What is business name registration process in India?
Majorly, there are 5 types of companies that can be registered while starting up a new business:
- Sole Proprietorship
- Partnership Firm
- One Person Company
- Limited Liability Partnership
- Private Limited Company
`Limited Liability Partnership (LLP)
LLP introduced in 2008, which is an improvement over general partnership. This gives promoters an invaluable advantage of limited liability & the company can have continuous existence. Company has to be incorporated through Ministry of Corporate Affairs. Not even an audited annual returns need to be submitted to MCA. The service charge for this service ranges from Rs. 6000/- to Rs 14000/-
`Private Limited Company
It is the most popular legal structure for business and allows outside funding and also employee stock options. More stringent compliance measures to be followed, hence more credibility. The company need to appoint an auditor and the audited financial statements are to be submitted to MCA annually. The company is eligible to issue debentures and convertible debentures. The service charge ranges from Rs.7000/- to Rs.15500/-
Company incorporation is streamlined with the introduction of INC-29
From May-2015, company incorporation can be divided to 2 broad steps
- Obtaining Digital Signature Certificate
- Preparing and submitting INC-29
Government Fees for various types of companies
- One Person Company – Rs.6850/-
- Limited Liability Partnership – Rs.3167/-
- Private Limited Company – Rs.7800/-
Documents Required for INC-29
- Director Identification Number (DIN)
- Memorandum of Association (MOA)
- Articles of Association (AOA)
- Affidavit and declaration by first Subscribers and Directors.
- Proof for Registered Office Address. – Rental Agreement / Sale Deed.
- Copies of utility bill of the registered office address that are not older than 2 months.
- If the proposed company name is a filed or registered trademark, then NOC from the trademark applicant or owner must be attached
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