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PVT LTD

A Pvt.Ltd Company Offers Limited Liability and Independent Legal Status. Get Expert Advice A Private Limited Company is a privately...

A Pvt.Ltd Company Offers Limited Liability and Independent Legal Status.

A Private Limited Company is a privately held business entity in which ownership is restricted to a small group of shareholders. It limits liability to the extent of shares held, restricts share transfers, and prohibits public fundraising.

A Pvt. Ltd. company offers its owners limited liability, protecting personal assets from business debts. It’s also an independent legal entity, allowing it to own assets and enter contracts on its own.

The Companies Act, 2013 lays down the law, and the Ministry of Corporate Affairs is the regulatory body for Private Limited Companies in India. This Companies Act, 2013 defines the legal structure, rules, and regulations that govern the formation, operation, and dissolution of Private Limited Companies. The Ministry of Corporate Affairs(MCA)oversees the entire registration process, ensures adherence to statutory requirements, and regulates corporate governance standards.
- Lower Registration Cost:Private Limited Companies have lower setup and registration costs compared to Public Limited Companies.
- Minimal Compliance Requirements:Private Limited Companies have fewer regulatory obligations compared to Public Limited Companies, making compliance simpler.
- Fully Electronic Process:The entire incorporation process is done electronically.
--Quick Registration:Quick and straightforward incorporation process.
Capital: No minimum capital requirement.
Company Name: Must be unique and follow naming guidelines.
Directors: Minimum of 2, and at least 1 must be a resident director.
Registered Office: Must have a local registered office.
Shareholders: Minimum of 2, maximum of 200.
PAN Card, Aadhaar, and address proof (for directors and shareholders)
Proof of the registered office (e.g., electricity bill, rent agreement)
Digital Signature Certificate (DSC) for directors
Limited Liability Protection: Safeguards the personal assets of directors in case of business liabilities.
Enhanced Credibility: Improves the business image and credibility in the market.
Access to Funds: Easier to raise capital and secure loans for business growth.
Ideal for Startups: A preferred structure for new businesses due to its flexibility and benefits.
Investor-Friendly: Favoured by investors for its organized structure and governance.
Annual Returns (Form MGT-7 or MGT-7A): Filed with MCA within 60 days of the AGM.
Auditor Appointment (Form ADT-1): Appoint an auditor within 30 days of incorporation, and annual audits conducted.
Board Meetings: Minimum of 4 meetings annually.
Director KYC (Form DIR-3 KYC): Annual KYC for all directors.
Director’s Report: Prepared and submitted with financial statements in Form AOC-4.
Financial Statements (Form AOC-4): Filed annually with the MCA.
GST Filings (if applicable): Regular GST return filings (GSTR-1, GSTR-3B).
Income Tax Filing (ITR-6): Filed annually with the Income Tax Department.
Statutory Registers: Maintain registers for members, directors, charges, etc. for seamless company registration and expert assistance

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