A Company is a mode of doing business by forming an entity which is owned by shareholders but runned and controlled by directors of the company. It is a more organized and professional way of doing business in India.
As per Companies Act, 2013 (governing law for formation of company) company means a company formed and registered under Companies Act, 2013 or any other previous law relating to company. This means for forming a company its mandatory to get your entity registered with Ministry of corporate affairs (ROC). Company being separate legal entity in itself in eyes of law can do work on its own name and get all licenses and registration its own name.
The average time to complete process for company registration/ incorporation is 10 days.
The process of Company Registration/ Incorporation
Company registration/ Incorporation is legal process of establishment of new organization by registering the organization with Registrar of companies (Government). Following are process for company registration
Step 1: Making DSC of Director
The Information Technology Act, 2000 provides for use of Digital Signatures on the documents submitted in electronic form to any authority to ensure the security and authenticity of the documents filed electronically. Hence all filings done formation of company are required to be filed by using DSC (Digital Signatures certificate)
Step 2: Applying DIN (Director Identification Number) of proposed Director to be appointed
All proposed director need to obtain DIN before being appointed as director of company. DIN shall be applied electronically by filling E form DIR-3 to ROC. If a director already has a DIN then he is not required to take a new DIN.
Step 3: Filling Spice form 32 for incorporation of company
Ministry of Corporate Affairs has introduced new Spice form 32 for incorporation of company which has clubbed following services in one:
- Name Reservation
- Incorporation of New Company
- Allotment of PAN
- Allotment of TAN
However please note that only one name can be applied for incorporation in Spice form 32. Once Spice form 32 is filled ROC scrutinizes same and if there is no objection ROC issues certificate of incorporation
Step 4: Getting COI (Certificate of Incorporation of company), PAN and TAN of company
ROC issues a certificate of incorporation if it has no objection in Spice form 32 filled. Further Ministry of Corporate Affairs has also now facilized issuing of PAN and TAN along with COI.