How to Register a Company in India?

    Setting up or starting your own business in India can be extremely complicated. Hence, you may want to take the help of experts in the long run. It is for this reason that many people want to know how to register a company in India.

    If you want to learn how to register a business in India, you must determine what type of company you’re planning to set up. Every business is different, and hence, it is extremely crucial to choose a business that can bring you profits. You will need to determine whether you want to set up the business individually or with someone.

    If you choose the right business structure, the company registration process becomes pretty easy too. You may want to meet the business-related activities and targets so that you can follow the procedure. When you start a business in India, you need to ensure that every business is registered and follows compliant policies.

    Before understanding the company registration process, you need to understand India’s various types of business structures.

    What are the different business structures in India?

    Every business structure in India is different. Hence, it is extremely necessary to determine that you choose the right structure to cater to your needs. Mentioned below are the common business structures in India.

    One Person Company

    This is also known as OPC and is usually a company owned by an individual. This is one of those types of companies that were introduced back in 2013. Experts recommend this to be one of the best processes since it does not require any complicated company registration process. This type of company is further beneficial for one type of owner. The company follows the policy of sole-proprietorship and ensures that it is one of the best followed corporate frameworks.

    One person

    Limited Liability Partnership

    Most of the startups in India today are initially opting for a Limited Liability Partnership because of all its benefits. It follows a completely separate legal identity. According to the LLP guidelines, the liability of the partner will be legitimate or valid only on the agreed contributions.

    Private Limited Company

    As per the law, a company is always a separate legal entity from that of the owners. The shareholders and directors are not considered to be an official part of the company. Hence, in a private limited firm, every individual is the employee of the company and not the owner. 

    Private Company

    Public Limited Company

    The public limited company is a voluntary association made as per the company law. Accordingly, every public limited company has a separate legal identity and follows the liability measures is shared depending on the number of holders in each company.

    Why is it necessary to choose the right business structure?

    Before understanding the steps to register a company in India, it is crucial to choose the right business structure. A business structure can play an important role in determining how much profit you will get. Apart from profit, your income tax returns also heavily depend on it.

    When you register your company online, you will need to meet the different levels of compliances as suggested by the company. At the same time, the accounts will be mandated and audited depending on the type of company. As per Indian law, every business must abide by the rules and regulations set by the government. As an entrepreneur, you should be clear about the legal compliances you agree to pay. Many business structures in India are relatively close and can have a huge impact. As a result, most people prefer investing in sole proprietorship but often find the partnerships to be better options. If you are clear about the type of company you want to set up, the investors will take a better interest in investing in your company.

    You will also need to determine if the business model is investor-friendly. Make sure to consult the experts and choose the right structure.

    What are the benefits of the company registration process in India?

    It is extremely crucial to determine how to register a business in India. The company registration procedure can be extremely beneficial. Moreover, if your company has a license, it will receive better benefits and also help to improve credibility. Some of the common benefits of the company registration process in India include the following

    • A registered or licensed company is protected against any personal obligation, loss, and threats.
    • The licensed company can build better goodwill than other companies, and it will also help build better customer satisfaction.
    • It covers all the responsibilities of the company’s assets, thereby promising protection against risks and threats.
    • It ensures the company has the ability to grow.
    • Better wealth and communication standards increase.

    How to register a company in India?

    One should know the difference between how to register a private limited company in India and a common business in India.

    Most companies have switched to register their business online. Hence, you need to learn all the steps you need to learn how to register a firm online.

    Get the Digital Signature Certificate

    Digital Signature Certificate is extremely crucial for business, and it is one of the most crucial steps for registering your business online. The digital signatures are needed to file for forms across the MCA portal. All the proposed directors and subscribers must sign it as a memorandum of part of the article association.

    Digital Signature

    Direct Identification Number

    Director Identification Number is the identification number assigned to the director. It should be with every individual who wants to be a director in the respective company. It should be submitted along with the company’s address proof and name as assigned by the company registration form.

    Registration on the MCA

    You need to fill the SPICe+ form and then submit it around the MCA portal. As the director of the company, you need to submit all the essential documents on the MCA portal. Once the registration process is complete, the director will be able to log in and access their MCA portals. As a result, they will be able to access various services such as viewing public documents and filing all necessary e-forms.

    Certificate of Incorporation

    The final step is to get the certificate of incorporation. You need to submit all the documents required for the business procedure. Once the information is verified, the officials will make it a point to provide the company’s Certificate of Incorporation.


    What are the documents necessary for the company registration process?

    No company can be registered in India without proof of address and proof of identity. As a result, this is important for incorporating the company’s shareholders and directors. You will need to submit all essential documents for the registrar at the time of registration.

    You will need to submit the documents like a pan card, Aadhar card, passport, and driving license as proof of identity. At the same time, you will need to submit a bank account statement, electricity bill, and the latest telephone bill as proof of address.

    The organization will also need to be registered with the government of India.


    You need to keep a check with the Ministry of Corporate Affairs to ensure that you can set up the business. At the same time, you need to file the registration process online if you are applying remotely.

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    Kiara Dutta
    Kiara Dutta comes from an Engineering background, with a specialization in Information Technology. She has a keen interest and expertise in Web Development, Data Analytics, and Research. She trusts in the process of growth through knowledge and hard work.

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