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Centre Approves One-Click Incorporation for Public Limited Startups

The Government of India has approved a groundbreaking reform enabling one-click incorporation of public limited startups, significantly simplifying the entry process for new-age entrepreneurs. Announced by the Ministry of Corporate Affairs (MCA), this reform is part of the government’s broader Digital India and Ease of Doing Business agenda and is designed to accelerate the formalization of innovation-driven ventures. The streamlined process will be facilitated through the revamped SPICe+ (Simplified Proforma for Incorporating Company Electronically Plus) platform, now integrated with PAN, TAN, GST, EPFO, ESIC, and bank account services—all available through a single digital interface.

The new framework allows eligible startups to complete their public limited company registration within 48 hours, subject to digital verification of promoter details and business objectives. Key innovations include automated name reservation, e-MoA (Memorandum of Association), e-AoA (Articles of Association), and dynamic pre-filled forms based on Aadhaar and PAN data. Startups will also benefit from zero incorporation fees for capital up to ₹15 lakh and pre-approved DIN (Director Identification Number) allotment for up to three directors per entity. These changes eliminate the need for multiple filings and physical documentation, ensuring a paperless and seamless incorporation experience.

To ensure governance readiness, newly incorporated public startups must comply with standardized listing disclosures, maintain a digital compliance certificate, and appoint at least one independent director within six months. The government will also roll out compliance toolkits and startup orientation modules via the MCA21 portal. Industry leaders have lauded the reform as a critical boost to India’s startup ecosystem, stating that it lowers entry barriers, saves time and costs, and empowers innovators to access capital markets sooner. This one-click mechanism is expected to significantly increase the number of public limited startup incorporations in the 2025–26 fiscal year.

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