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PRIVATE LIMITED COMPANY REGISTRATION COST IN HYDERADAD WITH BREAKDOWN
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PRIVATE LIMITED COMPANY REGISTRATION IN HYDERABAD
A company is an association of member who works together to earn the profit. A Company is different from its legal entity. It is an artificial person. Before getting into the registration of a Company or Private Limited Company Registration in Hyderabad first let me make you understand about the Memorandum of association and Article of Association of a company. MoA reveals the name, objectives, registered office, capital of the Company. It basically states the relationship of the Company with the outside world. AoA is the necessary documents to be given at the time of incorporation of a Company. AoA and MoA together form the backbone of the Company.
A Private Limited Company is the one which has limited shares and in which there can be a maximum of 200 shareholders and no invitation is made to the public for the subscription of shares. It is the most popular type of legal entity in our country. For private limited company registration in Hyderabad, a minimum of 2 shareholders and 2 directors are necessary. A Public Limited Company is the one which has limited shares but there is no restriction on the number of shareholders or transfer of shares or subscription of shares.
Hyderabad is a city of nizams known for its rich culture and colorful celebrations. It is also called as foodie's wonderland. Famous was it's world-renowned Biryani and other delicacies. The regional language of Hyderabad is Telugu which is one of the oldest languages of our country.
REASONS FOR PVT. LTD. COMPANY REGISTRATION IN HYDERABAD
Company registration in Hyderabad is essential Here are a few reasons:
The Company is liable for all the losses incurred and not the private individual. A person alone is only responsible when he is doing any transaction at his own cost or anything. They have a limited liability concept. A company never dies with the death of the Company. It will usually survive the own existence and doesn’t get affected by the death of any person in the company. With the company registration in Hyderabad, shareholders can control the business of the Company. Shares can be transferred easily as it is easier to sell or buy a share in a Company rather than in a partnership interest.
NEED FOR PRIVATE LIMITED COMPANY REGISTRATION IN HYDERABAD
With the company registration in Hyderabad, companies can raise its funds. Banks also prefer to provide funding to the Companies rather than a Partnership firm. Ownership can be easily transferred with transferability of shares. In a Private Limited Company consent of other shareholders is also necessary for the transferability of shares. Being an Artificial Person, it can acquire, own, enjoy and alienate its property in its own name. For registration of a Company, PAN card is also needed of the person.
PROCEDURE OF PRIVATE LIMITED COMPANY REGISTRATION IN HYDERABAD
There are 4 easy steps for the company incorporation in Hyderabad :
- Acquiring Digital Signature Certificate(DSC) - It is the first step in which each director of a company obtains their Identification Number. Director Identification Number(DIN) has become compulsory now as per the amendment. This form is available on the site of the Ministry Of Corporate Affairs. The person needs to register himself on the MCA website with the fees. After filing DIN-1 director have to intimate the company about DIN through a DIN-2 form. Then the company will intimate the Registrar of the Corporates through a DIN-3 form. If any change in address, name, etc then the director will intimate this change through a DIN-4 form.
- Acquiring Director Identification Number(DIN) - Here to ensure the genuineness of the Document the Information Act of 2000 demands a valid digital signature on the documents submitted electronically. If the person has already the Digital signature then no need to apply for another. This digital signature is only valid for 1 or 2 years. Renewal is also done.
- Filing an E-form - This is about filing an E-form when you have a registered account on the ministry of Corporate Affairs.
- Incorporate the Company - This includes incorporating Company's name, registered office, notice of appointment of the Company Directors, managers, promoters. Both Indian and Foreign directors need to have a valid Digital Signature Certificate for the Incorporation of a Company
MINIMUM REQUIREMENT FOR PRIVATE LIMITED COMPANY FORMATION IN HYDERABAD
The minimum requirements for company registration Hyderabad are:
- There should be a minimum of 2 people and, a maximum of 200 persons.
- No minimum capital is required.
- There will be only one resident director.
- Name of the company must be unique and must end with pvt.limited.
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DOCUMENTS FOR PRIVATE LIMITED COMPANY REGISTRATION IN HYDERABAD
The documents required for the company registration Hyderabad are:
- MoA and AoA: They form the constitution of a Company. These documents are required to be executed by the Promoter of the Company. Moa reveals the name, paid-up share capital, address, etc. But AoA tells about the conduct of a Company.
- Form No.1: This is the declaration to be executed on a non-judicial stamp paper by one of the directors or other specified Attorneys of the proposed Company.
- Form No.18: This form is executed by the directors of the company telling the Registrar of the Company about the registered office for the company incorporation in Hycompan.
- Form No.29: It is the consent obtained by all the directors of the company to act as the director of the Company. This is not done in case of Private company.
- Form No.32: It is a form stating the fact of appointment of the directors of the proposed Company on the Board Of Directors from the date of Incorporation and is signed by one of the directors of the Company.
- Letter of the Approval of the name of the Proposed Company.
- Power of Attorney signed by all subscribers of MoA authorizing one of the subscribers or any other member to act on their behalf for Incorporation of a Company and accepting the Certificate of Incorporation.
- Power of Attorney in case of a subscriber other than a member to sign the MoA of the proposed Company.
- Fees for the process of Incorporation.
ADVANTAGES OF PRIVATE LIMITED COMPANY REGISTRATION IN HYDERABAD
A few advantages of a Company incorporation in Hyderabad are:
- A company has a “Perpetual Succession” that is with the death of a person a Company doesn’t die.
- As a sole trader or in a partnership firm person is responsible for all the aspects of Business but this is not with the case of a Company as it is a separate legal entity from its members. Hence, this is an easy way to protect personal assets.
- Companies and small Business are entitled to a range of tax deductions for education and training, etc.
- Company Registration Hyderabad helps in when conflict arises between founders like when a Company is registered, each person knows its shares and how much they have invested in a particular Company.
- Private limited company registration in Hyderabad is also important as it enhances one's business and dealings with the other companies.
- Raising capital is the sole motive of the Company for the expansion of the business. It is also preferable for investors to invest in a registered Company rather than in a partnership firm.
- Private limited company registration I. Hyderabad or company registration in Hyderabad, since is an online process can be done in 2-5 working days. Through companyvakil.com can be done quicker and hassle-free.
TIME TAKEN in registration process
DIGITAL SIGNATURE CERTIFICATE (DSC)
DIRECTOR IDENTIFICATION NUMBER (DIN)
COMPANY NAME CHECK & APPROVAL
INCORPORATION DOCUMENTS
FREQUENTLY ASKED QUESTIONS ABOUT COMPANY INCORPORATION IN HYDERABAD
Q1. Why is MoA and AoA in a Company is so important?
Ans: MoA is the charter of the which defines the relationship of the company with its shareholder. AoA is the by-laws of the company which defines the internal management of the company. Both MoA and AoA are constitutions of the company.
Q2. What is the Director Identification Number in a company?
Ans: Director Identification Number is a unique number which is given to each and every existing director and as well as to proposed directors.
Q3. What is the difference between the acquisition and merger of a Company
Ans: In acquisition is when one entity takes over the other entity. Mergers are when two or more entities join hands to form a new entity.
Q4. Is it possible for a Foreign Company to have its Registered Office in Hyderabad?
Ans: yes, it is possible for a foreign company to have its registered office.
Q5. Define Authorised Capital and Paid-Up Capital?
Ans: Authorized capital is the maximum amount of capital which company is authorized to generate through shares. Paid up capital is the amount of capital received by the company from its shareholder in exchange for issuing of shares.
Q6. What are the documents required for the company incorporation in Hyderabad?
Ans: Following are certain documents which are required for the incorporation of a company:
● Prospectus
● MoA
● AoA
Q7. What are the advantages and disadvantages of a Private Limited Company?
Ans: Advantages of a Private limited company are: Stability due to Limited Liability, Long, and continuity of Existence, Minimum requirement of shareholders and members, Ease of Raising Funds, etc. Disadvantages of a Private limited company are: Shares cannot be sold on public stock exchanges, Limited growth and the restricted number of shareholders, etc
Q8. How is the Sole Proprietorship business different from a Company?
Ans: Company is an association of persons working for a common goal, whereas a sole proprietorship is an entity managed by a single person.
Q9. What type of business entity Companies are?
Ans: Types of companies you can register are :
One Person Company.
Private Limited Company.
Public Limited Company.
Limited Liability Partnership.
Non-Profit Organizations.
Q10. What is Nidhi company?
Ans: Nidhi companies are formed for the mutual benefit of its shareholders for the purpose of their mutual benefit. This type of companies is different from regular finance investment company or NBFC.
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