Features of Public Limited Company
Registering a Public Limited Company
Public Limited Company is a type of company whose shares are traded in stock market or issues fixed deposits. The company is not in the hands of promoters only as in the case of a private limited company, but it is open to everyone, the public owns it. Its registration is done under the direct control of MCA (Ministry of Corporate Affairs).
Public Limited Company has all the advantages of private limited company and the ability to have any number of members, ease in transfer of shareholding and more transparency. Having limited liability upto the extent of amount of shares held by the shareholders is an advantage over the private limited.
Process to Register
- Reservation of Unique Name (RUN)
- Obtaining DSC and DIN of each of the Directors/ Subscribers
- Incorporating through filing up Simplified forms with MCA
- Identity Proof of Directors/ Subscribers (PAN card, Voter ID Card, Driving License, Passport)
- Address Proof of Directors/ Subscribers (Bank statement, Electricity bill, Mobile bill, Telephone bill)
- Proof for Registered office (rental agreement), NOC (where property is rented)
- Signed Incorporation documents
Frequently Asked Questions.
As per Companies Act, 2013 minimum paid up capital required to form a private limited company is Rs. 500,000/-. However, as per the Companies Amendment Act, 2015 the minimum requirement has been relaxed, as there is no such minimum paid-up capital requirement to incorporate a public company in India.
The Authorised capital also termed as registered or nominal capital, is the maximum amount of share capital that a company is authorised to issue to shareholders. The authorized capital fees depends on the amount of capital that the company wants to issue.
To incorporate a limited company, a minimum number of seven members or shareholders are required, out of which three must be directors.
Any person who is above the age of 18 years is eligible to become a director in a public limited company, regardless of the status whether citizen or foreign national.
No, as per the Simplified Forms to incorporate the company, PAN and TAN registration have become simplified, there is no need to file any separate form for the same.
Name availability can be checked through the Ministry of Corporate Affairs website, or one can apply for a name through RUN (Reserve Unique Name) facility provided by the MCA.
An approved name is valid for a period of
- 20 days in case of new company or
- 60 days in case of an existing company,
from the date of approval.
Yes, after obtention of the DIN, a Foreign National or NRI can become a Director, subject to the condition of atleast one Director must be a Resident India.
Incorporation of a company is completed within a week. However the time to get the incorporation procedure to be complete in all sense depends on the speed of the approvals from Department, and submission of the documents by the client.
Yes, due to the feature of having perpetual succession, company once registered is valid forever as long as the annual compliances are met with regularity. The company becomes a Dormant Company and maybe struck off after a period of time if all the compliances are not met regularly.
No, a public limited company is required to obtain a certificate of commencement of business after getting the incorporation certificate to start its business.
No, the certificate of commencement of business is provided by the government after incorporation certificate on its own. There is no need to file any further form for this.
Packages on Offering.
- Registration of Public limited Company inclusive of 8 DSC, 3 DIN, Name Approval, 5 Lakhs of Authorised Capital, PAN and TAN. Inclusive of government fees and taxes.
- Registration of Public limited Company inclusive of 8 DSC, 3 DIN, Name Approval, 10 Lakhs of Authorised Capital,Share Certificates,PAN and TAN & GST RegistrationInclusive of government fees and taxes.
- Registration of Public limited Company inclusive of 8 DSC, 3 DIN, Name Approval, 10 Lakhs of Authorised Capital,Share Certificates,PAN and TAN, GST Registration & Trademark Filing Inclusive of government fees and taxes.