Private Limited Company Registration in Kerala-Process, Cost, and Documents Required
Kerala is the southernmost state of India. Famous for its tea, coffee, natural beauty, and high education rate, it is a perfect state to start a company in. If you are considering going for new company registration in Kerala but aren’t sure if it’s the right decision, then this article is for you.
Advantages of starting a company in Kerala
There are many reasons that make Kerala the perfect state to start a company in:
- The KSUM (Kerala start-up mission) initiative by the Kerala government grants a lot of support to people wanting to start a new business in Kerala. The kind of support ranges from low rates of loans, to rent subsidies, to even subsidised marketing support.
- Kerala is the only state in India that the UN has declared has a very high human development index by the UN. Because of this, the city is constantly growing and open to new and niche industries.
- Due to the high education rate, the state is perfect for finding skilled employees.
- Additionally, Kerala has the highest digital reach among all Indian states. Starting a business in Kerala with any sort of digital presence gives you access to a wider audience than you would get in any other state.
Benefits of new company registration
All companies in India are governed by the Companies Act, of 2013. All Indian companies come under the purview of the Ministry of Corporate Affairs (MCA) and have to submit annual statements to the MCA from time to time. There are 2 types of companies: private limited companies and public companies.
Here are some benefits that all companies enjoy, be it private limited companies or public companies.
- All companies enjoy a separate legal identity
- Companies enjoy transferability
- Companies enjoy high credibility due to a high level of governance
- Companies have easy legal redressal mechanisms available
- Company owners are not liable for losses or financial burdens of the company
Who is eligible to start a company in Kerala
Any organization or any individual who is of 18 years of age, who has the minimum required capital contribution and can start a company in India. The minimum authorised capital required to start a company in India is INR One Lakh. Apart from that, to start a company you also have to meet the following requirements:
- Firstly, the proposed company must have a minimum of 2 directors. At least one director must be a permanent resident of India.
- Secondly, you must have a registered office address in Kerala that is capable of receiving communications.
- Thirdly, the company must have a minimum of 2 shareholders
Pro Tip: There is no limit on paid-up capital; however, it is advisable to keep the paid-up capital more than the face value of shares of the company.
Company Registration Process in Kerala
You can easily apply for new company registration in Kerala online. Additionally, with the help of online legal service providers such as LegalWiz.in you can complete the entire new company registration process within as little as 10-15 days! (Depending on MCA approval)
To register a new company in Kerala:
- Firstly, you have to apply for Digital Signature Certificates (DSC) for all the to-be directors and shareholders.
- Secondly, you have to apply for Name Reservation for the new company, you can do this via the RUN service which is available in part A of the SPICe+ form.
- Finally, you have to fill Part B of the SPICe+ form for company incorporation with the relevant attachments, such as the Agile Pro form, SPICe+ AoA(Article of Association), SPICe+MoA (Memorandum of Association), etc.
You have to follow the same process for private limited company registration and Public company registration.
Documents required for company registration in Kerala
To incorporate a new company in Kerala you need the following documents (applies to private limited company registration as well as public company registration):
For to-be directors of shareholders who are Indian Nationals:
- Self-attested copies of their Aadhar cards
- Self-attested copies of their PAN cards
- Self-Attested Identity proofs (Voter ID, Passport, Driving License)
- Self-Attested proof of address (Utility bills or bank account statements)
For to-be directors of shareholders who are Foreign Nationals:
- Their passport-size photographs
- A copy of their proof of nationality (copy of a passport, etc)
- Copies of their address proofs (Driving License, Utility bills or bank account statements)
The abovementioned documents for foreign nationals have to be notarised and apostilled.
Documents for Registered Office
- Proof of address (Utility Bill)
- Copy of Rent Agreement if the property is on rent
- No objection Certificate (NOC) from the owner of the property if the property is on rent
- Self-attested copies not older than 2 months
Pro Tip: All the proofs should be recent/updated, they should not be older than 2 months.
Cost of company registration in Kerala
There are 2 kinds of government company registration fees that you have to pay while starting a new company in Kerala:
- Stamp Duty: You must pay stamp duty on the incorporation document, the MoA and AOA. It is calculated based on the state in which the company is getting registered and the authorised capital of the company.
- MCA Form Fees: This fee is calculated on the basis of the company’s authorised capital. The minimum fee is INR 820 for a company with an authorised capital of 1,00,000 (minimum capital requirement).
Additionally, name registration via the run service (SPICe+ Part A) also charges a fee of INR 1000. You have to pay all the fees online on the MCA portal (the last step of submitting the SPICe+ form).
Here are LegalWiz’s packages for online Company Registration:
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
Monjima is a lawyer and a professional content writer at LegalWiz.in. She has a keen interest in Legal technology & Legal design, and believes that content makes the world go round.
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