In India, a private limited company is regulated by the Ministry of Corporate Affairs (MCA). Corpseed makes it simple to register a business because everything is done online. A minimum of two people must act as directors and shareholders in order to register a company in India. To form a private limited company in India, you'll need the director's PAN card, address evidence, and bank statement, as well as the registered office's address proof.

A private corporation is defined as follows under Section 2 (68) of the Companies Act of 2013:

A company with a minimum paid-up share capital as may be prescribed, and whose articles restrict the right to transfer its shares; except in the case of a One Person Company, limits the number of its members to two hundred; and prohibits any public invitation to subscribe to the company's securities.

It is highly recommended that you register a private limited company because this sort of business allows you to limit your liability as a shareholder while also limiting your ownership options.

The most common type of business entity in India is the private limited company. As of October 2020, India had over 20 lakh companies registered, with 12 lakh of them considered as active. Under the Firms Act, 2013, the MCA (Ministry of Corporate Affairs) regulates all companies incorporated in India.

Requirements for forming a private limited company

• Total Number of Shareholders 2 different people
• the number of directors 2 different people ( Can be 3)
• Minimum Authorized Capital of Rs. 1 lakh
• Rs. 10,000 in paid-up capital

NOTE: This is only a basic need; the number of directors can be expanded to 15, and the number of shareholders to 200.

Documents needed to register as a Private Limited Company in India

The two Directors must provide evidence of identity and provide the following documents:

1. PAN Card (Personal Identification Number): For company registration, a copy of the proposed directors' PAN card will be required.
2. Proof of Address: The name of the Director as it appears on the PAN Card, as well as the Director's most recent address, must be included in the address proof.
3. Proof in the Home: The residential evidence must also include the Director's name as it appears on the PAN Card and must be no more than two months old.
4. Proof of the Registered Office: In addition to giving proof of identification, address, and residential address for the Directors, documentation of the Company's registered office address must also be submitted.
5. The registration document stating the company's ownership of the registered office's premises; OR A notarized copy of the lease/rent agreement in the company's name, as well as a copy of the most recent rent payment receipt;
6. In addition to the aforementioned, proof of registered office must include the following: The Landlord's permission to use the premises as the company's registered office (as stated on the Electricity Bill, Gas Bill, Water Bill, Property Tax Receipt, or Sale Deed). This is commonly referred to as a Landlord's NOC.

Members

According to the Companies Act, 2013, a minimum of two members and a maximum of 200 members are required to register a Private Limited Company in India.

Partners have limited liability.

Each shareholder's obligation is limited. If the firm suffers a loss in any way, the shareholder is obligated to sell the company's assets. His personal belongings are not in jeopardy.

Continual succession

Even in the event of the death, bankruptcy, or insolvency of any of the members, the private limited company that has been registered continues to exist in the eyes of the law. The company's life span is infinite.

The members' index

A private limited company has an advantage over a public limited company in that they do not have to maintain a member index, whereas public limited companies are compelled to do so.

Number of Board Members

In India, only two directors are necessary for a private limited corporation. A private limited corporation can commence operations with the presence of two directors.

Association Memorandum

The company's charter is represented by the Memorandum of Association. The Memorandum of Agreement (MOA) is a legal document that is created during the company's establishment and registration process. The Memorandum of Understanding establishes the shareholders' relationship as well as the company's goals.

Association Articles

The AOA establishes the rules and regulations that govern the Company's internal management. The AOA specifies the company's management's responsibilities, rights, and authorities. A subsidiary of the Memorandum of Association is an article of association.