Procedure for Incorporation of Private Limited Company using SPICE+

The provisions for Incorporation of Private Limited Company are governed under the Section 2(68), Section 7 read with Rule 8, Rule 9 and Rule 12 of the Companies Act, 2013.

Ministry of Corporate Affairs (MCA) has tried to simply the process of Incorporation of Company by bringing many revolutionary changes. The MCA has vide its notification dated February 18, 2020 has amended the Companies (Incorporation) Rules, 2014 effective from February 23, 2020 has introduced a Form SPICE+ for Incorporation. The features of the form have been discussed in this article.

Meaning

A private limited company is a company privately held for small businesses. This type of business entity limits owner liability to their shareholdings, the number of shareholders to 200, and restricts shareholders from publicly trading shares. It is the most prevalent and popular type of corporate legal entity in India.

The following state the minimum requirements for setting up a Private Limited Company:

DIRECTORS

> Minimum number of directors: 2

> It must be a living person

> One director must be Indian Citizen and resident of India

SHAREHOLDERS

> Minimum number of shareholders: 2

> Director and Shareholder can be the same person

> It can be a corporate entity/Natural person

CAPITAL

> Minimum capital: No Minimum Capital requirement

> Two types of capital i.e. Authorize share capital (Raised from member) and Paid up Capital (Capital which is paid by member).

> It can be increase as and when required

REGISTERED OFFICE

> Residential place can also be register as office or Any other place

Steps to be followed for Incorporation of Private Limited Company

Step 1. Obtain Digital Signing Certificate from Certifying Authorities

Step 2. Fill SPICe+ form (Part A – Name availability – You can submit name availability request)

Step 3. Fill SPICe+ Part B form (Company information i.e. pertaining to directors, shareholders, registered office etc.)

Step 4. Fill e-form SPICe+ MOA (INC-33) ,SPICe+ AOA (INC-34) and SPICe+ AGILE-PRO (INC-35)

Step 5. Download all the e-forms prepare online and affix DSC on all the e-forms.

Step 6. Attached the require documents with form SPICe+ and upload the e-forms using linked forms facility from the MCA portal.

Step 7. Issuance of certificate of Incorporation

AGILE-PRO

Meaning: Application for Goods and service tax Identification number, employees state Insurance corporation registration, Profession tax Registration and Opening of bank account. It is application for registration of the following numbers namely: -

1. GSTIN with effect from 31st March 2019

2. EPFO with effect from 8th April 2019

3. ESIC with effect from 15th April 2019

4. Profession Tax Registration (Only Maharashtra)

5. Opening of Bank Account

Note: It is mandatory to file EPFO/ ESIC/ PROFESSION TAX (for Maharashtra) and Opening of bank account through web form AGILE-PRO

Important points about this form

> We can directly apply for GSTIN instead of applying it separately. However, it is not mandatory to apply here

> To fill this form, help kit is given with complete details

> It is an application for GSTIN, EPFO, ESIC, Profession Tax Registration and Opening of Bank Account

So now using MCA SPICE+ form, a Company can get upto 5 registrations in a Single form namely;

Registration as Private Limited Company-

1) GST Registration

2) EPFO Registration

3) ESIC Registration

4) Professional Tax Registration (Only Maharashtra)

Documents / Information Required to form a Private Limited Company