What are the requirements need to register a Pvt Ltd Company?
A private limited company in kochi is a company that is kept private for small business. The liability of the members of a private limited company is limited to the amount of shares they hold, respectively. Shares of a private limited company cannot be traded in public. The article talks about all parts of a private limited company
Characteristics of a private limited company in kochi
Members – In order to start a company, a minimum of 2 members and a maximum of 200 members are required as per the provisions of the Companies Act, 201.
Limited Obligation – The risk of every part or investors is limited. This means that if the company suffers a loss under any circumstances, its shareholders are liable to sell their own assets for payment. The personal, personal property of shareholders is not at risk.
Permanent successor – the death of any of its members, bankruptcy, insolvency, even in the eyes of the law. This prompts an enduring tradition of the company. The life of the company lasts forever.
Index of Members – A private company in Kochi has a privilege over a public company as it is not necessary for public members to maintain an index of its members when it is required to maintain an index of its members.
Number of directors – With regards to chiefs, a private company in Kochi needs to have just two directors. With the existence of 2 directors, a private company can be employed.
Capital paid – Must have a minimum paid up capital of Rs 1 lakh or more which may be indicated from time to time.
Prospectus – A prospectus is a detailed statement of company matters disclosed by the company. However, in the case of a private limited company, there is no such need to issue a prospectus as this public company is not invited to subscribe for company shares.
Minimum subscription – is the amount received by the company which is 90% shares issued during a certain period. If the company cannot receive 90% of the amount, they will not be able to start more business. In the case of a private limited company, the shares may be distributed publicly, without obtaining a minimum subscription.
Name – It is compulsory for all private organizations to utilize the word private limited after its name.
Requirements to register a company in Kochi
Holding the amount of capital and the proposed ratio of shares for holding shares
Company a brief description of the company and business
Registration Name of the city where the company registration office is located
Deed of Ownership and Sale (if in your own case)
Proof of identity of the director and shareholders (PAN card)
Evidence of address of registered office fee (electricity bill, telephone bill, etc.)
Director Proof of Director or Shareholder (Voter ID, Passport, Driving License, etc.)
A duplicate of the most recent power charge, phone bill or portable bill for the chief
The business details of the director as well as the shareholders.
Director The email address of the director and shareholders.
Director Contact details of the director and shareholders.
The passport size photo of the director and shareholders
On the off chance that the property is on lease, you need to present a duplicate of the rent concurrence with a No Protest Testament (NOC) from the landowner
Affidavit for unacceptable
NOC for conversion to MO MOA’s original subscribers
MoA and AOA subscriber sheets
PAN Company PAN Card
You need to provide proof of nationality if you are a foreign national customer
Procedure for registration of a private limited company in Kochi
Once the name for the company has been decided, the applicant has to take the following steps:
Step 1: Apply for digital signature certificate and director identification number
Step 2: Apply for name availability
Step 3: File MOA and AOA for registration of a private limited company
Step 4: Company page and TN. Apply for
Step 5: Certificate of investment will be issued by ROC along with PEN and TN
Step 6: Open a current bank account in the name of the company
Advantages of private limited companies in Kochi
In a public company, the rules and ownership of the shares can be sold to the public in the open market. In a private company, on the other hand, the shares may be sold or transferred to another by choice of the owner. The shares of such companies belong to the establishment, management or group of private investors. Shares here do not sell on the open market. Thus the number of shareholders will be less. This implies less intricacy and disarray in dynamic and the board.
Minimum number of shareholders
For a private company, the minimum number of required shareholders is 2, while for a public company; requires at least 7 shareholders.
If we are thinking of starting a public company, you better be prepared as there is a long list of legal formalities for creating a public company. The list is shorter than that of private companies.
The public company is required to disclose its financial reports every quarter, as it will affect public investment; Private companies do not have to suffer any such compulsion.
Management and decision making
Management and decision making in public companies becomes more complex and confusing as more and more shareholders have to be consulted. This complicated process has been eliminated in the private company, as the number of shareholders is small.
Focus on management
Directors of public organizations center on increasing the worth of offers, while administrators of private organizations are more adaptable in present moment and long haul business choices
Stock market pressure
Private companies are not pressured by the stock market and you don’t have to worry about shareholder expectations and interference as long as they act within the law. Investors in broad daylight organizations center on current income and they put focus on the company to increase profit.
Long term planning
Managers of public companies are pressured to increase earnings in the short term in order to increase the value of their shares. Private companies can focus on long-term earnings as such pressures are removed.
Minimum share capital
You will need a lot of money for a public company. The public company has to pay at least Rs. 5, 00,000. The previous minimum share capital for a private company was Rs. 1, 00,000, but now there is not the least implementation. So there is no pressure for funding requirements.
That is clearly not the case; Let competitors know your business secrets. Confidential information such as executive compensation, legal settlement and other necessary information cannot be reserved in public companies.