A Private Limited Company is a type of business entity in India governed by the Companies Act, 2013. It has a separate legal identity from its owners, limited liability for shareholders, and restrictions on share transferability. It is one of the most preferred business structures for startups and growing businesses due to its legal credibility and fundraising capabilities.
A minimum of two shareholders and two directors are required to form a Private Limited Company. The same individuals can act as both shareholders and directors. The maximum number of shareholders allowed is 200.
To register a Private Limited Company, you need at least two directors (one must be an Indian resident), a unique company name, a registered office address in India, and valid identity and address proofs of all directors and shareholders. Additionally, Digital Signature Certificates (DSC) and Director Identification Numbers (DIN) are mandatory.
Yes, NRIs and foreign nationals can be directors or shareholders in an Indian Private Limited Company, subject to certain compliance and FDI (Foreign Direct Investment) regulations. However, at least one director must be a resident of India.
The required documents include PAN card and Aadhaar card of all directors/shareholders, passport-sized photographs, utility bill or rent agreement as proof of registered office, and a NOC from the property owner if the office is rented.
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