Company Registration in Chennai

Narendra Kumar

29 Jun, 2019

For company registration in Chennai, we provide fast and cost-effective services. Company registration in Chennai can be done within a week. Company Registration provides a legal right to an entrepreneur to set up a business. In India, we also call it Company Incorporation.

For setting up a business there are various forms such as proprietorship, partnership, and company etc. Each kind of entity is unique in its own way. Private Limited Company Registration is the main form out of these. It is the main mode of doing business.

Characteristics of a Private Limited Company in India

Here are the following characteristics of Private Limited Company:

• Distinct Legal Entity

The company acquires legal status after incorporation which allows the company to hold assets in its own name and shares can also be transferred whereas in case of Partnership firm it has no existence apart from its partners.

• Limited Liability

In a company, the liability of a member is limited up to their capital contribution. After the company incorporation, no director shall be responsible for the misconduct of other directors. In a company, creditors have no rights over the members.

• Common Seal

After Company incorporation, the common seal can be obtained which a physical impression is made by a corporate body as the company is a separate legal entity.

• Share transfer

Another benefit of Private Company is that its shares are transferable either within the company or outside a company; however, shares can be transferred by the members after company incorporation only, after allotment of shares.

What are the Requirements for Company Registration in Chennai?

Here are the following requirements for Company Registration in Chennai:

• The company can be incorporated with a minimum of two directors.
• There is no requirement of minimum paid up capital.
• In a private limited company, liability is limited up to the capital contribution in the company.

What are the Advantages of Company Incorporation?

Here are the following advantages:

• Company registration provides protection from business risks and losses.
• An incorporated company attracts more customers towards business.
• It helps in portraying a better image of the business.
• It helps in obtaining finance from the banks.
• It helps in attracting better manpower.

What are the Documents Required for Company Incorporation?

Here are the following documents required for Company incorporation:

• Passport size photograph of all the directors.
• Copy of PAN Card of all the directors.
• Proof of Registered Office of the Company such as Rent Agreement / NOC or Property ownership documents.
• Copy of identity proof (Anyone of these):
  1. Passport
  2. Driving License
  3. Voter ID/ Aadhar Card

• Copy of residential proof (Anyone of these):
  1. Bank Statement
  2. Electricity Bill
  3. Telephone Bill
  4. Mobile Bill

What are the Steps Involved in Company Registration?

Here are the following steps involved in Company Registration in Chennai:

Frequently Asked Questions

Que. A certain level of turnover is required to incorporate a company?

Ans. It is a complete myth, there is no such requirement. There is no such obligation to have the turnover to set up a company.

Que. Directors of the Company must hold shares?

Directors of the company manage the operation of a Company whereas shareholders are the owners as they contribute money to the business. There is no such requirement.

Que. Who can be the shareholder in a company?

Ans. A shareholder can be an artificial person also which implies besides human beings even companies can become a shareholder in a company.

Que. Is it required to deposit the amount of share capital in a bank while incorporating a company?

Ans. It is not required to deposit amount in a bank account while the amount must be shown in the documents at the time of incorporation.

Que. Registered office space is required to incorporate a company?

Ans. There is no such requirement; the company can be registered on your residential address as well however after company incorporation its registered office address can be changed at any time.

Que. Is it required to renew company every year?

Ans. There is no such requirement however the only requirement is to comply with the legal mandatory compliances of the government authorities such as the Income Tax Department and Ministry of Corporate Affairs.

Que. Is there any requirement to hire a full legal team to comply with the mandatory legal compliances?

Ans. In a private limited company, there are no such compliances the only requirement is to comply with the annual filing with the registrar and filing of tax. For this purpose, there are Company Secretaries and Chartered Accountants who can assist you.

For further information about Company Registration in India click here.