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PDF Editor FAQ

With an NRI as one of the directors, what is the procedure to register a private limited company?

Basically the difference is in the documentation like the various affidavits, ID and address proof need to be notarised and/or apostilled in the country of his residence. Get multiple sets because you will require for DIN number, for Digital signature and maybe later even for bank account opening.If the NRI is just a Director with no shareholding, then I would suggest that you wait to make him a Director after incorporation. The process will be easier.CA. Bhavesh Savlawww.cabks.in

How do I register a startup in India? How much money and time does it take? If am currently only 17, what issues will I face during registration?

The introduction of the INC-29 by the Ministry of Corporate Affairs (MCA) is the first step in improving the ease of starting a business in India. It facilitates the incorporation of the company in a single form and has reduced the complexity and cost associated with the previous method. Once this form is filed with the Registrars of Companies (ROC), the company will come into existence legally.Previously, the incorporation process consisted of 3 steps involving as many as 5 forms:DIR-3- Application for Director Identification Number (DIN)INC-1 – Application for Name ApprovalINC-7 – Incorporation of CompanyDIR-12 –Appointment of First DirectorsINC-22 –Situation of Registered OfficeAdditional Read-> Start Up India, Stand Up IndiaNow, all of these have been replaced by a single INC-29 form.Under the new scheme, the approval of the DIN, Name, and Incorporation, all happen together.The process usually takes 4-10 days, which is substantially lesser than the one-month-long period needed previously.The government is working on speeding up the process to one day (for incorporating the company after filing the INC-29 through the MCA portal).You can also apply for Permanent Account Number (PAN) and Tax Deduction Account Number (TAN) as well.The steps for incorporation of a company through INC-29 are :Obtain the Digital Signature Certificate (DSC) for one director.To obtain it, submit the signed DSC form along with a self-attested copy of PAN Card and address proof.File INC-29 fora) Applying for DIN for up to 3 directorsb) Applying for company namec) Applying for company registrationd) Applying for PAN and TANe) Providing details of registered officeAttach the following documents.a) Memorandum of associationb) Article of associationc) Affidavit and declarationsd) Proof of identity and residence for subscribers and applicantse) Proof of office addressf) Jurisdiction details for PAN, TANGet one of the directors to digitally sign the form.Upload form and pay the fees.Do Note->As per Indian laws, a minor cannot enter into a contract.Therefore, if you are under the age of 18, you either need to set up a company with one of your parents or you need to wait until you attain your majority.If you have any other personal finance query, feel free to reach out->Adhil Shetty

How do I start a private company in India?

First, You contact to company Secretary(CS) in your area.They give better option to start private company. If you face any problem in it you message me I will provide you CS.second,Steps for forming a Private Limited Company:Step 1: Obtain Digital Signature Certificate (DSC)*Step 2: Obtain DIN*Step 3: Name AvailabilityStep 4: Form SPICE INC-32Step 5: MOA and AOAStep 6: PAN and TAN ApplicationIts a complicated process….Step 1: Obtain DSC (Digital Signature) Digital signatures are required to file the forms for company formation. The registration process is online and the forms require a digital signature. DSC is mandatory for all subscribers and witnesses in the memorandum and articles of association. You must obtain the digital signature certificates from government recognized certifying agencies. The list of such certified agencies can be accessed here. Or you can get your DSC online in just two days from here. The cost of obtaining DSC varies depending upon the certifying agency. You must obtain either class 2 or class 3 category of DSC. Under Class 2 category, the identity of a person is verified against a pre-verified database whereas, under class 3 category, the person needs to present himself before registering authority to prove their identity. To acquire DSCStep 2: Apply for DIN (Director Identification Number) DIN is an identification number for a director. It has to be obtained by anyone who wants to be a director in a company. One DIN is enough to be a director in any number of companies.There are 3 ways of obtaining DIN:Option 1:File form DIN 3. This form required basic details of the proposed director along with identity proof like PAN, Aadhaar Card, etc and address proof. This is option is only available for existing companies. It means with effect from January 2018, the applicant need not file DIR-3 separately. Now DIN can be applied within SPICe form for up to three directors.Option 2: With filing SPICe, DINs gets issued to the proposed directors who do not have a DIN. Under this process of filing through SPICe (INC 32), maximum of three directors can apply for DIN. If applicant want to incorporate Company with more than 3 Directors and more than 3 persons doesn’t have DIN. In such situation applicant have to incorporate Company with 3 Directors and have to appoint new directors later on after incorporation.Option 3:Click on the link & let a ClearTax expert procure DIN for you. If you go for Private Limited Company – Registration with ClearTax, up to 2 DINs are covered in the plan & there is no need to apply for DIN separately.Step 3: Name ApprovalTo get the name approval, there are following options:Option 1:Incorporating a Company via RUN (Reserve Unique Name) form: In an attempt to ease procedures for new as well as existing companies, the Ministry of Corporate Affairs (MCA) has introduced RUN web service for the incorporation of a company. RUN gives only one chance for applying and in case of rejection of the name due to any similarity of name with a registered company, an LLP or trademark or due to non-adherence of the Companies (Incorporation Rules) 2014, there are no second chances available. It means you have to be sure of the proposed name and should follow name availability guidelines, existing trademarks to avoid rejection. The applicant has to re-file another RUN form with prescribed fee.Please note that DSC and DIN shall not required for filling of RUN form for reservation of name. Only MCA Account is mandatory.However, with effect from March 23, 2018, Ministry has decided to permit two proposed Names and one re-submission (RSUB) while reserving Unique Names for the Companies.Option 2:You can apply for the proposed name through SPICe(INC-32) but only one name can be applied to this form, which is similar to that of the provision in RUN.Moreover, in case of rejection due to non-approval of the name, the applicant will get a second chance of refilling the same SPICe form without any further charges. It means you get two chances of filing the same form without any extra charge of paying Rs. 1000/- both the times.In case of failure to get the name approved in the second go, you can file the SPICe form again from scratch. This will any day prove to be cheaper than opting for the first option. The whole process including name approval and incorporation takes around 2-3 daysStep 4: Form SPICe (INC-32) Ministry of Company Affairs has introduced Form SPICe (INC-32). It is a simplified proforma for incorporating a company electronically. It serves the following purposes with the benefit of a single application:Application for allotment of DIN (Director Identification Number)Reservation of company nameIncorporation of a new companyApplication for PAN and TANPrior to May 2015, the registration of companies required the filling up of several documents, such as the DIR–3 for acquiring the DIN (Director Identification Number), INC-1 for obtaining a name, INC–7 for registering the company with the Memorandum and Articles of Association, INC–22 for the registered office and finally, Form DIR-12 for the directors. Now, all of these forms have been merged together.The digital signature of a professional is required to file Form INC-32. The professional must certify that all the information given in the form is correct. The professional can be Chartered Accountant, Company Secretary, Cost Accountant or advocate.With effect from January 2018, New Process of Name Approval “RUN” notified and e-form INC-1 omitted. INC-7 form omitted. Only way out for incorporation of Company is SPICE. No ROC fees for Incorporation of Company up to 10 lack of authorized capital.Step 5: e-MoA(INC-33) and e-AoA (INC-34) e-MoA refers to an electronic Memorandum of Association and eAoA is electronic Articles of Association. These forms have been introduced to simplify the process of company registration in India.Memorandum represents the charter of the company while articles of association contain the internal rules and regulations of the company.Earlier memorandum of association and articles of association were required to be filed physically. But now these forms are filed online on MCA portal as a linked form with SPICe (INC-32). Both these forms must be digitally signed by subscribers to the Memorandum and Articles of Association.Step 6: PAN and TAN Application Through this single form SPICe, you can also apply for company’s PAN and TAN by using forms 49A for PAN and 49B for TAN. The system will auto-generate these forms after the submission of SPICe form. All you have to do is download it, affix digital signatures and upload both forms on MCA portal If all the details in the form are duly filled in along with the required documents, MCA will approve the registration and a CIN (Corporate Identity Number) will be allocated. You can also track this CIN online on MCA portal.Documents required for filing SPICe (INC-32)The following documents must be filed with SPICe (INC-32) for the incorporation of a company:A. Where director and subscriber are Indian NationalsAn Affidavit on a Stamp Paper is to be given by all the subscribers of the Company to state their willingness to become the shareholders of the CompanyProof of office address – Rental AgreementCopies of utility bills that are not older than two monthsCopy of approval in case the proposed name of the company contains any word(s) or expression(s) that require approval from central governmentIf the proposed name is based on a registered trademark or is subject matter of an application pending for registration under the Trade Marks Act, then it is mandatory to attach the trademark registration certificate or trademark application copyNOC from the owner of the propertyIn case of subscribers/ Director does not have a DIN, it is mandatory to attach, proof of identity and address proof of the subscribersB.Where director/subscriber is a foreign NationalPassportAddress proof: It can be driving license, residence card, bank statement, Government issued form of identification containing an addressRegistered office proof: It can be registered document which shows the title of the premises in the name of the company or notarized copy of lease deed or rental agreementBest of Luck!

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