Private Limited Company

  • Suitable for closely held groups.
  • Limited Liability
  • Continuity of existence
  • Better Creditworthiness.
Private Limited Company

A Company limited by Share and incorporated with a Share Capital of Rs 1, 00,000 is called as Private Limited Company. Private Limited Company is easy to start up with minimum 2 directors, and with less compliance with registrar compared to other companies. These kinds of companies are closely held businesses usually by family, friends and relatives.

Private companies may issue of share/stock and have shareholders. However, their shares do not trade on public exchanges; Shareholders may not be able to sell their shares without the agreement of the other shareholders. Private limited company's disclosures are lighter. A shareholder's personal assets are protected in case of company's insolvency.

Benefits of Private Limited

  • Suitable for closely held groups.
  • Minimum number of shareholders need to start the business are only 2.
  • Limited Liability: It means that if the company experience financial distress because of normal business activity, the personal assets of shareholders will not be at risk of being seized by creditors.
  • Continuity of existence: business not affected by the status of the owner.
  • Better Creditworthiness.
  • More capital can be raised as the maximum number of shareholders allowed is 200.
  • Registration of a Private Limited Company

  • Initial level discussion between the entrepreneurs and the Aanoor Global team.
  • Getting DSC [DIGITAL SIGNATURE CERTIFICATE] to all Directors for digital authentication of the forms to be filed with Ministry of Corporate Affairs.
  • Getting DIN [DIRECTOR IDENTIFICATION NUMBER] is a pre-requisite for incorporation process for all Directors.
  • Company name availability and draft Object Clause confirmation from client.
  • Filing of Form for Name Approval & Incorporation to the concern ROC [Registrar of Companies] where the client's registered office going to be situated.
  • Getting the Company Incorporation Certificate (Registration) , Memorandum & Articles with PAN and TAN from the Registrar.
  • Minimum Requirements

  • Minimum of Two Directors and Shareholders required. Both of them may be same.
  • Minimum share capital should be Rs 1,00,000 /- [one lakh rupees].
  • Require Documents PAN Card (for Indian Resident), Address & ID proof of all Directors.
  • Address proof of proposed registered office address for registration of company.
  • Limitations

  • Growth may be limited because maximum shareholders allowed are only 200.
  • The shares in a private limited company cannot be sold or transferred to anyone else without the agreement of other shareholders.