Private Limited Company
A private limited company is a privately-held business entity. It is held by private stakeholders. The liability arrangement in these is that of a limited partnership, wherein the liability of a shareholder extends only up to the number of shares held by them.
With the startup ecosystem booming across the country and more and more people looking to do something on their own, there is a need to be well-acquainted with different business registration types i.e sole proprietorship, limited liability company and private limited company. In this article, we will talk about different sides of a private limited company.
As the name suggests, a private limited company is a privately-held business entity. It is held by private stakeholders. The liability arrangement in a private limited company is that of a limited partnership, wherein the liability of a shareholder extends only up to the number of shares held by them. The shareholders cannot be held liable beyond the value of the shares. The governing body for such a company is the Ministry of Corporate Affairs (MCA).
Section 2 (68) of the Companies Act, 2013 defines a private company as:
“A Company having a minimum paid-up share capital as may be prescribed, and which by its articles,—
Disadvantages of Private limited
One Time Fee
Service Provide Within 7 Days
One Time Fee
Service Provide Within 15 Days
Services Provided Before the Due Date
Yes, you need a minimum of two Directors for a Private Limited Company. If you are the sole owner, you can register as a One Person Company.
Any individual person and an organization can become the member of the Private Limited Company including foreigners/NRI
The entire procedure is 100% online and you don’t have to be present at our office or any other office for closure of proprietorship & incorporation of private limited. A scanned copy of documents has to be sent via mail.
There is absolutely no other payment. We will send you an invoice that is all-inclusive, with no hidden charges
TaxOSmart.com can convert Proprietorship into Private Limited Company typically in 14-20 days. The time taken also depends on relevant documents provided by the applicant and speed of approvals from government. To ensure speedy registration, please pick a unique name for the proposed Company and make sure you have all the required documents ready, prior to starting the registration process.
Yes, an NRI or Foreign National can become a Director in a Private Limited Company on acquiring DIN. However, at least one Director on the Board of Directors must be a Resident of India.