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private limited registration online

Costs & Government Fees to Register a Private Limited Company in Various Indian States

July 19, 2024 by Team Instabizfilings

Blog Details

Incorporation of a private limited company offers distinct advantages to aspiring entrepreneurs, establishing an independent legal entity for limited liability protection for its stakeholders. In India, a private limited company is a type of corporation preferred by start-ups and organizations with ambitious expansion plans. In fact, India's economy is one of the world's fastest-growing, which is just one of the many reasons for joining the market and setting up a Private Limited Company in India.

Many aspiring entrepreneurs often face difficulty when making crucial decisions such as choosing right legal guidance, structure for their business and more. Join us as we explore the process of private limited registration online, while understanding various other factors such as cost, govt fees, eligibility, etc.


What is a Private Limited Company?


A Private Limited Company in India, according to Section 2(68) of the Companies Act 2013, is a company that must have at least two members and two directors. It is considered to have a separate legal entity from its owners. The company's articles of association restrict the transferability of shares and prevent the public from subscribing to them, distinguishing it from public companies.

Here are various benefits of a private limited company

  • Limited Liability Protection: Shareholders are not personally liable for the company's debts.

  • Separate Legal Entity: The company is considered a distinct legal entity from its owners.

  • Tax Benefits: Private limited companies enjoy various tax advantages in India.

  • Easy Funding: Easier access to funding from investors and financial institutions.

  • Growth Economy: India's rapidly expanding economy offers numerous opportunities for business expansion and profitability.


What is the Process for Private Limited Registration Online in India?


To register a Private Limited Company online in India, the following steps need to be followed:

  • Obtain a Digital Signature Certificate (DSC) for the company directors. The DSC is required for digitally signing the incorporation documents of the company.

  • Confirm the availability of the desired company name. The name should be unique, descriptive, and able to represent the organization in the market for the duration of its business life.

  • Prepare the Memorandum of Association (MoA) and Articles of Association (AoA) for obtaining a Director Identification Number (DIN) for the proposed directors of the company. This unique identification number is mandatory for all directors under the Companies Amendment Act 2006.

  • File the SPICe Form INC-32 online. This form combines the application for DIN, name reservation, and incorporation of a new company.

By following these steps, you can successfully register a Private Limited Company online in India. It is recommended to consult an expert or a professional legal advisor service that will make your private limited registration online experience fast and simple from the initial step to operating and growing your business.


What are the Costs and Government Fees Associated with Private Limited Company Registration?


Government Fees


  • The government fees cover the filing of necessary documents and are a primary expense when registering a Private Limited Company.

  • These fees include the application filing fee, which is essential to commence the registration process .


Cost of Incorporation/Registration


  • The cost of incorporation or private company registration in India can range from INR 6,000 to INR 30,000, depending on factors like the number of directors, members, authorized share capital, and professional fees.

  • Professional fees can vary based on the complexity of the task.


Comparison with Other Company Types


Different company types have varying basic requirements and compliance obligations, leading to differences in registration costs. For example, a one-person company might have lower registration costs compared to a private limited company due to fewer statutory demands.


Importance of Private Company Registration in India


  • Easy share transfer: Private companies in India can easily transfer shares with only one board meeting and approval needed, making it easier to expand the business.

  • Access to legal services: Private companies can benefit from legal services such as tax preparation, accounting, and compliance, which are essential for smooth operations.

  • Tax benefits: Private Limited companies in India enjoy tax benefits, making it advantageous for business growth and sustainability.

  • Compulsory registration: It is important for any business for private company registration in India to avail these benefits and establish a legal business entity,and leverage exemption to private companies



Why Choose Instabiz Filings?

  • We have a skilled team of Chartered Accountants, Company Secretaries, and Lawyers.

    Our company formation & registration process is fully online, hassle-free, and designed for a quick turnaround time. We offer affordable pricing options to make our services accessible to businesses of all sizes.

    Each client is assigned a dedicated relationship manager to guide them through the process and ensure a seamless, stress-free experience. Our team is well-versed in the characteristics of private company, ensuring that your business complies with all relevant regulations and benefits from expert advice tailored to your specific needs

  • Instabiz Filing has s?rv?d thousands of happy customers, and our client's satisfaction is our top priority.

  • W? off?r exclusive offers such as No Cost EMI with r?f?rral discounts as a way to ?xpr?ss our gratitud? to our valu?d customers.

  • Our commitment is to provide comprehensive and affordabl? solutions to our cli?nts' financial and l?gal and company formation n??ds. So th?y can focus on growing and succ??ding in th?ir businesses. 


Streamline Your Private Limited Company Registration with Instabiz Filing


Our skilled team of professionals ensures a seamless, stress-free experience. Enjoy hassle-free, quick turnaround time with our fully online process. Affordable pricing options are also available. We have served thousands of happy customers, and our client's satisfaction is our top priority.


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