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Public Limited Registration
Public Limited Registration

What is a Private Limited Company

A Private Limited company is the one which is incorporated under Indian Companies Act and it’s a most popular form of business entity suitable for a large scale business. It is a separate legal entity with perpetual succession and a common seal. The most important feature of a public limited company is that it can raise fund from the general public by way of shares.

(This is the most popular form of business among Large or huge scale companies, where investment through public finding becomes possible)

Characteristics of Public limited company

  • Perpetual Succession
  • Common seal
  • Index of members
  • Limited liability
  • transfer of shares made easy

How does a public limited different from other business organizations

The major difference between a Public Limited and the other forms of business entities are as follows: The primary difference is that of Transferability of shares through share market. Further raising of the fund from the general public is also possible.

 

Advantages of a Public Limited Company

  • Limited Liability
  • Possibility for raining capital from public
  • Independent legal entity
  • Growth and expansion opportunities
  • No ceiling on the maximum number of members

 

Minimum requirement forming a Public limited company

The minimum requirement for forming a Public limited company is that of 7 members and 3 directors. Further, the share capital that is required is that of a minimum of Rs. 5,00,000/-. Just these two is not enough, it requires a corporate office to run the show.

All people are equal before the law.

Procedure to form a Public Limited Company:

  • Name Approval
  • Apply for Digital Signature
  • Obtain DIN Number
  • Submission of MOA and AOA
  • Submission of supportive documents
  • ROC Certificate
  • Obtain PAN Card

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