Public company registration, formation, incorporation procedure in India

Public companies are the companies which are formed by at least 7 persons. Public limited companies as against private limited companies can raise funds from general public by issue of either shares or debentures. But they have to be subject to a lot more severe laws,rules and acts. Thus it makes pubic company a costly affair. Public company must have at least 7 shareholders and 3 directors.

 

 

Formation of a Public Limited Company

Minimum requirements:

• Minimum 7 Shareholders
• Minimum 3 Directors• The directors and shareholders can be same person

• Minimum Share Capital shall be Rs. 500,000 (INR Five Lac)

• DIN (Director Identification Number) for all the Directors

• DSC (Digital Signature Certificate) for one of the Directors

Steps involved in formation of an Indian Public Limited Company
Step No.
Steps
Timeframe (Working days)
Processing
1
DSC
2
Documents required Self attested:• Address proof
• Identity proof
2
DIN Approved DIN is a pre-requisite for incorporation process
5
Apply for DIN and get a provisional DIN

••

Certification/Attestation of Director’s personal details

Sending the same to the DIN Cell and getting it approve

3
Pre- Name Application Search
••

The Promoters have to provide atleast 6 (Six) names in the order of priority.

To make an online search of availability of names as desired by the Promoters

4
Application for Name Availability

• 6 names for the proposed Company

• Main Object Clause

6
To draft the Main Object Clause to be pursued by the Company after incorporation.
5
Representations before RoC on behalf of Promoters
1
Changes to be made in the Name application, if any, suggested by the RoC
6
Documents required

Printing of Altered Memorandum and Articles of Association (MOA / AOA)


Other Forms like:

• Form 32
• Form 18
• Form1
• Letter of Authority/PoA

2
Drafting the MOA & AOA and after getting it vetted by Promoters, sending it for printing. • Processing of eForms: Stamping of documents namely:• MOA
• AOA
• Letter of Authority/PoA
• Form1
7
Final Process:

• Filing all the above documents with the ROC, follow up with the ROC, making changes to the MOA / AOA/otherIncorporation
documents as suggested by the ROC
4
• Online uploading of e-Forms
• Payment of Registration fees
• Collecting the Certificate of Incorporation
8
Application for Certificate of Commencent of Business
• A Public Limited
Company, in addition to
Certificate of Incorporation, must obtain a Certificate of
Commencement of Business before its operation
10
Documentation:• Preparation of Statement in lieu of   Prospectus (SLP)

(If the Company is not issuing the Prospectus to raise funds from general public)

• CA certification of SLP

• Preparation of Form 20

• Consent letter of the Auditor

• Preparation of Statement of
Preliminary Expenses

• Online filing of eForm 20

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