Startups are newly hooked up corporations that can be started out by way of one individual or crew of individuals. They either improve new products/services or make revolutionary changes in the present products/services in something better. India is a treasure of talent. To enhance the Indian financial system and attract gifted entrepreneurs, the authorities take many steps to promote startups. Startup India Scheme is initiated under the management of Prime Minister Narendra Modi.
Types of company registration in India:-
Private Limited Company
A Private Limited Company is a team of shareholders and capital made up of shares. A man or woman who has shares will become the owner of the employer and it can be transferred or sold. Business property are separate from non-public assets. Every shareholder is only accountable for his or her share of the whole capital. They have to keep information such as monetary transactions, meetings, audits, etc.
It is an agreement in which there are more than one person is involved. The profits, roles, and responsibilities are divided into the share described in the partnership agreement. In the case of loss, every person is accountable solely. Even private assets can be used to recover the losses.
Limited Liability Partnership
This thinking is introduced in 2009. An LLP functions as a structured enterprise model. It is a separate legal entity and enterprise assets are separate from the partner’s non-public assets. Every companion has defined most liability in accordance to his or her share capital in the Limited Liability Partnership
In a sole proprietorship, there is only one person’s involvement and accountability for the whole business. He or she has to bear all losses. Even private property can be used to recover the losses. Businesses and owners are now not separate from each other. Any earnings from the business add to the owner’s profits for tax purposes.
Process of Startup Company Registration In India
If you are planning to open a startup company or a new enterprise in India then there are some reputable methods for it. Nowadays, all the documentation method is online. You do no longer need to go to the authorities’ workplace for every manner and query. MCA (Ministry of Corporate Affairs) continues reputable documents of the corporation registration.
To make the system handy and quick, structure ( INC-29 ) introduces. Company registration has merged a few steps such as DIN, Incorporation Application, and Business Name Approval into a single step or process.
Let’s see three predominant steps for Startup registration in India:-
- Obtaining DSC( Director Signature Certificate)
- Form INC-29 ( Preparation and filling)
- Incorporation Certificate
STEP 1: DIGITAL SIGNATURE CERTIFICATE (DSC)
There is an indispensable requirement of the Digital Signature Certificate in a Company. This is the first step towards registration. In this, you have to practice for the digital signatures of the directors or DSC. DSC is a legitimate e-signature on the documents and submits online. This is the most secure way and helps you complete the new enterprise registration online. There are some provisions given by using The Information Technology Act, 2000. It emphasizes for use of Digital Signatures and is submitted in electronic structure for documents. It is to ensure the security and authenticity of the documents filed electronically. All such filings are completed under MCA 21 e-governance program.
It Normally takes 2 days to achieve DSC after submitting the documents.
STEP 2: INC-29 FORM PREPARING AND FILING
Now the next step towards Startup company registration India is INC- 29 form. This form requires certain documents for its preparation. Below are some documents regarding the INC-29 form which is as follows:-
- Director’s Identification Number ( DIN number )
- Name approval
- Memorandum and Articles of association ( MOA & AOA )
- Registered office verification
- Appointment letters and declaration
When you prepare your INC-29 form with the required documents, you have to file the forms for company formation. After that, you can move to the next step.
Now the subsequent step toward Startup registration India is INC- 29 form. This form requires certain documents for its preparation. Below are some files related to the INC-29 form which is as follows:-
- Director’s Identification Number ( DIN range )
- Name approval
- Memorandum and Articles of affiliation ( MOA & AOA )
- Registered workplace verification
- Appointment letters and declaration
When you put together your INC-29 structure with the required documents, you have to file the varieties for corporation formation. After that, you can go to the next step.
STEP 3: INCORPORATION CERTIFICATE
After submitting all the documents you will get an Incorporation certificate. It is the legal document concerning to the formation of a company or startup business.
Required Documents for Company Registration
- A Passport-sized photograph
- A copy of PAN Card
- Latest Bank Statement/Telephone or Mobile Bill/Electricity or Gas Bill
- Voter’s ID/Passport
- Notarized Rental Agreement in English
- No-objection Certificate from the property owner
- Utility Bill for the registered address.
Visit Company Registration for extra details and free expert session as to which enterprise registration is suitable for your startup.