Your business can hold real estate in its name and enjoy eternal succession because it is a legal entity. It’s crucial that you incorporate your business with the Registrar of Companies if you want to register it as a “distinct legal entity” (ROC). This article will guide you through a straightforward 6-step process so you may register your business from the convenience of your home.
Company registration in India can fetch you immense benefits, from generating capital, transferring shares, obtaining tax benefits, and more. Did you know you can register your company right from your home? Registering your entity all by yourself might seem to be a complicated process. Let’s break down this complex task so that you can understand how to register your company by 6 simple steps.
Steps to register your company:
1. Obtain ‘Digital Signature Certificate’:
A Digital Signature Certificate must be obtained before the registration may be completed online (DSC). In order to transmit all of your papers electronically, DSC ensures their authenticity and security. You must acquire a class 2, or a class 3 DSC, depending on the kind of business. A Digital Signature Certificate must be obtained by contacting one of the Licensed Certifying Authorities.
2. Apply for Director Identification Number:
Under Section 153 of the Companies Act, each director is assigned a Director Identification Number (DIN), a unique 8-digit number. Every director of a corporation must obtain a DIN in accordance with the Companies Amendment Act of 2006. If the Central Government approves your online application for a DIN, you will receive your DIN within a month.
3. Ministry of Corporate Affairs portal registration:
On the MCA portal, the company’s director must create a user account. The director can access the SPICe+ form to register the company after registering for the portal.
4. Application for name availability:
For your business, you must apply for a distinctive name. Your business name should always be an accurate description of the goods or services you provide. In order to avoid having your application denied, you must adhere to the MCA naming requirements. If you already have a name in mind, you can speak with an expert in legal compliance at FYOC to see if it is still available.
5. Submission of charter documents:
The Memorandum of Association (MoA) and the Articles of Association (AoA) are necessary documents before a business may be registered.
The MoA is referred to as the organization’s charter. It outlines the fundamentals of the organization’s structure, its operations, and its goals. The MoA also outlines how it interacts with the outside environment.
AoA functions as the organization’s “user manual.” It lists all the guidelines and requirements for managing internal affairs, including how to handle financial records and appoint directors.
6. Apply for PAN and TAN
Permanent Account Number (PAN) is a 10-digit alphanumeric number that is a must for all important transactions. Apply for PAN online through the NSDL website, or authorized agents.
Tax Deduction Number (TAN) is a 10-digit alphanumeric number provided to people who collect or deduct tax. TAN is important for filing TDS returns. If you fail to apply for a TAN card, you will be liable to pay a ₹10000/- fine. Apply for your TAN by visiting the NSDL website.
Post-approval, a Certificate of Incorporation with PAN and TAN can be obtained. You can formally open a current bank account with the Certificate of Incorporation and begin your company operations.
The legal experts at FYOC are always available to assist you in registering your company.