Private Limited Company Registration in Delhi NCR -Process, Cost, and Documents Required
Introduction
Delhi is the capital of India and one of the leading metropolitan cities in the country. Delhi NCR is considered an ideal location by entrepreneurs due to the presence of key industries like Information technology, telecommunications, hotels, media, banking, tourism, and consumer goods manufacturing. One of the most popular business incorporation structures in India is a Private Limited Company. Anyone looking to build a scalable business can go for private limited company registration in Delhi because of the features like the limited liability of shareholders, separate legal entity, ease in raising funds, lower tax burden, and ease in registering and managing a business. In this article we will tell you all about how private limited company registration in Delhi, with advantages, costs, and documents required for the same.
Types of company registration in Delhi NCR
The Ministry of Corporate Affairs (MCA) governs the company registration process online in India. Depending upon suitable structure and future business prospects, entrepreneurs can go for any of the below company registration in Delhi NCR:
- Private Limited Company (Pvt Ltd): Best suitable for a group of people starting a business with a plan to raise funds in the future from outsiders along with easy transferability of shares and limited liability of owners. The cost of compliance is moderate in this structure.
- One Person Company (OPC): Advisable for an individual who wants to start a business as a single owner with multiple managers. The cost of compliance is moderate here.
- Public Limited Company: It is a company that offers its shares to the public at large. Anyone can buy shares of a public company from the secondary market. And it is regulated strictly under the Companies Act, 2013 and SEBI Act, 1992. The cost of compliance is highest in this structure.
Advantages of private limited company registration in Delhi NCR
While incorporating a new private limited company in Delhi NCR, the following are the advantages to be kept in mind:
- Geometric growth and expansion opportunities
- Availability of a resource-rich environment for business
- Ease in borrowing funds from financial institutions like banks, NBFCs
- Availability of a highly skilled workforce
- Brand Awareness
- More visibility of company operations to all related parties
Primary Requirements for company registration
Company registration in Delhi NCR is completely online and paperless. The following are the conditions for company registration:
- Firstly, a minimum of 2 shareholders are a must. (Pro Tip: Anyone can become a shareholder in a private limited company i.e, individuals, other companies, or other LLPs. However, only individuals can become directors of the company.)
- Secondly, the proposed company must have a minimum of 2 directors. And at least one director must be a permanent resident of India.
- Thirdly, the name of a proposed company needs to be unique.
- Additionally, the authorized capital of INR 1 Lakh is a must. There is no limit on a minimum paid-up share capital.
- Finally, a registered office address in Delhi NCR is a must.
Process for company registration in Delhi NCR
The average time taken to register a new company in Delhi NCR is 10-15 working days. However, it might take longer since it is subject to approval by the MCA online. Following is the simple 3-step process to register a company in Delhi NCR:
- Firstly, apply for the Digital Signature Certificate (DSC) of all Directors and shareholders,
- After that, create an account on MCA and access the SPICe+ web form to apply for Name Reservation of the proposed company. You can easily do it using Part A of SPICe+ form for incorporation for company,
- Finally, draft and fill out web form SPICe+ Part B, form Agile Pro, SPICe+AOA(Article of Association), SPICe+MOA (Memorandum of Association), and payment of government fees.
Pro Tip: The government fees are paid online through the MCA portal against the challan generated. The challan is valid for 7 days from the date of uploading the web forms.
Cost for company registration in Delhi NCR
There are 2 types of government company registration fees when registering a company in Delhi NCR. One is stamp duty which is based on authorized share capital and the state of company registration. And another one is MCA form filing fees which are as per slab based on authorized share capital. Government fees start from INR. 360 for a company with a minimum authorized share capital of INR. 1,00,000 in Delhi NCR. In case someone wants to apply for a particular name for a proposed company, fees of INR. 1,000 is applicable for each RUN form filing.
Business Package starting from INR. 7,999
- All expenses & Government fee
- 2 Director Identification Numbers (DIN)
- 2 Class III Digital Signatures
- MOA and AOA Drafting
- Name approval with SPICe+
- PAN and TAN Number with Certificate of Incorporation
- The additional cost of INR. 2,000/- per class III DSC in case of more than 2 applicants
Executive Package Starting from INR. 10,999
- All inclusions of the Business Package
- GST Registration
- MSME Registration
- INC-20A filing
- First Auditor and Bank Account opening Resolutions
- Employment Offer Letter, Contract & Employment Appointment Letter
- Website and Disclaimer Policy
Premium Package Starting from INR. 36,999
- All inclusions of the Business Package
- Accounting for up to 250 entries in the entire FY
- Annual compliance filing with MCA for a year
- ADT-1 filing for the first year
- ITR filing for the first year
- GST Return filing for 12 months (Upto 100 invoices per month)
- DIR-3 KYC for 2 DIN holders
Documents Required for PLC Registration
All the document proofs should be recent and not older than 2 months. Below is the list of documents required for company registration in Delhi NCR:
In the case of a director/shareholder who is an Indian National:
- Self-Attested copies of PAN and Aadhar of all the directors and shareholders
- Passport size photograph
- Self-Attested Proof of Identity i.e, Voter ID/Passport/Driving License
- Self-Attested Address Proof i.e, Mobile Bill/Telephone Bill/Electricity Bill/Latest Bank Account Statement.
In the case of a director/shareholder who is a Foreign National:
- Passport size photograph
- Notarized and apostilled proof of nationality i.e, a copy of a passport
- Notarized and apostilled proof of Address i.e, Driving License/Bank Statement/utility bill
Documents for Registered Office
- Business address proof i.e, Electricity Bill/Telephone Bill/Water Bill/Gas Bill
- Copy of Rent Agreement in case of rented property
- No objection Certificate (NOC) from the owner of the property
After registration, it is also important for you to ensure post-registration compliance and to opt for Trademark Registration in Delhi NCR to protect your company’s brand, which is an asset in itself.
Conclusion
In conclusion, the journey of private limited company registration in Delhi NCR is not merely a legal requirement but a strategic investment in the future of your business. Choosing the right structure, understanding the process, and being aware of the necessary documents and costs pave the way for a seamless and successful registration. As you embark on this entrepreneurial endeavour, remember that a well-registered company is not just a legal entity; it’s the foundation for your business’s growth and success.
Frequently Asked Questions
Can I use my residential address in Delhi NCR as the registered office address of a company?
Yes, you can use your residential address as the registered office address of a company. However, it may attract property tax applicable to commercial properties if the residential property is used for commercial purposes. All the business communication from MCA and other authorities will be received at the same address and it will be displayed on the MCA portal in master data.
Can NRI/Foreign nationals register a company in Delhi NCR?
Yes, NRIs/Foreign Nationals can register a private or public limited company in Delhi NCR. However, as per FEMA guidelines, foreign direct investment is not allowed for any other type of business like a proprietorship firm, partnership firm, or one-person company (OPC). Thus, the NRIs and foreign nationals cannot start a partnership firm, proprietorship firm, or OPC in India but can invest in the capital of an existing company or register a new private limited company online. However, the charges for company registration may differ.
Are there any statutory requirements post-incorporation of a new company?
The following are some of the important tasks to keep in mind after company registration in Delhi NCR:
- Bank Account opening in the name of the company within 30 days to deposit the paid-up capital amount collected from shareholders,
- Issue and allotment of shares to the shareholders,
- Take necessary registration from the state government i.e, Professional Tax Registration, Udyam/MSME registration.
- Appointment of the first statutory auditor of a company and filing of form INC-20A
- Accounting and Bookkeeping of all the transactions done in the first financial year of a company and compliance form filing with MCA.
- Apply for GST Registration if applicable,
- Apply for Startup India Registration/DPIIT Registration to take advantage available to startups in India.
Hiral Vakil
She is a Chartered Accountant by profession with 5+ years of experience in the fintech startup ecosystem. She enjoys writing content and sharing her knowledge on topics related to accounting, taxation, and corporate finance.
