1. Applicable Form for Annual Return The annual return must be filed using Form MGT-7 or MGT-7A MGT-7 is for standard private limited companies MGT-7A is for small companies and One Person Companies (OPCs) 2. Filing Due Date Must be filed within 60 days from the date...

1. Eligibility Criteria for Startup India Registration Must be registered as a Private Limited Company, Partnership Firm, or LLP Must be a new entity, not older than 10 years from the date of incorporation Turnover must not exceed ₹100 crore in any financial year...

1. Optional but Advantageous A private limited company can voluntarily register under the Udyam Registration Portal as an MSME Applicable to companies engaged in manufacturing or service activities Registration is based on investment in plant & machinery and...

1. Goods and Services Tax (GST) Registration Required if annual turnover exceeds ₹40 lakh (₹20 lakh for services) Mandatory for businesses involved in interstate supply or e-commerce Needed to collect GST, claim input tax credit, and file monthly/quarterly returns 2....

1. Higher Compliance Requirements Must comply with various provisions of the Companies Act, 2013 Requires statutory audits, board meetings, annual filings, and record maintenance Non-compliance can lead to penalties, disqualification of directors, or even company...

1. Limited Liability Protection Shareholders’ personal assets are protected from business liabilities Their risk is limited to the unpaid amount on shares held Reduces financial exposure in case of business failure or legal claims 2. Separate Legal Entity The company...

1. Ownership Structure OPC: Owned and operated by a single individual who acts as both shareholder and director Private Limited Company: Requires a minimum of 2 shareholders and 2 directors, allowing for shared ownership and management OPC is suitable for solo...

1. Restriction on Share Transfer and Public Offer A private limited company is restricted from inviting the public to subscribe to its shares It cannot freely transfer shares beyond its existing shareholders or pre-approved investors These restrictions are defined...

1. Mention in the Memorandum of Association (MoA) The Objects Clause of the Memorandum of Association (MoA) must list all intended business activities The company can engage in any number of businesses that are clearly defined under main, ancillary, or other objects...

1. Legal Provision for ESOPs Governed by Section 62(1)(b) of the Companies Act, 2013 Requires approval through a special resolution passed by shareholders Must follow the Companies (Share Capital and Debentures) Rules, 2014 2. Eligible Recipients of ESOPs Can be...