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Public Limited Company Registration Online

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A Public Limited Company is permitted by the Companies Act of 2013 to issue shares via an Initial Public Offer and has limited liability (IPO). A person may also purchase company shares through the stock market where it is listed. a Public Limited Company registered by the rules established by the Companies Act of 2013.

In India, a public limited company enjoys both the benefits of limited liability and all the privileges of a corporate entity. A public limited company registers on the stock exchange to raise money from the general public. Consequently, public limited companies must abide by numerous government regulations to establish a public limited company.

A Public Limited Company is a distinct legal business entity with limited liability that must have at least three directors and seven members. An Indian-registered limited company’s member can benefit from limited liability, and this kind of business is also permitted to raise money from the general public by issuing shares. A stock exchange serves as the trading platform for limited company securities. It is, therefore, necessary for Public Limited companies to submit their annual compliances by the deadlines established by ROC.

Benefits of registering a public limited company

Different legal entity

A public limited company is a legal entity that can own property and take on debt in its name. Additionally, the shareholders and directors of a company are not responsible to the company’s creditors for such obligations.

Simple Transferability

A company’s shareholder limited by shares may quickly transfer his shares to any other person. The shareholder must file and sign a share transfer form and provide a share certificate to move the share to the buyer.

Constant Succession

Due to its distinct legal identity, a company’s existence is unaffected by changes in membership brought on by any member’s death or other departure. In other words, a company has perpetual succession, meaning it continues to exist without interruption until formally dissolved.

Capacity for Borrowing

A public company, under company law, may raise money by issuing shares and debentures to the general public. Even banking and financial institutions offer a company more financial support than partnership firms or proprietary concerns do.

Property ownership

The company can purchase real estate as a distinct legal entity. No company member may assert any rights to the company’s property while it is still a going concern.

Increased investor interest in the stock market

A company’s listing on the stock market ensures that owners of mutual funds and other stock traders will be drawn to it. Better funding sources may be attracted to the Public Limited Company due to this.

More Chances for Development

Public limited companies have more opportunities for growth and expansion because they can use initial public offerings to grow and expand their businesses.

Requirements for registering a public limited company

According to the Companies Act of 2013, the following requirements must be satisfied to establish a public company in India:

  • A minimum of seven shareholders are required for the proposed company.
  • A minimum of three directors must be present in the proposed company.
  • No minimum investment is needed.
  • A minimum of one director must possess a digital signature certificate.
  • Memorandum of Association and Articles of Association.
  • The proposed public company must apply for a “Certificate of Business Commencement” after receiving the Registrar of the Companies’ approval.

Documents required to register a public limited company

  • Keep a record of the identities of each director and shareholder, such as a PAN card, voter ID, Aadhaar card, or driver’s license.
  • Document proving the address for each director and shareholder.
  • The registered office’s water, phone, gas, or electric bill.
  • To use a location as a Registered Office, you must have a “No Objection Certificate” (NOC) from the building’s landlord.
  • Each director’s taxpayer identification number.
  • Obtain the digital signature certificates for the directors.
  • Memorandum of Association and Articles of Association.

Public Limited Company Registration Procedure

Step 1: Get a DSC and DIN.

Obtaining a director’s DSC is among the first tasks that must be completed (Digital Signature Certificate). The same data is needed for both electronic and digital signatures. The certifying body produces this required record.

All prospective company directors must also apply for a Director Identification Number (DIN). Directors can apply for a DIN by completing the SPICe form to the MCA’s streamlining process.

Step 2: Enter the company name

The following step is to check the Ministry of Corporate Affairs (MCA) website to see if the desired company name is already taken. After visiting the MCA portal, the following step is to choose the MCA services and confirm name availability. However, the proposed name cannot be the same as an already-used trademark or service mark.

Step 3: Submitting the SPICe+ form

Once the proposed name has been approved, the applicant may submit the SPICe+ form to request a Certificate of Incorporation. All required paperwork, such as an Articles of Association and Memorandum of Agreement, must accompany the application.

Step 4: Certificate of incorporation

After the necessary paperwork for an entity’s formation has been received, processed, and approved by the relevant authorities, a Certificate of Incorporation is issued, including the entity’s CIN (Corporate Identification Number) and the date of incorporation.

Step 5: Getting a firm PAN and TAN

Members and directors of the company may submit applications to the MCA for the issuance of a Permanent Account Number (PAN) and a Tax Deduction Account Number (TAN Registration) in the company’s name once the company has received its COI (Ministry of Corporate Affairs).

Step 6: Establish a new bank account 

By providing the bank with the information from the PAN card and the COI, it is now easy for the company’s members to open a savings account in the company’s name.

Annual compliances for public limited company 

  • Convening Board Meeting
  • Auditor Appointment
  • Filing Disclosure of Interest in MBP 1 form
  • Conducting Annual General Meeting
  • Keeping Statutory Registers Up to Date
  • Annual Return Filing
  • Certification of Annual Return
  • Resolution Filing with ROC
  • Financial Statement Preparation and its approval
  • Distribution of certified Financial Statements & other related documents to the members 

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