Private Limited Company Registration is the process of incorporating a company with limited liability, separate legal entity, and perpetual succession. It is the most popular form of business entity in India, as it provides several benefits, such as limited liability protection, ease of raising capital, and access to various government schemes and incentives.
Our CA firm offers comprehensive Private Limited Company Registration services to help you establish and grow your business. We begin by understanding your business objectives, ownership structure, and other requirements, and then guide you through the entire registration process, from name reservation to obtaining the certificate of incorporation.
Advantages of Private Limited Registration
1: Limited risk to personal assets: The shareholders of a private limited company have limited liability. This means that as a shareholder you will be liable to pay for company’s liability only to the extent of the contribution made by you. The shareholders do not have any personal liability and hence need not pay for the company’s liability out of their own assets.
2: Legal Entity: A private limited company has a separate legal entity different from its directors and shareholders. This means that the company is responsible for the management of its assets and liabilities, debtors and creditors. The shareholders will not be held responsible for the losses of the company. So, the creditors cannot proceed against the directors or shareholders to recover the money.
3: Raising Capital: Even though registering a private limited company comes with compliance requirements, it is preferred by entrepreneurs as it helps them raise funds through equity, expand and at the same time limits the liability.
4: Trustworthiness: Companies in India are registered with the Registrar of companies (ROC) under the Companies Act 2013. Anyone can check the details of the company through the Ministry of Corporate Affairs (MCA) portal. Also, details of all the directors are provided while the formation of the company. Hence a private limited company form of business structure is trusted more.
5: Continue Existence: A company has ‘perpetual succession’, i.e. continue or uninterrupted existence until it is legally dissolved. A company, being a separate legal person, is unaffected by the death or cessation of any member but continues to be in existence irrespective of the changes in membership.
