Private limited company and LLP(Limited Liability Partnership)are the most preferred choices of legal registrations for business in India.
There are variety of reasons for Private limited company registration and LLP registration in India because these are easy to dilute, that means these companies can easily seek money from investors unlike any other company registration in India and also these registrations specifically private limited company registration have separate legal identity than of its Director or shareholders and hence provides best autonomy and better freedom of decision making.
Further, even the Indian Government recognises the Private Limited Company and LLP (Limited Liability Partnerships) only under start-up registration scheme, which has many benefits. The start- up scheme initiated by the Indian government states that any Private limited Company or LLP registered in India incorporated less than 5 years is eligible for registration under DIPP (Department of Industrial policy and promotion) scheme. This scheme has many benefits and these benefits are only limited to Private limited company/LLP and Public limited companies registered in India.
Any private limited company or LLP registered under this scheme have to pay only half of the fees in comparison to other legal entity registration when it comes to Trademark registration or patent filing in India.
Apart from the fees reduction, the scheme also provides many benefits such as easy loan availability or funding by the Government.
Further, Private Limited companies or LLP have a greater trust factor associated with them and are considered to more reliable in the eyes of the end customer or consumer and hence these registrations are always high in number and are growing ever since.
Apart from this Private limited companies and LLP provides are greater flexibility in easily changing of directors, share transfer registration or address change like operations unlike any other registration.
Private Limited company and LLP also provide a better scope of Tax saving opportunity in comparison to public limited company or proprietorship entity. Before these registration one should also include msme registration or udyog aadhar registration.
Basic requirements for any private limited company registration or LLP registration in India are also simple and require very minimum amount to get started.
For opening an Private limited Company or Limited Liability Partnership in India, One only needs 2 people and their documents such as below:
- Copy of PAN card.
- Any identity proof (Adhaar Card/Voter ID/ Passport).
- Electricity Bill or any Govt issued monthly bill for Company address proof.
- Passport Photograph/Email/Mobile numbers of proposed Directors or Partners.
- Any monthly bill or bank statement of proposed Directors or Partners.
Once all documents are in place, the private limited company or LLP can be simply registered online within 7 working days in India. In case you want to know more about these registrations feel free to contact Company360.in