Starting a business is no small feat, as it involves dealing with plenty of red tape and administrative procedures,which feel overwhelming at first. To begin operating your business, you will need to register it. This article explains how to register a business in India as an individual or as a company.
Who Can Register a Business in India?
Anyone can register a company in India, provided it is done through a lawyer who specializes in company registrations. You may be an individual or a company who wants to set up a new business in India. You do not need to be a citizen of India in order to register your business in India. That said, there are a few special cases where foreign nationals are restricted from setting up a business in India. These are reserved for sectors such as defence, banking, and insurance. You will need special approval to set up a business in one of these sectors if you are not an Indian citizen.
Steps to Register a Business in India
Pick a proper name for your business, before embarking on this journey. Since, this name will be its legal name and identity . It can take anywhere from 1 to 6 months to complete allregistration processes.
Fill out the company registration form. This form will ask for basic information about your business. It includes information such as your business name, office address, where you will be operating from, and details about owners of your business. You need to provide full name of your company, its address, names of its directors and shareholders, and their residential addresses.
Pick a structure for your business from the two main business structures in India – company and proprietorship. You need to decide which structure would be most suitable for your business.
Get your shareholders’ and directors’ details verified. Furthermore, you also need to get residential addresses of your shareholders and directors verified by local authorities. You must provide their PAN card/TAN card details.
Get an auditors’ certificate. Avail the services of a Company Formation CA firm in Kolkata, and receive hands-on assistance while creating a new company.
Important Documents for Registering a Business in India
Listed below are all documents necessary for registering a company:
- Memorandum of Association (MoA) – You have to file this document with the Registrar of Companies. It contains information about your company, such as its name, address, and names of its shareholders and directors.
- Articles of Association (AoA) – This document also requires details about your company. It includes information about your company’s authorized share capital, number of directors, and how your company will be managed.
- Resolutions – These documents show how your company shareholders have agreed on share capital and other aspects of your company.
- Declaration from Signatories – You will also need to submit a declaration that says signatories of your company can transact all financial matters.
- Certificate of Incorporation – After filing all of your documents and paying necessary fees, the Registrar of Companies will issue a certificate of incorporation.
- Other Important Documents – You will also need to submit a list of directors, auditors, and a tax payment acknowledgment form.
Conclusion
You need to decide which business structure would be most suitable for your company, and then complete your company registration form. You must also get your shareholders’ and directors’ details verified, hire an auditor to conduct a financial audit, and finally complete all required paperwork. Hire GST registration company in Kolkata to complete registration of your company for tax payments.Once you have done all that, you are ready to start operating.
