Question 1

Can a single person register a private limited company in India?

Accepted Answer

No. The minimum number of members to form a private company is two. A private limited company requires at least two directors and two shareholders. For solo entrepreneurs, one-person company registration fits better.

Question 2

Is there a minimum capital requirement for private limited company registration?

Accepted Answer

No minimum capital is required. You must simply declare an authorized share capital and pay the corresponding fee. A common initial authorized capital for many new ventures is Rs 1 lakh, though there is no mandatory minimum.

Question 3

How long does it take to complete private limited company registration in India?

Accepted Answer

RegisterKaro completes registrations within 7-10 working days if all the correct documents are submitted.

Question 4

What documents are required for Private Limited Company registration?

Accepted Answer

Documents required for a Private Limited Company Registration are:

Identity proof of all directors and shareholders (Aadhaar, Passport, PAN)
Address proof of directors and shareholders (Passport, Voter ID, Utility bills)
Passport-sized photographs of directors
Proof of registered office address (rent agreement or ownership documents)
No Objection Certificate (NOC) from the property owner (if rented)
Digital Signature Certificate (DSC) and Director Identification Number (DIN)

Question 5

What are the major differences between private limited company registration and LLP registration?

Accepted Answer

Key differences between LLP Registration and Private Limited Company Registration are:

Fundraising: Private limited companies can issue equity shares; LLPs cannot.
Compliance: Companies face more regulatory filings; LLPs follow simpler annual returns.
Liability: Both offer limited liability, but LLPs blend partnership flexibility with corporate protection.

Question 6

Can I register a private limited company with a similar name to an existing business?

Accepted Answer

No. MCA enforces unique names that aren’t deceptively similar to existing entities. RegisterKaro does a thorough search for Private limited company registration name availability and even proposes alternatives if required.

Question 7

Is GST registration mandatory after private limited company registration?

Accepted Answer

You must register for GST if you:

Exceed an annual turnover of Rs 20 lakhs (₹10 lakhs for special category states), or
Supply goods/services across state lines.

Question 8

What happens if my company doesn’t commence business after registration?

Accepted Answer

If your company doesn't commence business directly after registration, then:

You must file Form INC-20A within 180 days of incorporation to start business; penalties apply if not filed.
For prolonged inactivity, file Form MSC-1 to apply for dormant status.
If dormant status isn’t applied for, the registrar may strike off the company.

Question 9

Can my private limited company convert to a public company later?

Accepted Answer

Yes. You must:

Alter your MoA/AoA,
Increase members to at least seven,
Meet higher compliance norms, and
Obtain NCLT approval.

Question 10

What are the annual compliance requirements after private limited company registration?

Accepted Answer

You must:

File financial statements (AOC-4) and annual returns (MGT-7)
Lodge income-tax returns
Hold board meetings and an AGM
Maintain statutory registers, and
Fulfill any industry-specific filings

Question 11

Is a company seal mandatory after a private limited company registration?

Accepted Answer

No. The 2015 amendment made seals optional, though many banks and departments still expect one for document authentication.

Question 12

What are the tax benefits of private limited company registration compared to other structures?

Accepted Answer

Tax benefits for private limited companies are:

Benefit from a flat 25% corporate tax rate if the turnover is up to Rs 400 crore (as per the latest tax regulations).
Access deductions are unavailable for Sole Proprietorship Registration.
Enjoy startup-specific tax exemptions.
Leverage advanced tax-planning options.

Question 13

Can a private limited company apply for trademark registration?

Accepted Answer

Yes. To strengthen your brand, you should get Trademark Registration:

File a trademark application in the relevant class
Submit your incorporation certificate and address proof
Use consistent branding across products or services.

Question 14

Is Udyog Aadhaar (Udyam) registration required for a private limited company?

Accepted Answer

Not mandatory, but Udyam Registration can provide:

Subsidized MSME loans and priority credit,
Reduced fees under government schemes, and
Market-development support.

Question 15

Can I register a Private Limited company by myself?

Accepted Answer

Yes, it is technically possible to register a company yourself through the MCA portal. However, the process involves several legal formalities and precise document preparation (obtaining DSCs, DINs, reserving the name, drafting MOA/AOA, filing SPICe+ forms, etc.). Many entrepreneurs opt for professional assistance to ensure accuracy and save time.

Question 16

How to check Pvt Limited Company registration?

Accepted Answer

To check Pvt. Ltd. Company Registration:

Go to the MCA Portal
Use the “View Company/LLP Master Data” service.
Enter the company name or Corporate Identification Number (CIN).
Submit to view company status, incorporation date, directors, and more.
Check if the company is active or inactive.

Question 17

Who can register a Private Limited Company in India?

Accepted Answer

Any Indian citizen, NRI, or foreign national can register a Private Limited Company in India. The company must have at least 2 directors and 2 shareholders to start the registration process.

Question 18

How many directors are required to start a Private Limited Company?

Accepted Answer

A Private Limited Company requires a minimum of 2 directors and a maximum of 15 directors. At least one director must be an Indian resident who stays in India for 182 days in the previous year.

Question 19

Can a Private Limited Company be converted to another business type?

Accepted Answer

Yes, a Private Limited Company can convert to:

Public Limited Company
LLP
Partnership firm

The conversion requires shareholder approval and compliance with legal procedures under the Companies Act.

Question 20

What is the Cost of Private Limited Company Registration?

Accepted Answer

The total registration cost ranges from Rs 10,000 to Rs 15,000, including all fees. Government fees alone cost around Rs 4,000 to Rs 5,000, depending on the authorized capital amount.

Question 21

What are MoA & AoA?

Accepted Answer

MoA defines the company's relationship with outsiders and states its objectives and scope of business. AoA contains internal rules and regulations that govern the company's day-to-day operations and management structure.

Question 22

What is the SPICe+ Form?

Accepted Answer

SPICe+ is an integrated online form that combines multiple applications for company registration in one place. It handles name reservation, incorporation, PAN, TAN, and bank account opening through a single submission process.

Question 23

What are the restrictions on a Private Limited Company?

Accepted Answer

Private Limited Companies have the following key restrictions:

Cannot invite the public to share a subscription
Maximum 200 shareholders allowed
Share transfer restrictions apply

They must also maintain statutory records and file annual compliance documents.

Question 24

Can NRIs and foreign nationals register a Private Limited Company in India?

Accepted Answer

Yes, NRIs and foreign nationals can register with up to 100% foreign ownership in most business sectors. However, at least one director must be an Indian resident as mandated by Indian company law.

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