There are various rules and regulations to be observed when incorporating a company in India. Whether it be a public or private company, there are specific rules and regulations to be observed for establishing a company in India. An entrepreneur, be a start- up firm or of a running firm may not be aware of the rules and regulations of incorporating a company in India and may be put to various hassles due to this ignorance. So it is advisable to take up the assistance of an expert in incorporating a company abiding by the rules and regulations.
Now we will have a look into the procedures for establishing a company in India. There are specific rules regarding the number of directors of the private and public company.
In the digital world, a digital significant certificate has become an essential feature for the incorporation of firms. It’s the DIN, the director identification certificate, which is essential, even before registration of the firm. Forgetting this, the director identification certificate, certain documents needs to be rendered before the certifying authority. After getting the approval of government authority regarding the directors of the company and the DIN, the name of the company needs the approval. A lot of controversies have to be subdued in obtaining this. Strict rules are formulated to discard the confusion in terms of the name of the company. There are options to book the name of the company in advance.
Drafting of Memorandum of Association, which depicts all the provisions of the company is to be done carefully. This is a tiresome task, which needs skill and knowledge. We have expertise, hands in preparing the Memorandum of Association. As this is the constitution of the company, all information related to the company is to be furnished in this clearly. We employ the expertise with legal knowledge in drafting this memorandum.
Outlining Article of Association is the next task, which is to be drafted vigilantly. This document states the purpose, operation, the process concerning the assignment of the directors and managing the financial aspects of the company. The company’s incorporation form is to be filled by the registrar who is entitled with the authority to do so. After the signing of the article and document by the subscribers, a declaration in Form No.INC.8 from an advocate or the from the directors of the company are to be submitted. An affidavit in Form No. INC.9 is to be produced by each director and subscribers that they are free of any offense or guiltiness. The address to carry out the correspondence to the registered office of the company come into existence and the details of each subscriber and directors are to be provided.
Unless, the Director of the company has forwarded a declaration complying with the rules, to the registrar in Form No. INC.21, no business is to be carried out by the company. The company needs to have a registered office. All these should be complying with the rules and regulations. When all these conditions are fulfilled in detail, will bring about the incorporation of the company in India.