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- DIN for 2 Directors
- DSC of 2 Directors / Shareholder
- Name approval Directly in Spice Form
- e-MOA / e-AOA
- Certificate of Incorporation
- E-PAN Card
- E-TAN Letter
- Mandatory ESIC/EPFO Registration
- Professional Tax Registration
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Welcome to click To Professional
Do you want to formalize your business as a legal body before introducing its basic operations? Then you have to seek company registration services. It’s the most crucial step, providing legal protection, rights, and a strong establishment.
Choosing the proper business structure is the initial step for your organization to work effectively and fulfill your business goals. A business owner can register a company online as part of the required legal compliance.
At Click To Professionals, we offer professional guidance and ensure to assess all legal and regulatory aspects properly. We help you choose the ultimate business structure, organize documentation, and ease compliance processes, and give assistance in important approvals. CTP helps entrepreneurs make detailed decisions and start their entrepreneurial journey confidently. Hence, team with us to navigate the business incorporation online seamlessly and be ready for a compliant, thriving and progressive business venture.
Before delving deeper into the online company registration process, let’s discuss the favorable business structures in India.
Key Types of Business Structures
in India
The basic types of business structures in India are as follows:
Sole Proprietorship
A sole proprietorship is a business that can be established and run by an individual. It has no partners and is not an individual legal entity from the owner. The single owner is liable for all obligations and debts of the business. Freelancers and small businesses usually choose this business structure because of its minimal compliance needs.
Partnership Firm
As the name suggests, a partnership firm contains two or more persons as partners. These partners have an equal share of profits from their businesses. Also, they need to share all the liabilities and responsibilities equally. This business formation is regulated under the Partnership Act of 1932. Small companies with low investment can choose this business structure.
Private Limited Company (PLC)
This is the most popular business formation in India, and it is considered a separate legal body from its owners. This business structure is privately held by shareholders; whose liability increases up to the share numbers held by them. This business entity is registered under the Companies Act 2013. SMEs and big businesses can choose this structure.
Public Limited Company
Registered under the Companies Act 2013, a public limited company has a different legal existence. Its members’ liability is limited to their shares. SMEs and large-scale businesses that want to raise funds from the public can go for this business formation.
One Person Company (OPC)
Introduced under the Companies Act 2013, a One-Person Company includes all the advantages of Sole Proprietorship and features of a Private Limited Company. This business structure allows a person to form a separate legal body while providing limited liability protection. Small businesses that need to raise funds can choose this structure.
Limited Liability Partnership (LLP)
This flexible legal entity offers limited liability protection to all partners and allows them to participate in business management and operations. Formed under the Limited Liability Act of 2008, this business structure has all the features of a company and a partnership firm. Service providers and professionals who need limited liability often choose this business formation.
Importance of Choosing the Right Business Structure in India
As discussed before, choosing the proper business structure is a crucial step when you want to run a business. Whether setting up a startup or developing your existing business, you must know the options. A legal entity decides your management and paperwork needs, tax rates, capital-raising capacities, and more. Although sole proprietorship and partnership firms are easy to establish, they offer inadequate liability protection.
You should select a business structure cautiously as it decides on Income Tax Returns. Each structure has an individual compliance level to be met. While a sole proprietorship demands only an ITR, a company must file an ITR and annual returns with the Registrar of Companies (ROCs).
A company’s Books of Accounts should be audited compulsorily every year. Following these legal compliances requires more monetary investments in tax filing professionals, auditors, and accountants. Therefore, choosing the right business formation is necessary for a Private Limited Company Registration. Moreover, a business owner should know all the legal compliances before handling them.
Investors usually like a legal and recognized business formation. They may be ignorant of offering money to a sole proprietor. However, an investor feels more comfortable investing in a recognized legal structure like a PLC, LLP, etc.
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Considerations for Choosing the Right Type of Business Structure
Every business structure has different requirements and particular regulations during and after online business registration. Consider some vital factors while planning for company incorporation.
Here are some factors that help you decide the proper structure for your business:
These are key decisions you should make while planning to run a business with a limited number of stakeholders. If you want to raise funds from a broader investor base, a Public Limited or a Private Limited company will be a more precise option because they can issue shares.
You should consider your business’s development prospects. If you wish to appeal to external investors or potentially go public in the future, opt for a structure that promotes such expansion. For instance, a Public Limited Company is a better option for raising funds from stock markets.
The nature, industry, and basic activities of your business play a crucial role in choosing an appropriate business structure. For example, a manufacturing firm may select a distinct structure from a consulting agency because of their different business targets and requirements.
Consider the extent of liability you want to bear. Partnership firms and sole proprietorships have unlimited liabilities. Hence, the risk to personal assets is very high in case of any loan default. However, structures like LLPs and PLCs are well-established. Therefore, they ensure complete protection of your assets when the business goes through financial challenges.
Each business structure has a different level of legal obligations and regulatory compliance. You should assess the administrative functions and tax implications related to these structures. For example, a Private Limited Company has more complex compliance needs than a Sole Proprietorship.
Procedures of Company Registration in India: How to Start a Company Online
Following a proper company registration process is essential for all businesses. It legalizes a business and establishes its operations under the regulatory and legitimate system.
Here are some steps to follow for a smooth and legal online business registration in India:
Company Name Approval
This is the initial step of company incorporation. Select a unique name for your company and apply it to MCA for approval. Names submitted for approval must be associated with your business activities and follow the MCA rules. You can use our website's online company name availability check option. Your company name is Reserved in just 48 hours of Submitting the Documents.
Applying for a Digital Signature Certificate (DSC) and DPIN
The next step is to apply for a DPIN and digital signature. DSCs help validate e-documents and online transactions. They also ensure the integrity and security of online submissions during the startup registration process. DSc takes next 2 days.
Submitting MOA and AOA
After the name approval, the Articles of Association (AOA) and Memorandum of Association (MOA) should be ready. These include the regulations and by-laws of an organization controlling business operations. Ensure that both AOA and MOA are filed with the MCA and the subscription statement for validation and approval.
Preparing Documents and Forms
Please complete the application forms, attach the necessary documents, and get expert verification. Then, file the form with the ROC and make the final payment.
Applying for Business Registration
After the name is approved, apply for business incorporation. This includes brief information about the business structure, directors, registered office, shareholders, and other necessary data. Private Limited Company and One-Person Company Registrations use SPICe+, whereas LLP registration uses FiLLiP.
Getting a Certificate of Incorporation (COI)
Once you complete the documentation and file the form with the department, the registrar will issue a COI. The COI mentions important details of your organization, such as its name, creation date, CIN number, date of foundation and incorporation, etc.
Applying for a Bank Account
After receiving the COI, you can submit its copy, PAN, AOA, and MOA alongside the bank account opening form to open your business account.
Please note that the steps mentioned above can be different for different business types.
Based on the business and industry type, extra compliances may apply.
Company Registration Documents Checklist
Here is the checklist of the general documents that should be submitted for registering a Private Limited Company, Public Limited Company, One Person Company, and LLP.
Documents of the Shareholders &
Directors of the Company
- PAN card, Driving license, Passport, or Adhar card as proof of identification
- Latest electric bill, Latest telephone bill, or Bank account statement having address as the proof of address
- DSC and DIN (DPIN for LLP only)
- Latest passport size photograph
Documents of the Company
Make sure to submit the following documents as the proof of registered office of the organization:
- Rental or tenancy agreement between the company and landlord
- NOC or letter from the landlord that shows permission to use the office premises as the registered office
- Sale Deed of the office premise in the organization’s name
Company Registration Fees
The online business registration fees usually vary depending on different factors, such as the business structure, the jurisdiction under which you are registering, professional costs, stamp duties, and other extra services you may need.
At Click to Professionals, we have customized our services to fulfill the requirements of visionary business persons looking to build and legalize their organizations. With this aim, our company registration consultants provide registration options for OPCs, PLCs, LLPs, etc.
This brief method considers the development and expansion of the business. It ensures the selected business structure perfectly balances its present and future requirements.
Consultation Charge Includes Legal Formalities, Time Limit, Complete process, Documents and Complete Benefits.
- Company Name Precheck
- Certificate of incorporation
- PAN, TAN
- 2 DIN, 2 DSC
- E MOA, E AOA
- Stamp Duty Charges
- Company master data
- 2 E-copies of Share Certificate
- 1 Name Approval Application
- ESIC Registration through SPICe Plus
- PF Registration through SPICe Plus
- Current account Opening Through SPICe Plus
- Stamp duty on INR 1 Lakh Authorized Capital
- Expert advice by CA/CS
- Register your Company at Ministry of Corporate Affairs Etc
- Company Name Precheck
- Certificate of incorporation
- PAN, TAN
- 2 DIN, 2 DSC
- E MOA, E AOA
- Stamp Duty Charges
- Company master data
- 2 E-copies of Share Certificate
- 1 Name Approval Application
- ESIC Registration through SPICe Plus
- PF Registration through SPICe Plus
- Current account Opening Through SPICe Plus
- Stamp duty on INR 1 Lakh Authorized Capital
- Expert advice by CA/CS
- Register your Company at Ministry of Corporate Affairs
- GST Registration
- Commencement of Business (INC-20A)
- MSME
- Auditor Appointment (ADT-1) Etc
- Company Name Precheck
- Certificate of incorporation
- PAN, TAN
- 2 DIN, 2 DSC
- E MOA, E AOA
- Stamp Duty Charges
- Company master data
- 2 E-copies of Share Certificate
- 1 Name Approval Application
- ESIC Registration through SPICe Plus
- PF Registration through SPICe Plus
- Current account Opening Through SPICe Plus
- Stamp duty on INR 1 Lakh Authorized Capital
- Expert advice by CA/CS
- Register your Company at Ministry of Corporate Affairs
- GST Registration
- Commencement of Business (INC-20A)
- MSME
- Auditor Appointment (ADT-1) Etc
- 1st Annual Compliance of company
- Trademark Registration
- Startup India Registration
Please note that the costs mentioned above are approximate company registration costs. These vary based on the professional fees, authorized capital, stamp duties, and the number of members and directors and in which state you want to Register your Company.
Compliances to Be Followed After a Successful
Online Company Incorporation
After successful online company registration, seamless business operations and legal compliance are necessary.
Here are the essential aspects that you must consider:
Financial Statements
Annual General Meeting
Board meetings
Annual Returns
Audits
Statutory Registrars
The above are some standard compliance needs that a company should abide by. Based on an organization’s particular sectors and activities, a company might follow some extra industry-specific compliances.
Stay updated and informed about the expanding regulatory and legal needs.
Financial Statements
Annual General Meeting
Board meetings
Annual Returns
Audits
Statutory Registrars
How Click To Professionals Can Help?
Click To Professionals is a reliable partner specializing in online company registration services in India. We offer simple and comprehensive support and guidance throughout the company incorporation process. Our team of experts provides professional consultation customized to your particular needs and business targets to register your business at a minimal rate, anywhere and anytime.
Choosing a precise business name is essential, and Click To Professionals’ experts can help you select a unique and perfect name that matches ROC guidelines. We can conduct an online company name availability check and book your chosen name that reflects your business recognition.
Compiling essential company registration documents can be a tedious process. However, our team can also effectively handle this task. We can guide you through the process of collecting all needed documents, ensuring compliance and precision, to register your business hassle-free.
By selecting Click To Professionals for your online business registration, you can be assured that the procedure will be handled efficiently and professionally. We ease the process, helping you focus on your business goals while we take care of your legal needs. So, it’s time to introduce your entrepreneurship with a guarantee by registering your business with Click To Professionals.
Frequently Asked Questions (FAQs)
If you submit all necessary documents to the MCA, your business registration can take 10 to 15 days.
GST registration is compulsory for some businesses with eCommerce functions or organizations with a turnover of over INR 40 lakhs. With Click To Professionals, this registration takes only three to five working days.
You can change a few details, such as the directors’ addresses, and share structures with appropriate authorities. However, such changes should be made by filing Form DIR-12 with the ROC within thirty days from the date of the changes.
A one-person Company needs only one director. However, it also requires one nominee and member.
You can use the online company name availability check tab on the Click to Professionals website to search for available names for your business. Please note that we will only offer options based on registered similar names.