A private limited company  is a voluntary association of two or more individuals. It offers limited liability, strong brand recognition, and perpetual succession.

Company registration is the process of officially registering your business with the Government of India. It is crucial for starting a new business. By registering your business, you ensure its legal existence and compliance with the law, as businesses that are not registered may be considered illegal. Company registration also facilitates access to loans and government schemes, which can significantly support the business’s growth. Additionally, the owner receives the necessary license to operate the business legally in the city or country where it is based.

• Lower Risk: Limited liability protects the owner’s personal assets.
• Easy Access to Capital: Registered companies can raise funds more easily from investors and financial institutions.
• Legitimacy and Brand Awareness: A registered company enhances credibility, builds goodwill, and attracts more customers.
• Attracts Reliable Investors and Bank Credits: Registration improves trust, making it easier to secure bank loans and investments.
• Protection of Company Assets: Company registration offers legal protection for the company’s assets, ensuring business continuity.
• Greater Stability: Registered companies tend to have better stability and commitment to long-term wealth creation.

• Raising money
• Better Credibility among customers
• Goodwill
• Limited liability of the Promoters
• Perpetual Succession
• No capital constraintRules for Registering Private Limited Company
  Minimum 2 directors and 1 shareholder are required.
  Shareholders cannot transfer their shares as per the AOA.
  Maximum no of shareholder is 50 limited.
  General public cannot but share of private limited company.
  Deposits only allowed from the members and directors.How to register a company/startup in India The following steps are required for your company registration process given below: DSC – Digital Signature Certificate: this is the first step for registering a company. You acquire DSC to ensure the security and authenticity of the documents which is filed electronically. DSC – Digital Signature Certificate: This second step for registering a company. This concept is first time introduced with the insertion of sections 266 A to 266 G of Companies Act, 2006.

  New account on MCA portal

  Apply for the company to be registered

Audit not required

Easy to establish

Relatively Inexpensive

Minimal compliances

Audit not required

Easy to establish

Relatively Inexpensive

Minimal compliances

Step1: In step first select an appropriate name for the firm.

Step2: In step second the applicant has to file an application I form 1 of partnership firm registration.

Step3: In step third partnership deed is prepared with the consent of all the partners on the stamp paper. Partnership deed includes-

Capital contribution made by all partners.

Shares/Interest of all the partners.

Other clauses made with mutual consent of all the partners.

Details of the partners and firm such as their name, address, qualification, etc.

Nature of the firm or business activities involved.

Circumstances or process that would be followed in case of death or retirement of any designated partner.

Profit/loss sharing ratio among all the partners.

Details of loans provided by the partners.

Rights, duties, salaries, commissions, or payable amount of the partners.

Step4: In Step fourth submit all the perquisite documents along with the partnership deed you have prepared.

Step5: In step fifth after the submission verification of documents and issuance of registration certificate.

Easy in decision making

Easy management without any disputes

Easiest business structure

Raising funds

Abrupt dissolution

Unlimited liabilities

Maximum number of members

Less trustworthy for the general public