The Public limited company in India is a voluntary association of people who wants to have a large scale operation with limited liability, It is a separate legal entity as per Companies Act, 2013. A Public Limited Company enjoys wide options to raise funds through bank loans, the general public, and Institutional investors and by fulfilling guidelines as specified by SEBI, it can also become a Listed Entity.
The Public Limited Company has many advantages over Private Limited Company and the ability to have any number of members, ease in transfer of shareholding and more transparency makes it popular amongst foreign investors.A Public Limited Company registration in India is the best suitable business structure for entrepreneurs who are planning for large-scale business operations and with large number of people as its member.
1. Passport size Photograph of all the Directors and Shareholders
2. PAN and Aadhar card of all the Directors and Shareholders
3. ID proof of all the Directors and Shareholders (Driving License/Voter ID/Passport)
4. Address Proof of all the Directors and Shareholders (Bank statement/Electricity Bill/Telephone Bill) not older than 1.5 months having name of the respective Director and Shareholder.
5. Registered Office Address Proof (Electricity Bill/Water Bill/Gas Bill or any other utility bill) not older than 1.5 months
1. A Public Limited Company must have a registered office in India. Documents like bank statement or electricity bill should be recent.
2. A utility bill, rent agreement or sale deed and an NOC (Non-Objection Certificate) from the landlord with his / her consent to use the office as a registered office of a company must be submitted as well.
3. A Public Limited Company must have minimum 7 persons as its Shareholders.
1. Experienced and dedicated personnel assigned for engagement.
2. Collection of required documents along with a simple checklist.
3. Verification of the Documents as required for Incorporation by our incorporation experts.
4. Process of application of Digital Signature Certificate.
5. Name approval application submitted to MCA.
6. Drafting of the essential documents by our Assigned Personnel based on the MCA approved name.
7. Signing of documents by the Directors and Shareholders.
8. Submission of documents along with Incorporation Form to MCA for approval.
9. Once MCA approves, it will grant Certificate of Incorporation and the company will be Incorporated.
10. After Company is incorporated, the bank account needs to be opened in 180 days and have to file Form INC 20A with MCA to commence the Business. (For better understanding of Form INC 20A, Please read our Service blog by clicking on Form INC 20A)
1. A company is a separate legal entity from its Directors and Shareholders.
2. The liability of the members with reference to company’s debts are limited.
3. There are no restriction on transferability of shares in Public Limited Company which over comes the limitation of Private Limited Company.
4. A company being an independent legal entity can sue and be sued in its own name.
5. A company has ‘perpetual succession’, that is continued or uninterrupted existence until it is legally dissolved.
6. There is no such minimum capital compulsion. Therefore, there is no pressure of fund requirements. A Private Limited Company can be registered with a mere sum of Rs. 10,000 as total Authorized Share capital.
7. As the Public Limited Company has minimum 7 Members, it increases the chances of its growth through mutual capital and management.
All registered Indian Companies must appoint a Statutory auditor within 30 days of incorporation. The auditor also needs to be appointed within 15 days from the conclusion of AGM. Therefore, the due date for ROC Form ADT 1 would be 14th October every year.
The capital mentioned in the MOA [Memorandum of Association] must be deposited in a bank and commencement certificate must be obtained from MCA within 180 days of incorporation.
For Every company in India, it is mandatory to hold an annual general meeting once a year. Companies are required to keep their AGM within six months from closing the financial year i.e. 30th September every year
Every Public Limited Company shall maintain proper books of accounts which shall represent an accurate and fair value of the state of affairs of the company. Accounting is necessary for the statutory audit. Annual filing and Income tax return filing which is mandatory.
It is mandatory for the Public Limited Company to get their accounts audited under MAT i.e. Minimum Alternate Tax. The objective of the introduction of MAT was to bring into the tax net “zero tax companies” which in spite of having earned substantial book profits and having paid handsome dividends, do not pay any tax due to various tax concessions and incentives provided under the Income-tax Law.
Every Public Limited Company registered under the Companies Act, 2013, irrespective of its sales turnover or nature of business or capital must have its book of accounts audited each financial year.
The registered Public Limited Companies must file MCA Form AOC-4 which contains details and annexure relating to Balance Sheet of the Company, Profit & Loss Account, Compliance Certificate, Registered Office Address, Register of Member, Shares and Debentures details, Debt details and information about the Management of the Company. The due date for ROC Form AOC 4 would be 29th October i.e. 30 days from the conclusion of the AGM.
It is necessary to file MCA form MGT-7 which contains details of shareholding structure, change in directorship and details of the transfer of shares during the year if any. Due date for ROC Form MGT 7 would be 28th November that is 60 days from the conclusion of AGM.
Every director shall in its first board meeting and every meeting afterwords when his interest in other entities changes shall disclose about the interest in any company, firm or other AOI (including any shareholding interest) by filing Form MBP 1.
Form MR 3 needs to be filed by all public company containg Secretarial Audit Report if it has paid up share capital of equal to or more than Rs 50 Crores or turnover of Rs 250 Crores or more has to obtain secretarial audit report in form MR-3 from Practicing Company Secretary.
DIR 3 KYC is a form to be filed every year by director of Public Limited Company who has been allotted DIN (Director Identification Number).
Income tax returns for Public Limited Company need to be filed on or before 30th September 2021 for each financial year .
With our experienced and skilled personnel, We at UpriseLegal makes process of registering your Public Limited Company very smooth and helps you in each and every step of company formation. We follow law to the core and uses our knowledge to avoid any hassles in your business so that you can rise and grow! You may get in touch with our compliance manager on 9172512402 or email us at [email protected] for free consultation.