For anyone who is planning to establish a business of their own, starting a private limited company in Patna is an excellent way to become a part of India’s rapidly growing economy. Patna, the capital city of Bihar, is home to a flourishing entrepreneurial culture and with advancement in technology and infrastructure; businesses here are getting a wide range of opportunities to thrive. Registering a private limited company in Patna involves a series of legal procedures and compliance requirements. Here, in this article, we will take you through the step-by-step process to successfully register a private limited company in Patna.
Understand The Basics Of Private Limited Company
A private limited company or Pvt Ltd. Company is a type of business structure that has a minimum of two and a maximum of 200 shareholders. The company’s shares are privately held and cannot be traded on public stock exchanges. Private limited companies have limited liability, meaning that the for every share holders their personal assets will not be at risk in case the company incurs losses or faces legal issues.
Deciding the Company Name
Before starting the registration process, it is essential to decide on a unique name for your company. The name should be relevant to the nature of your business and should not resemble any existing company or trademark. The company name should end with “Private Limited.”
Obtaining a Digital Signature Certificate (DSC)
The process of registering a private limited company in Patna requires digitally signing various electronic documents. To do this, the directors and shareholders need to get a Digital Signature Certificate (DSC) from a government-authorized certifying agency. The DSC ensures the authenticity of the electronic documents and confirms the signatory’s identity.
Applying for a Director Identification Number (DIN)
Every director of a private limited company must have a unique Director Identification Number (DIN). To obtain a DIN, applicants must file the e-Form DIR-3 with the Ministry of Corporate Affairs (MCA) and provide their PAN card, proof of address, and a passport-sized photograph. After the MCA verifies the documents, the DIN will be issued.
Filing the Incorporation Application
To register a private limited company in Patna, the promoters need to file an incorporation application using the SPICe+ form (Simplified Proforma for Incorporating a Company Electronically Plus). The SPICe+ form is available on the MCA website and comprises two parts:
- Part A: This part deals with the reservation of the company name. It is advisable to provide at least two unique names for the company in order of preference.
- Part B: This part includes information about the company’s proposed address, details of directors and shareholders, and the company’s capital structure.
Along with the SPICe+ form, the following documents must also be submitted:
- Memorandum of Association (MoA) and Articles of Association (AoA)
- Declaration and affidavit by the directors and first subscribers
- Proof of the proposed registered office
- A copy of the PAN card and address proof of the directors and shareholders
Payment of Registration Fees
On the basis of the authorized share capital of the company, the promoters need to pay the registration fees using the MCA’s online payment gateway. The fees can be paid using a credit/debit card or through net banking.
Certificate of Incorporation
After the successful submission of the incorporation application and payment of the registration fees, the Registrar of Companies (RoC) in Patna will review the application. Upon approval, the RoC will issue a Certificate of Incorporation. This certificate serves as evidence of the company’s legal existence and contains the company’s unique Corporate Identification Number (CIN).
Opening a Bank Account
Once the company is registered, it is necessary to open a current account in a bank in the name of the company. The company’s bank account will be used for all business transactions and financial dealings. To open the account, the following documents are typically required:
- Certificate of Incorporation
- Memorandum of Association (MoA) and Articles of Association (AoA)
- PAN card of the company
- Board resolution authorizing the opening of the bank account
- Identity and address proof of the directors and authorized signatories
Obtaining Necessary Licenses and Registrations
Depending on the nature of your business, you may need to obtain various licenses and registrations. Some of the common registrations include:
- Permanent Account Number (PAN) and Tax Deduction and Collection Account Number (TAN) for the company
- Goods and Services Tax (GST) registration
- Employee State Insurance (ESI) registration
- Professional Tax registration
- Shop and Establishment Act registration
Engaging Professional Assistance
Registering a private limited company in Patna can be a complex and time-consuming process. Hiring a professional, such as a Chartered Accountant (CA) or Company Secretary (CS), can help streamline the process and ensure compliance with all legal requirements. We have successfully assisted numerous businesses with the registration process and can help you navigate the complexities of setting up a private limited company in the city.
Summing Up the Process Of Registering A PVT. Ltd. Company
Registering a private limited company in Patna requires meticulous planning, adherence to legal procedures, and the timely submission of necessary documents. By following this step by step guide and engaging the services of our professionals, you can ensure a smooth registration process and establish a solid foundation for your business in Patna. Once your company is registered, you can focus on growing your business and leveraging the opportunities that the thriving entrepreneurial ecosystem of Patna offers.
