Private Limited Company Setup | Start Your Business in just 7 Days*

A Private Limited Company (Pvt. Ltd.) is one of the most preferred business structures in India, offering the perfect balance of limited liability, flexibility, and growth potential. This type of company is a separate legal entity, distinct from its shareholders and directors, which protects individual assets from business liabilities. The structure is particularly advantageous for startups, small businesses, and enterprises looking to attract investors.

This business type ensures controlled ownership by restricting the transfer of shares and is widely regarded as a trusted entity by customers, investors, and financial institutions alike.

• Limited Liability Protection: Shareholders are only liable to the extent of their investment in the company. This protects their personal assets from business risks and financial obligations.
• Separate Legal Entity: The company is independent of its owners, providing a sense of continuity and stability that is unaffected by changes in management or ownership.
• Perpetual Succession: A Private Limited Company continues to exist regardless of ownership transitions, ensuring its longevity and operations remain unaffected.
• Ownership Control: Shares cannot be publicly traded, allowing the company to maintain strict control over its ownership.
• Minimum Members: Requires at least two shareholders and directors, making it easy to form while ensuring professional governance.

Choosing a Private Limited Company structure is a strategic decision that offers numerous benefits:

1. Credibility and Legal Standing: Registration enhances your business’s trustworthiness among customers, investors, and partners.
2. Ease of Attracting Investments: Venture capitalists, private equity investors, and financial institutions are more inclined to invest in a registered company.
3. Tax Efficiency: A Private Limited Company can take advantage of corporate tax benefits, which often result in significant financial savings.
4. Professional Image: A registered company projects a formal and reliable image, making it ideal for growth, partnerships, and expansions.
5. Limited Liability: Shareholders’ personal assets remain protected from business-related risks and obligations.
6. Business Continuity: The company remains functional and operational irrespective of changes in management or shareholding.

Registering a Private Limited Company might seem complex, but with Finodha’s expert assistance, the process becomes straightforward and efficient.

Step-by-Step Guide:

1. Obtain DSC (Digital Signature Certificate): This is essential for electronically signing the documents required for registration.
2. Apply for DIN (Director Identification Number): Each director must have a unique identification number issued by the MCA.
3. Name Approval: We assist you in securing a unique and compliant name for your company that aligns with MCA guidelines.
4. Draft MoA and AoA: The Memorandum of Association (MoA) and Articles of Association (AoA) define your company’s purpose, vision, and operational rules.
5. Document Submission: Upload all necessary documents, including identity and address proofs, to the MCA portal.
6. Certificate of Incorporation (CoI): Upon approval, receive your CoI along with PAN and TAN, enabling you to open a current bank account and commence business operations.
7. Timeline: Finodha ensures registration is completed within 14 working days.

As defined by the Companies Act 2013, we must guarantee that the checklist requirements are met.

Two Directors:

A private limited company must have at least 2 directors, with a maximum of 15. A minimum of one of the company’s directors must be a resident of India.

Unique Name:

The name of your business must be unique. The suggested name should not match any existing companies or trademarks in India.

Minimum Capital Contribution:

There is no minimum capital amount for a company. A company should have an authorized capital of at least ₹1 lakh.

Registered Office:

The registered office of a company does not have to be a commercial space. Even a rented home can be the registered office, so long as a NOC is obtained from the landlord.

To streamline the registration process, ensure the following documents are ready:

For Directors:

• PAN card (for Indian nationals)
• Address proof (Voter ID, Driving License, or utility bill)
• Aadhar Card
• Bank Statement
• Passport-sized photograph
• Specimen signature

For Registered Office:

• Utility bill for address verification
• Rental agreement or property deed
• No Objection Certificate (NOC) from the property owner

After registration, maintaining compliance is critical for the smooth functioning of your company. Finodha ensures your business remains compliant with all regulatory requirements:

• Annual Filings: Submission of financial statements and annual returns to the MCA.
• Tax Compliance: Filing of income tax returns and adherence to GST regulations.
• Statutory Audits: Appointing an auditor within 30 days of incorporation is mandatory, regardless of revenue.
• Board Meetings: Conduct at least two board meetings each year to ensure governance.
• Professional Tax and PF Registration: We also help you stay compliant with state-specific registrations.

At Finodha, we offer transparent and affordable pricing for company registration. The fees include:

• Government fees and stamp duty.
• DSC and DIN for two directors.
• Drafting of MoA and AoA.
• PAN, TAN, and CoI issuance.
• Professional tax registration (state-specific).

• Name Approval Issues: Assistance in selecting a unique and MCA-compliant name.
• Document Preparation: Ensuring all required documents meet regulatory standards.
• Compliance Management: Proactive reminders for statutory filings and audits.

Private Limited Registration is a significant milestone for any business. At Finodha, we’re committed to making this process simple, fast, and efficient. Whether it’s the steps to register a private company, managing documents required for private company setup, or addressing post-registration compliance, we provide everything under one roof. Start your entrepreneurial journey with Finodha today!

Whether you’re launching a startup or expanding your business, a Private Limited Company is the perfect choice for scalability and legal security. Let Finodha help you every step of the way. Contact us now to get started!

At Finodha, we are dedicated to making the company registration process as smooth and hassle-free as possible. From initial consultation to obtaining the Certificate of Incorporation, our experts guide you every step of the way.

• Complete Online Process: With our services, you can register your business without ever needing to leave your home or office.
• Transparent Pricing: Finodha offers cost-effective pricing with no hidden charges.
• Fast Turnaround Time: We ensure your company is registered within 14 working days, allowing you to start operations without delays.
• Expert Guidance: Our professionals handle every aspect of the process, ensuring compliance with the Ministry of Corporate Affairs (MCA) guidelines.

Yes, a company can be registered at a residential address with proper address proof and an NOC from the owner.

With all documents in place, the process takes approximately 14 working days.

Yes, a private limited company must hire an auditor, no matter what its revenues.

An auditor must be appointed within 30 days of incorporation. Compliance is important with a private limited company, given that penalties for non-compliance can run into lakhs of rupees and even lead to the blacklisting of directors.

Yes, an NRI or a foreign national can become a director of a private limited company. He or she must obtain a DIN from the Indian RoC. They can also hold a controlling stake in the company. As long as at least one director on the board of directors is an Indian resident.

Yes, a minimum of 2 directors are needed for a private limited company. At least one must be an Indian resident.
 The maximum number of members can be 200. You can register as a one-person company if you are the sole owner of the company.

The cost varies based on the authorized capital and location. Finodha offers affordable packages that include government fees, professional charges, and documentation costs.

No, the entire process is online. Simply provide scanned copies of the required documents, and we’ll handle the rest.

Yes, so long as the annual compliances are met, the private limited company will continue to exist. If you do not comply with the requirements, it will go dormant, until it is struck off the register altogether.

These documents contain the rules, vision and mission of your organisation, and define, among other things, the exact business and the roles and responsibilities of shareholders and directors.

Yes, a salaried person can become the director in a private limited, LLP or OPC private limited company. One needs to check the employment agreement if that allows for such provisions. In a lot of cases, the employers are quite comfortable with the fact that their employee is a director in another company.

No, one cannot convert an LLP into a private limited company as it is not an MCA. The LLP Act, 2008 and the Companies Act, 2013, both don’t have any provisions for the conversion of the LLP into a private limited company. However, if one wants to expand their business they can register a new private limited company with the same name. The LLP company needs to just issue a no objection certificate.

Yes, it is good to register a family member as a partner. At a later stage one can change this or transfer shares of the directors.