We all are very well aware of the fact that we deal in various type of hectic processes which tend to occur in normal day to day routines, similarly when a businessmen thinks of establishing his name and enriching with fame or making a positive impact by building a company with techno-social perspectives. On a similar note, when a company imagines itself to register and ways to make profits in the same, it has to counter various problems related to the same. This article will thus concentrate upon the question to how to register a company online and answer to the same i.e. ways to register company online.
Before we jump to any conclusions regarding the question pertaining to how to register a company online, it is necessary to recognize first that which type of company is suitable for which type of circumstances. But let us first have a look at the thin definition of company.
WHAT IS COMPANY?
A company, abbreviated as co., is a legal entity representing an association of people, whether natural, legal or a mixture of both, with a specific objective. Company members share a common purpose and unite to achieve specific, declared goals.
TYPES OF COMPANIES AND PURPOSES
Before we reflect upon the answer ways to register company online, it is most likely to understand different types of companies. The different types of companies with their purposes for which they are incorporated are elaborated below-
- Companies Limited by Shares- Companies limited by the shares signifies that whenever a member pays full amount of share value, only then he can be held liable.
- Companies Limited by Guarantee– In some cases, companies require certain type of guarantee through their MOA’s hence at the time of winding up the members are only held liable to the amount of guarantee.
- Unlimited Companies– Unlimited companies at the time of winding up requires that there members pay equally for the assets and liabilities held by them.
- One Person Companies (OPC)- OPC’s can be defined as companies held by one person as the sole shareholder who is generally responsible for the assets and liabilities individually.
- Private Limited Companies- Private companies can be defined as the companies whose articles of association restrict free transferability of shares. Private companies require minimum 2 and a maximum of 200 shareholders or members.
- Public Limited Companies– Unlike Private Companies, Public Companies do not restrict the transferability of shares but as a matter of surprise they take shares from the public itself.
- Holding and Subsidiary Companies- It is not at all necessary that companies are fully occupied or financed by themselves hence some companies finance the other companies and becomes the holding company while the companies financed so far are known as subsidiary companies.
- Associate Companies- Associate companies are those which have at least 20% of shares or otherwise as prescribed under law time to time of other companies so far associated with them.
- Companies in terms of Access to Capital- The companies can be of two types regarding the access to capital such can be classified as follows-
Listed and unlisted companies
Listed companies are those companies which have their securities listed on the board exchange while unlisted companies are those whose shares are not listed on the board exchange.
- Government Companies- Government companies are the companies in which more than 50% shares consists that of central government or state government.
- Foreign Companies- Foreign companies are those companies which are incorporated outside India.
- Charitable Companies– Charitable companies are those companies which are incorporated for the purpose of charity
- Dormant Companies- Dormant companies are those which are founded for the future objects.
- Nidhi Companies–A Nidhi company functions to promote the habits of thrift and saving amongst its members. It receives deposits from members and uses them for their own benefits.
- Public Financial Institutions- Public Financial Institutions are primarily formed to regulate public functions related to financing and investing.
WAYS TO COMPANY REGISTER ONLINE
After studying about different companies and in which circumstances or purposes they are formed, it is most pertinent to mention different ways to company register online, unlike the offline registration process, and online process is flexible and less hectic or tension causing. Easy steps in online registration can be seen downside-
Step 1: Digital Signature Certificate Preparation – Application submitted for digital signatures to e-Mudhra or other Certifying authorities, This includes submitting the digital signatures.
Step 2: Name approval request submitted to MCA- After the digital signature, a name approval request is submitted to MCA.
Step 3: Incorporation documents drafted based on the MCA approved name- Then documents are drafted based on MCA approved name.
Step 4: Signing of incorporation documents by all directors & shareholders- Different incorporation documents are then signed such as MOA & AOA.
Step 5: Submission of incorporation documents to MCA for approval- The documents are then sent to MCA for the approval
Step 6: Company incorporated with incorporation certificate & PAN- Now it is mandatory to incorporate the company with PAN id so that it gets a separate account.
It can be easily seen that how simple it has become to choose and register your company but as a reason that government offices prefer certain delays in the process, it is most necessary to mention that the process thus has become complex and is continuing to become so, but as they say “it always has a way out”, Consultancy services are always there to help these businesses to register and continue their work with ease, among such companies consists LegalPillers whose primary and secondary aim is to assist and advice businesses with respect to various services, LegalPillers have well qualified team of CA, CS, Advocates who are well versed with professional skills and empowered with practicality of rules and procedures in the law. Hyderabad is developing at a high and exponential rate and startup company registration in Hyderabad is becoming a question nowadays, LegalPillers works all over India and hence they also advice startup company registration in Hyderabad.