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How is a Public Limited Company incorporated in India?

1. Preparation of Prerequisites

  • Ensure that at least 7 shareholders and 3 directors are available for incorporation.
  • At least one director must be a resident of India.
  • Obtain Digital Signature Certificates (DSC) for all proposed directors.
  • Apply for Director Identification Numbers (DIN) for each director.
  • Prepare the Memorandum of Association (MoA) and Articles of Association (AoA) detailing the company’s objectives and rules.

2. Name Reservation and Approval

  • File the RUN (Reserve Unique Name) form on the MCA portal to get company name approval.
  • Choose a unique name that complies with naming guidelines under the Companies Act.
  • The approved name is valid for 20 days, within which incorporation must be completed.
  • The name must end with “Limited” to signify public company status.
  • Trademark checks should be done to avoid conflicts with existing entities.

3. Filing of Incorporation Forms

  • Submit the SPICe+ (Simplified Proforma for Incorporating Company Electronically Plus) form on the MCA portal.
  • Attach documents such as MoA, AoA, address proof, identity proof of directors, and declaration by subscribers.
  • Include Form AGILE-PRO-S for PAN, TAN, EPFO, ESIC, GSTIN, and bank account registration.
  • Upload supporting documents like utility bills and NOC for the registered office.
  • Pay the prescribed government filing fees and stamp duties online.

4. Certificate of Incorporation

  • Upon successful verification of documents, the Registrar of Companies (ROC) issues the Certificate of Incorporation.
  • The certificate includes the Corporate Identification Number (CIN).
  • It marks the legal creation of the company as a separate legal entity.
  • The company can now commence business and enter into contracts.
  • The incorporation date becomes the official date of establishment.

5. Post-Incorporation Compliance

  • Open a current bank account in the company’s name.
  • Hold the first Board Meeting within 30 days of incorporation.
  • Appoint the first auditor and file the Form INC-20A (Declaration for commencement of business).
  • Print share certificates and maintain statutory registers.
  • Ensure compliance with all initial tax registrations and record-keeping rules.

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