The Icfai University Dehradun Assignment: Topic: Registration of Private Company

THE ICFAI UNIVERSITY
DEHRADUN
ASSIGNMENT
Topic: Registration Of Private Company
SUBMITTED BY: AMAN JAIN

ENROLLMENT: 17FLICDDN01018
PROGRAM: BBA LLB(H)
BATCH: 2017-2022
SECTION: A
SUBJECT:
SUBMITTED TO:
❖ INTRODUCTION
As per Section 2(68) of the Companies Act, 2013, “private company” means a company
having a minimum paid-up share capital as may be prescribed, and which by its articles,-
(i) restricts the right to transfer its shares;
(ii) except in case of One Person Company, limits the number of its members to two hundred:
Provided that where two or more persons hold one or more shares in a company jointly, they
shall, for the purposes of this clause, be treated as a single member:
Provided further that –

(A) persons who are in the employment of the company; and
(B) persons who, having been formerly in the employment of the company, were members of the
company while in that employment and have continued to be members after the employment
ceased,shall not be included in the number of members; and
(iii) prohibits any invitation to the public to subscribe for any securities of the company
It must be noted that it is only the number of members that is limited to two hundred. A private
company may issue debentures to any number of persons, the only condition being that an
invitation to the public to subscribe for debentures is prohibited.The aforesaid definition of
private limited company specifies the restrictions, limitations and prohibitions, which must be
expressly provided in the articles of association of a private limited company.
As per proviso to Section 14 (1) of the Act, if a company being a private company alters its
articles in such a manner that they no longer include the restrictions and limitations which are
required to be included in the articles of a private company under this Act, such company shall,
as from the date of such alteration, cease to be a private company.The words ‘Private Limited’
must be added at the end of its name by a private limited company.As per section 3(1), a private
company may be formed for any lawful purpose by two or more persons, by subscribing their
names to a memorandum and complying with the requirements of this Act in respect of
registration. Section 149(1) further lays down that a private company shall have a minimum
number of two directors. The only two members may also be the two directors of the private
company.
❖ REGISTRATION PROCESS OF PRIVATE COMPANY

.As part of Government of India’s Ease of Doing Business (EODB) initiatives, the Ministry of
Corporate Affairs has notified & deployed a new Web Form christened ‘SPICe+’ (pronounced
‘SPICe Plus’) replacing the existing SPICe form.
SPICe+ offer 10 services by 3 Central Govt Ministries & Departments. (Ministry of Corporate
Affairs, Ministry of Labour & Department of Revenue in the Ministry of Finance) and One State
Govt.(Maharashtra), thereby saving as many procedures, time and cost for Starting a Business in
India and would be applicable for all new company incorporations w.e.f 23rd February, 2020.
Features of SPICE+:SPICe+ is an integrated Web Form replacing the earlier version of the e-
forms, the form is divided in to two parts viz.:
Part A-for Name reservation for new companies and

Part B - offering a bouquet of services viz.
● Incorporation
● DIN allotment
● Mandatory issue of PAN
● Mandatory issue of TAN
● Mandatory issue of EPFO registration
● Mandatory issue of ESIC registration
● Mandatory issue of Profession Tax registration(Maharashtra)
● Mandatory Opening of Bank Account for the Company and
● Allotment of GSTIN (if so applied for)
For the Incorporation of company the user may either choose to submit Part-A for reserving a
name first and thereafter submit Part B for incorporation & other services or file Part A and B
together at one go for incorporating a new company and availing the bouquet of services as
above. Incorporation applications (Part B) after name reservation (In Part A) can be submitted as
a seamless process in continuation of Part A of SPICe+. In form Spice+ Stakeholders will not be
required to even enter the SRN of the approved name as the approved Name will be prominently
displayed on the Dashboard and a click on the same will take the user for continuation of the
application through a
It may be noted that from 23rd February 2020 onwards, RUN service is applicable only for
‘change of name’ of an existing company and the new web form Facilitate On-screen filing and
real time data validation for seamless incorporation of companies. The approved name and
related incorporation details as submitted in Part A, would be automatically Pre-filled in all
linked forms also viz., AGILE-PRO, eMoA, eAoA, URC1, INC-9 (as applicable)All Check form
and Pre-scrutiny validations (except DSC validation) happen on webform itself. Once the
SPICe+ is filled completely with all relevant details, the same would then have to be converted
into pdf format, with just a click of the mouse button, for affixing DSCs. All digitally signed
applications can then be uploaded along with the linked forms as per the existing process.
Changes/modifications to SPICe+ (even after generating pdf and affixing DSCs), can also be
done by editing the same web form application which has been saved, generating the updated pdf
affixing DSCs and uploading the same.
Registration for EPFO and ESIC shall be mandatory for all new companies incorporated w.e.f
23rd February 2020 and no EPFO & ESIC registration nos. shall be separately issued by the
respective agencies. However the Registration for Profession Tax shall also be mandatory for all
new companies incorporated in the State of Maharashtra w.e.f 23rd February, 2020.All new
companies incorporated through SPICe+ (w.e.f 23rd February 2020) also be mandatorily
required to apply for opening the company’s Bank account through the AGILE-PRO linked web
form.Declaration by all Subscribers and first Directors in INC-9 is auto-generated in pdf format
and would have to be submitted only in Electronic form in all cases, except where:(i) Total
number of subscribers and/or directors is greater than 20 and/or(ii) Any such subscribers and/or
directors has neither DIN nor PAN.
● Certificate of IncorporationIncorporation
certificate shall be generating with CIN, PAN & TAN.

The Icfai University Dehradun Assignment: Topic: Registration of Private Company

Uploaded by

Copyright:

Available Formats

The Icfai University Dehradun Assignment: Topic: Registration of Private Company

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

The Icfai University Dehradun Assignment: Topic: Registration of Private Company

Uploaded by

Copyright:

Available Formats

THE ICFAI UNIVERSITY

Topic: Registration Of Private Company

SUBMITTED BY: AMAN JAIN

(i) restricts the right to transfer its shares;

Provided further that –

❖ REGISTRATION PROCESS OF PRIVATE COMPANY

Part A-for Name reservation for new companies and

certificate shall be generating with CIN, PAN & TAN.

You might also like