentioned tasks, such as DIR-3;INC-1/Form-1 (for LLP); INC-2/INC-7/Form-2 (for LLP); INC-22; DIR-12; etc. The second procedure is using the Integrated Company Incorporation e-Form INC-29, which facilitates most of above-noted tasks through filing just a single form. The third procedure is using the Combined SPICe e-Form INC-32, together with the RUN (Reserve Unique Name) web-service of MCA. However, here it must be noted that the third procedure for company registration is applicable when the authorized share capital of the proposed company is up to Rs. Ten Lakh.
To know all about registering the desired type of company anywhere in India, or for harnessing our expert and efficient legal services for any tasks associated with management or growth of a company, Indian or foreign people may readily contact us through any of the following means: Contact at: +91-8800-100-284 or Mail at Contact@Company-Registration.in
Posted by Anita Aswal - 29th April 19