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What is the Cost to Register a Private Limited Company in India?

Writer's picture: dharani baidharani bai
Nov 28, 20232 min read

What is the Cost to Register a Private Limited Company in India?

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1. Step-by-Step Procedure to Register a Private Limited Company in India:


  1. Obtain Digital Signature Certificate (DSC): All directors need a DSC.

  2. Obtain Director Identification Number (DIN): Apply online with the required documents.

  3. Name Approval: Apply for the company name through the RUN (Reserve Unique Name) service.

  4. Drafting Memorandum of Association (MOA) and Articles of Association (AOA): Create these documents.

  5. Filing Incorporation Documents: Submit the documents to the Ministry of Corporate Affairs (MCA).

  6. Payment of Fees: Pay the prescribed fees for incorporation.

  7. Certificate of Incorporation: Once approved, you'll receive the certificate.

  8. PAN and TAN Application: Apply for Permanent Account Number (PAN) and Tax Deduction and Collection Number (TAN).

  9. Opening a Bank Account: Open a bank account in the company's name.

  10. GST Registration: Register for Goods and Services Tax (GST) if applicable.


2. Documents Required to Registering a Private Limited Company:


  1. Passport-sized photos of directors.

  2. Proof of identity and address (Aadhar, Passport, Voter ID, etc.).

  3. Proof of registered office address.

  4. No-Objection Certificate (NOC) from the property owner.

  5. Utility bills of the registered office.


3. Benefits of Registering a Private Limited Company:


  1. Limited Liability: Personal assets are protected.

  2. Separate Legal Entity: Distinct from its owners.

  3. Perpetual Succession: Continuity even with changes in ownership.

  4. Easy Transferability: Shares can be transferred.

  5. Access to Funding: Easier to raise capital.

  6. Credibility and Trust: Enhances business reputation.


4. FAQs: Registering a Private Limited Company:


  1. What is the cost of registering a private limited company in India?

  • Prices vary based on services, starting from INR 10,000.


  1. How long does it take to write a private limited company?

  • It usually takes 10-15 days.


  1. Is it possible for a foreign national to serve as a director in a private limited company?

  • Yes, with certain conditions.


  1. Is a physical office necessary for registration?

  • Yes, a registered office is required.


  1. What is the minimum capital requirement?

  • There is no minimum capital requirement.


  1. How often are annual filings required?

  • Annual filings are required once a year.


  1. Can a private limited company issue shares?

  • Yes, shares can be issued to raise capital.


  1. Are there tax benefits for private limited companies?

  • Yes, there are tax advantages.


  1. Can a private limited company be converted to a public company?

  • Yes, with regulatory approvals.


  1. What is the role of a director in a private limited company?

  • Directors manage the company's affairs.


  1. Is it mandatory to have a company secretary?

  • It's not compulsory but recommended.


  1. How can I change the company's registered office?

  • By submitting the required forms to the Registrar of Companies (RoC)


  1. What is the penalty for non-compliance?

  • Penalties vary; timely compliance is crucial.


  1. Can a private limited company engage in multiple businesses?

  • Yes, it can conduct various activities.


  1. Is GST registration mandatory?

  • If turnover exceeds the threshold, GST registration is compulsory.


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