Background:
A company is an artificial jurisdictional person, having a separate legal entity, formed by a group of persons, having perpetual succession and a common seal. A company is a perpetual entity, having an indefinite life and is not affected by the status of its shareholders. It is governed by Companies Act 2013 and various amendments thereto. Ministry of Corporate Affairs (MCA) is the Nodal Authority, responsible for the oversight of the companies in India.
Types:
Companies, basis the shareholding, are of three types:
1. Private Limited Company
2. Public Limited Company
3. One Person Company
| Particulars | Private Limited | Public Limited | One Person Company |
| Shareholding | Minimum: 2 Maximum: 200 | Minimum: 7 Maximum: Unlimited | Minimum: 1 Maximum: 1 |
| Directors | Minimum: 2 Maximum: 15 | Minimum: 3 Maximum: Unlimited | Minimum: 1 Maximum: 15 |
| Capital Requirements | None | 5 lacs | None |
Procedure:
The procedure for incorporating a company involves the following:
1. Preparation of Digital Signatures (DSC) of all the directors
2. Filing for the Name Application of the Company,
3. Directors Identification Numbers (DIN) allotment
4. Preparation of the MOA and AOA of the company
5. Filing for incorporation of the company
Additionally for a Public Limited Company, a Prospectus is required to be issued. A prospectus is a comprehensive statement of the affairs of the company issued by a public limited company for its public.
Information & Documents Required:
1. For Digital Signatures:
Self Attested copies of the Aadhaar Card, PAN Card, a Passport Size Photo, Email ID and Phone Numbers of all the directors.
2. For DIN allotment and Company Incorporation:
– Name of the company: At least 3 names in order of preference, since the names are sometimes not available in the MCA database.
– Identity Proofs of the Directors: Either of Passport, Driving License or Voter ID
– Address Proofs of the Directors: Either of Telephone Bill, Mobile Bill or Bank Statement which should not be older than 2 months.
– Registered Office Address Proof of the company: Either of the utility bills among Electricity Bill, Gas Bill or Telephone Bill. A NOC is required additionally from the owner.
– A detailed description of the nature of the business.
– Total Share Capital of the company along with each shareholder share.
– Email ID and Contact Number of the Proposed Company, if any.
3. Other Information Requirement:
– Occupation & Educational Qualification of the directors
– Place of Birth, Permanent Address and duration of stay at the current address of the directors.
– Details with respect to the existing interest of the directors in any company or a proprietorship or a partnership or any other body corporate.
Once the above is prepared, Brainebox Team would share certain documents for the signing of the directors.
In case of a one-person company, a nominee is required to be appointed. Details with respect to Point 2 and 3 are required for one nominee as well.