Registering a business in India has been a complex procedure that has taken quite a long time over the past years. The INC-29 Form and Digital Signature program launched today has made Company Registration a simple operation, thanks to the efforts of the Ministry of Commerce. The process has become so simple that anybody who wants to sign their business can do so sitting at their comfortable location and logging in at a convenient time. Nonetheless, certain specific criteria for registering one's Company have been stipulated. Let us look briefly at those criteria.
Meet and register the company with these criteria
- When the company you want to register is a private corporation, make sure that at all times there are at least two shareholders
- The maximum number of private limited company shareholders is maybe 200
- The number of shareholders a Public Limited Company may have no ceiling
- Any person or business may be a shareholder
The following individuals are liable for the same in respect of the ownership of shares
- Someone who is Indian Citizen
- Any Indian Company
- Whoever is from another country
- Any international Business
- Any foreign national is permitted to hold an Indian Company's share, provided that FDI requirements are followed
- No shareholder is responsible for having any correspondence address in respect of India
Condition Regarding Directors
- The person elected to oversee, monitor, and manage the entire Company is eligible for the position of Director
- The shareholders choose or assign the Company's directors
- In the case of Private Limited Company, it is required that at least two directors should be in the positions at all times
- By default 15 individuals will be the company's director and that number can be increased by passing a resolution on the board
- Also, living persons may be counted as Directors. This is to ensure that no Organization is regarded as an independent company to be treated as a Director
- All Directors must be older than 18 years
- Between the two Directors, during the previous calendar year, at least one Director must have continuously resided in India for one hundred and eighty-two days.
- When one of the directors is in a foreign country, getting an address for correspondence in India is not a requirement
Standards regarding Office Premises
- Every business planned to be registered in India must have an office address in India and it will be named the registered office.
- All civil and regulatory matters affecting the Business shall be dealt with in compliance with the scope of jurisdiction in which the Company's premises are situated
- This registered office will remain the location where all records relating to the activities of the Company are kept. This will also be the contact address for the public at any time, and the issue of legal notices
- It will remain the company's registered office for as long as the company operates. If at any point in time a change of location is a must, the same can be achieved by informing and obtaining permission from the Ministry of Corporate Affairs
Main things to remember when New Business files
- The promoters must intimate the state of incorporation before registering a company so that they may apply for the name of the company
- After the name has been obtained, the company can join the registration process.
- Although the registered office address does not need to be given during registration, the same must be required within 15 days of the company's registration date
- Once the office is established after providing all the details requested, it is the Directors' responsibility to keep the ROC informed about the company's incorporation within 30 days.
For more details regarding the Registration of a company