DIY (Do it yourself) SERIES

CHAPTER-1

How to form your own private limited company in India?

(As per Companies Act, 2013)

 

For some people the process of forming a company can seem no less than a nightmare, so many of them spend their nights pondering upon the correct way of forming a company or wondering as to how a company is actually formed instead of having a sound sleep.

Worry no more as the Corporate Wizard is here to do the magic for you with her magic recipe for forming a company.

INGREDIENTS (What you need to form a company):giphy

  1. Two(2) persons- Promoters of the proposed company
  2. Digital Signature Certificate (DSC)
  3. Choose the type of industry- service, e-commerce, retail, etc.
  4. Choose a name for your company
  5. Address- For the proposed office (with the proof of such address)
  6. Identity Proof- Voters Identity Card/ Passport/ Driving License/ Aadhar Card
  7. Residential Proof- Bank / Electricity Bill/ Telephone bill/ Mobile bill
  8. Declaration by professional- Chartered Accountant/ Company Secretary/ Cost Accountant/ Advocate
  9. Declaration by the 2 persons(as stated in point 1 above)
  10. Memorandum and Articles of Association- Formats available under Schedule-I of the Companies Act, 2013.

 

MAGIC SPELL (The Method and the process to form a Company):

STEP 1– As per Section-3 of Companies Act, 2013, minimum 2 members are required to form a private  limited company. If you are interested in forming the private limited company, you need another person with you who could be a family member, friend, company, anyone of your choice (who exists in the realm of our reality of course..!!!).

STEP 2– Now that you have your mate with you, apply for the Director Identification Number (DIN) because 1 of you need a DIN initially. No! Don’t be scared it’s easy, all you need is:

  • A digital signature certificate- can easily be made nowadays.
  • your passport size photograph,
  • your PAN Card (for identifying you),
  • address proof in your name (mind it, shouldn’t be older than 2 months)- it could be anything like passport, election (voter identity) card, and ration card, driving license, electricity bill, telephone bill or aadhaar card
  • A professional like chartered accountant (in whole-time practice) or cost accountant (in whole-time practice) or company secretary (in whole-time practice)
  • Now, DOWNLOAD FORM DIR-3 from the portal of Ministry of Corporate Affairs, here is the link for your convenience-http://www.mca.gov.in/MinistryV2/Download_eForm_choose.html .
  • Fill the form, attach the scanned copies of the documents, sign the e-form digitally and get the same signed digitally by a practicing professional and then upload it on the MCA portal.
  • Within 5 minutes you will get your DIN. – See it’s that easy..!!!!

STEP 3– After obtaining your DIN, download e-form INC-29 from the MCA portal (link mentioned above) and start filling the fields step-wise. The fields are self-explanatory in the whole form. For further clarity you may read the instruction kit with the e-form which you downloaded.

STEP 4– Attach the scanned copies of all the requisite documents (as specifically stated under the ingredients above). Sign the form digitally and get the same signed digitally by any of the professionals (Chartered Accountant/ Company Secretary/ Cost Accountant/ Advocate). The benefit of engaging the professionals in getting the form digitally signed is that, they shall also verify your form and the details filled in by you for avoiding any mistakes. You may also engage their services for filling and filing the form diligently, effectively and efficiently. (These professionals are known to be extended arms of the Government of India, so you will be in safer hands).

STEP 5– After filling and signing the form, upload the same on the MCA Portal and transfer the fee amount (the details of fee to be transferred are stated in the instruction kit of INC-29) via the net-banking route, you may also deposit the fee via the offline mode.

VOILA..!!!! Your Company has been formed within 48 hours, now serve it hot with awesomeness as per taste😉

For any further details or queries you may mail me at ripple.nagpal1@gmail.com .