Quick Requirements for Company Formation in India (within 5 days):
- Minimum Directors: 2 (at least 1 Indian resident required)
- Minimum Promoters/Subscribers: 2
- Company Name
- Business Objectives
- Minimum Capital: INR 1,00,000
- Registered Office: Owned or Rented
Preliminary Steps for Company Incorporation in India:
- Application for Reservation of Name:
- The first step Company Incorporation in India is reserving its name. Propose up to 6 names in order of preference, ensuring none are prohibited under the Indian Companies Act, 2013. File Form INC-1 with the required fees, digitally signed using a Digital Signature Certificate (DSC). Directors must obtain their Director Identification Number (DIN). For a Wholly Owned Subsidiary (WOS) of a foreign company, a board resolution on the company’s letterhead is required, authorized by the Indian Consulate. Foreign directors can authorize an Indian resident to sign the incorporation forms digitally.
- Note: The approved name is reserved for 60 days from the date of approval.
- Finalizing Main Objects and Memorandum & Articles of Association (MOA & AOA):
- After name approval, finalize the company’s objectives and draft the MOA and AOA.
- MOA should follow the format in Table A, B, C, D, or E, and AOA should adhere to the format in Table F, G, H, I, or J as applicable. Two subscribers are required for a private limited company and seven for a public limited company. Foreign subscribers may authorize an Indian resident to sign the MOA & AOA digitally on their behalf.
- Registered Office:
- A registered office address is required for incorporation. Provide proof of ownership (Sale/Purchase Deed) or a rent agreement and NOC if rented, along with a utility bill not older than two months.
- Directors:
- A Private Limited Company in India must have at least two directors, one of whom must be an Indian resident. Assistance for appointing an Indian Director or Subscriber is available.
- Filing Digital MOA and AOA with the Registrar of Companies (ROC):
- After finalizing MOA and AOA, file them electronically in Forms 33 (MOA) and 34 (AOA) with the ROC. Include Form-32 (Spice) and other documents, depending on the authorized capital. Following this, submit PAN and TAN forms within two days. Upon receiving the Certificate of Incorporation, PAN/TAN will be sent via mail and post. The company can begin operations immediately after this.
- Post-Incorporation Tasks:
- After obtaining the Certificate of Incorporation, proceed with:
- Making a company rubber stamp.
- Printing share certificates.
- Printing 50 copies of MOA & AOA.
- After obtaining the Certificate of Incorporation, proceed with:
Fee Structure:
- Name application: INR 1,000
- MOA & AOA printing: INR 5,000
- Digital Signature: INR 2,500 (per person)
- DIN form: INR 500 (per person)
- MOA stamping fees: INR 150 per lakh
Capital Fees (Delhi-based Registered Office):
- Authorized Capital: INR 1 Lakh – Capital Fees: INR 2,000
- Authorized Capital: INR 5 Lakh – Capital Fees: INR 2,000
- Authorized Capital: INR 10 Lakh – Capital Fees: INR 2,000
- Authorized Capital: INR 25 Lakh – Capital Fees: INR 32,000
- Authorized Capital: INR 50 Lakh – Capital Fees: INR 82,000
Time Frame: 5 working days (subject to availability of documents with proper signatures).
Post Company Formation Services in India:
One-Time Services:
- Opening a bank account.
- Appointing the first auditor.
- Share allotment and stamping.
- Registration for GST.
- Obtaining Import Export Code (IEC).
Routine Services:
- Maintaining daily books of accounts.
- Filing quarterly withholding tax returns.
- Filing monthly/quarterly GST returns.
- Managing monthly payroll.
- Preparing and auditing the annual balance sheet.
- Filing income tax returns.
- Submitting annual returns with the ROC.
- Filing FLA returns with the RBI.
- Maintaining statutory registers and minutes books.
- Conducting tax audits if turnover exceeds INR 10 million.
- Performing annual audits for Transfer Pricing (TP).
- Filing FC-GPR and FC-TRS forms with RBI, along with a valuation certificate.
- Consulting on all the above matters.
Note: RBI must be informed about share capital receipts from abroad within one month, and shares should be allotted within six months.
This guide provides a streamlined process for company formation in India, covering all key steps and requirements, ensuring a smooth incorporation process.