Documents Required for Private Limited Company Registration in India

Published Fri, 02 Jun 2023 Corporate Law

‍As a business owner, registering your company as a private limited company in India is a crucial step towards building a successful enterprise. Private limited companies are the most popular form of business entities in India because of the limited liability protection they offer to shareholders, the ability to raise capital, and the ease of doing business. However, the registration process can be daunting, especially when it comes to the documentation requirements. In this article, we will provide you with the ultimate checklist of documents required for private limited company registration in India.

Introduction to Private Limited Company Registration in India

Before we dive into the documentation requirements, it's essential to understand what a private limited company is and why it's a popular choice for business owners in India. A private limited company is a type of business entity in which the liability of shareholders is limited to the amount they have invested in the company. It is a separate legal entity, meaning that it can enter into contracts, sue or be sued, and own assets in its own name. Private limited companies must comply with the Companies Act of 2013 and other applicable laws and regulations.

Private limited companies are popular in India because they offer a range of benefits. Firstly, they provide limited liability protection to shareholders, which means that they are not personally liable for the company's debts or losses. Secondly, private limited companies can raise capital from investors by issuing shares. Thirdly, they have a separate legal entity, which means that the company's assets and liabilities are separate from those of the shareholders. Finally, private limited companies are easy to incorporate and operate.

Why are Documents Necessary for Company Registration?

Documents are a crucial part of the private limited company registration process in India. They serve as proof of identity, address, and ownership. The documents are required to ensure that the company is registered correctly and that the information provided is accurate. They also help the government keep track of the company's operations and ensure that it complies with the law.

Submitting the required documents is mandatory for private limited company registration. Failure to provide the necessary documents may result in a delayed registration process or even rejection of the application. Therefore, it's essential to understand the documents required for private limited company registration in India.

List of Documents Required for Private Limited Company Registration

There are several documents required for private limited company registration in India. These documents can be broadly classified into the following categories:

Documents Related to the Identity and Address of Directors and Shareholders

The following documents are required for the identity and address proof of the directors and shareholders:

• Proof of Identity and Proof of address for an Indian National:
  • PAN Card
  • Aadhaar Card
  • Voter ID card/Driving License
  • Utility bills/Bank Statements: The latest electricity bill, telephone bill, or water bill or Bank statement in the name of the Director and Shareholders are required as proof of address. (Note that the Utility Bills/Bank Statements shall not be older than 2 months)
• Proof of Identity and proof of address for a Foreign National:
  • Passport
  • PAN Declaration
  • Voter ID card/Driving License/Any other Govt. ID
  • Utility bills/Bank Statements: The latest electricity bill, telephone bill, or water bill or Bank statement in the name of the Director and Shareholders are required as proof of address. (Note that the Utility Bills/Bank Statements shall not be older than 2 months)
• Contact Number and email Id of Proposed Directors and Subscribers

Note: Further if any of the documents are not in English language then an English translated copy must be provided.

Documents Related to the Registered Office of the Company

The following documents are required for the registered office of the company:

• Ownership deed: In case the registered office is owned by the company, the ownership deed/ property papers must be submitted; or
• Rental agreement/ Lease deed: A rental agreement is required if the registered office is rented or is on lease along with a No Objection Certificate (NOC) from the landlord / owner for use of premises as  Registered office
• and
• Utility Bill: The latest electricity bill, telephone bill, or water bill is required (However the Utility Bills/Bank Statements shall not be older than 2 months from the date of submission of application)

Documents Related to the Company's Incorporation

The following documents are required for the incorporation of the company

• E-Memorandum of Association (MOA): The MOA contains the company's main and ancillary objectives to operate the business;
• E-Articles of Association (AOA): The AOA contains the company's rules and regulations
• DIR -2: Consent from all the Directors to act as a Director of the Company
• INC - 9: Declaration to be submitted by the first subscribers and Directors of the Company

Additional Requirement in case of Foreign Nationals

Attestation and Legalisation Requirements in case of foreign National/ Non resident Indian.

Proof of Identity of foreign national, Proof of Address of foreign national, DIR-2 of foreign national, INC-9, as mentioned above shall be attested depending on the country of residence of the applicant. The attestation requirement is described hereunder:

1. in a country which is part of the Common Wealth, by a notary public of that country,
2. in a country which is party to The Hague Apostille Convention, 1961, attestation to be made by a notary public of the said country and duly apostilled in accordance with Hague Convention; or
3. in a country which is not party to Hague Convention and Commonwealth, authenticated by a Diplomatic or Consular Officer empowered in this behalf under Section 3 of the Diplomatic and Consular Officers (Oaths and Fees) Act, 1948 (40 of 1948) i.e. attested by Public Notary and authenticated by Indian Embassy in the country of residence.

If foreign subscribers/directors arrive on a "Business Visa" to India and sign the documents while staying in India, then the documents are not necessary to be Apostilled and Notarized or Consularised as mentioned above.

Common Mistakes to Avoid During Document Submission

The following are common mistakes that applicants make during document submission for private limited company registration in India:

• Incomplete documents: Ensure that all the documents are complete and contain all the necessary information.
• Incorrect information: Ensure that all the information provided in the documents is accurate and matches the application form.
• Expired documents: Ensure that all the documents are not expired and are valid.
• Mismatched signatures: Ensure that all the signatures in the documents match those in the application form.
• Improper formatting: Ensure that all the documents are properly formatted and are readable.

Importance of Proper Documentation for Successful Company Registration

In conclusion, proper documentation is crucial for the successful registration of a private limited company in India. The documentation requirements may seem overwhelming, but they play a vital role in ensuring that the company is registered correctly and that the information provided is accurate. It's essential to understand the documents required and to submit them correctly and on time.

As a helpful assistant, we hope this ultimate checklist of documents required for private limited company registration in India has been useful to you. With Companies Next expert advice, you can successfully register your private limited company and embark on a journey towards building a successful enterprise.

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