Benefits of Registering a New Company in India by using SPICe+ Form

The decision to start a business is huge. Before making a decision to start a new business, we must consider the pros and cons of the business. We should consider all the aspects of the business in which you are entering.

Starting a business in India in the current scenario is going to be beneficial to the government of India, which is taking various measures to improve the business condition of the country. The current ranking of India for ease of business is 63rd out of 190 countries.

The objective is to bring India among the top 50 nations in which doing business is easy and beneficial. Make in India and Start-up India Action Plan are the initiatives taken by the Prime Minister to reach the goal of getting into top 50 business friendly nations.

To promote investment in Indian businesses, the government is encouraging Foreign Direct Investment. The government has made many policies to encourage FDI. FDI is allowed up to 100% in most of the sectors except for the sectors which are capped.

What is SPICe+ Form?

The government is making efforts to ease up the process of starting a business in India. SPICe is used to ease the process of incorporating a business in India. The form SPICe+ replaces the existing SPICe form. For all new company incorporations, online filing of SPICe+ form is required.

SPICe is Simplified Performa of Incorporation of Company Electronically. It has replaced the previously lengthy process of incorporation. It has reduced the cost of incorporation of companies and also is saving time by doing incorporation through a single window application.

SPICe+ form looks to offer around 10 services by three Central Government Ministries and Departments. This form is an integrated web form with a single window for numerous services. Other forms that are required to be filed along with SPICe+ form include AGILE PRO, SPICe+ AOA and SPICe+ MOA.

Services provided by SPICe+ Form

The new integrated web form provides for the following:

Part A- Name Reservation

Part B-

• Company Incorporation;
• DIN Application;
• PAN and TAN Application;
• GSTIN Application;
• EPFO Registration;
• ESIC Registration;
• Opening bank account for the company.

Procedure for incorporating a New Company under SPICe+

To incorporate a new company under SPICe+, we cover the following aspects:

• The SPICe+ feature is provided under MCA services^[1];
• Click on SPICe+;
• Choose new application, in case you have an existing application then choose existing application;
• Feed in the application number and the proposed or approved name;
• You may submit Part A for reservation of name or proceed with incorporation;
• When you proceed with incorporation, Part B is enabled;
• The details regarding registration is to be entered;
• Upload the documents for registration;
• Then download PDF of Part B submitted for affixing the DSC and for filling up the linked forms;
• The linked forms include AGILE PRO, SPICe+ MOA and SPICe+ AOA, URC-1 and INC-9. Part B can then be along with linked forms uploaded on MCA portal;
• A service request number is generated in order to make payment for company incorporation. When the payment is successful, the forms are processed.

Attachment required for SPICe+

• Affidavit and Declaration by First Subscriber(s) and Director(s).
• Proof of Address;
• Copies of utility bills (not older than 2 months);
• NOC from sole proprietor/partners/other associates/existing company;
• Proof of identity and residential address of subscribers;
• Proof of identity and residential address of Directors;
• Memorandum of Association;
• Articles of Association;
• Declaration in Form INC- 14;
• Declaration in Form INC- 15;
• Attachment- Part- A
• A copy of approval in case the proposed name contains any word(s) or expression(s) which require approval from central government.
• If a proposed name is based on a registered trademark or is a subject matter of an application pending for registration under the Trade Marks Act, then it is mandatory to attach the trademark registration certificate or trademark application copy.

Advantages of Registering a Company using SPICe+

The advantages are as follows:

• It has made incorporation of companies easy, simple and hassle-free.
• With the advent of new dashboard for SPICe+ form and linked forms, the name that is approved shall be displayed thereby eliminating the requirement of doing an SRN search.

• SPICe + apart from being an updated type of existing SPICe, the form is capable of serving various needs such as Name Reservation, Incorporation, etc.
• SPICe+ shall be structured to different sections to ensure ease while filing.
• It is a single window application.
• This integrated web form is expected to save lengthy procedures, save time and cut expenses for starting a new business in India.

Conclusion

SPICe+ has made starting a business in India easy. It is a completely online process which saves us from a lot of paperwork and visits to the offices of a register. Company Registration through SPICe+ has made the implementation of compliance easy and user-friendly.

The easy process of registration of a business attracts investors to start a business in India. Approximately, more than one Lakh companies are registered in India every year. More than 9,000 companies are registered every month.

Read our article:E-Form MGT-14: Its Concept and the Procedure for Filing it