Public Limited Company Registration

As per the Company Act 2013, a Public Limited Company is a company with limited liabilities and offers company shares to the common public. Anyone can buy their stock in a Public Limited Company through an initial public offering or via stock market trades.

A Public Limited Company needs a minimum of seven people to start with. It must have a minimum of three directors. The same seven people can act as both directors and shareholders. One of the directors must have to be a resident of India. Capital of the business completely on the business need there is no statutory minimum requirement to start with. However, the minimum subscribed and authorised share capital requirement is Rs. 5 lakhs.

• Firstly, you need to get the Director Identification Number (DIN) for the proposed directors.
• Then, obtaining the Digital Signature Certificate for promoters and directors is necessary.
• After that, one has to file a RUN application to the ROC for company name approval.
• After getting the name approval, the shareholders need to prepare the Memorandum of Association(MOA) and Articles of Association (AOA) and submit them to the ROC.
• Then, the company needs to get the company registration and certificate of incorporation.
• Finally, the company needs to file the commencement of Business Declaration before starting its operation

The entire procedure is 100% online and you don’t have to be present at our office or any other office for incorporation. A scanned copy of documents has to be sent via mail. Then get the company incorporation certificate from MCA via courier at the business address.

AFINTERIO experts can help incorporate a Private Limited Company within 7 – 10 business days. The time taken also depends on relevant documents provided by the applicant and speed of approvals from government. To ensure speedy registration, please pick a unique name for the proposed Company and make sure you have all the required documents prior to starting the registration process.

Yes, an NRI or Foreign National can become a Director in a Private Limited Company. They can get a DIN from Indian MCA. Also, they can be a majority shareholder in the company. But, at least one Director on the Board of Directors must be an Indian Resident.

• Separate legal entity: Public limited company has separate legal entity, i.e., company is considered as independent from all its shareholders and directors. Therefore, sale by shares by existing shareholders, death of any shareholder or director will not affect the continuation of the company.
• Limited liability: In a public limited company, every shareholder’s liability is limited to share capital subscribed by a shareholder irrespective of total liability of the company. 
• Preference while getting a loan: Considering the involvement of public at large, compliance and transparency is very high in public limited company. It increases credibility of the company and companies have easy access to loans.
• Quick transfer of share: In a public limited company, you can obtain shares either at the time of IPO (Initial Public Offer) or through share market. This form facilitates quick transfer of shares.

• Documents of Company:

• • Proof of Address: Copy of utility bills such as electricity, not earlier than 2 months. In case of rented premises, Copy of rent agreement alongwith No Objection Certificate from landlord. 

• Documents of Directors:

• • Digital Signature: Passport size photograph, copy of PAN Card and Aadhar Card, email id and Phone number.
  • Identity proof: Voter’s ID Card, Passport, Driving Licence, PAN (Any one)
  • Address Proof: Copy of Bank statement, Electricity Bill, Telephone bills, not earlier than 2 months. In case of rented premises, Copy of rent agreement alongwith No Objection Certificate from landlord.

There are several advantages the Public Companies get. Here are the following:

1. Larger Capital: As the company structure permits listing of share at stock exchanges, anyone can invest in a Public Limited Company. Hence, it ensures more capital in Public Limited Companies.
2. Amount of Risks get Spread: Since the share of the company is distributed in public, the unsystematic market risk gets spread. Hence the liability is limited.
3. Free Transfer of Shares: The Public Limited Company shares are freely transferable. One can transfer his/her share in a Public Limited Company, even without the prior consent of other shareholders.
4. Larger Borrowing Power: Public Limited Companies have the most significant leverage when it comes to availing financial assistance or borrowing from banks. Apart from that, Public Limited Companies have certain financial instruments usually which are unavailable to other forms of businesses.
5. Perpetual Existence: No matter if any of the shareholders or directors dies, the existence of Public Limited Companies will never be affected. 
6. Ability to own properties: Public Limited Companies have separate legal entities from its shareholders and directors Therefore, it can obtain property (Movable or Immovable) in its own name. They can buy and sell properties just like an individual.

Starting from planning till the date of execution VJM & Associates can help you with everything you need to register your Public Limited Company. To be precise, here is what we can do for you.

• Getting the Digital Signature Certificate for the directors and shareholders
• Help you to obtain the Director Identification Number
• Name search and approval
• Preparing MoA and AoA
• Registration with ROC
• Obtaining the Company PAN card, TAN Card
• GST Registration of Company
• MSME, ESIC & EPF Registration, if applicable