How To Register A Company In India

7 min readJun 22, 2023

Once when you have come up with a great idea and have decided how to register a business company in India, then certainly you must follow some procedures to register your business in India. After deciding regarding registration, naturally, there arise many questions like where should you get the application form, what is the process for registration, what is the registration fee, and whom should I contact for making my registration successful.

To get rid of all the confusion, let us help you make your registration process simple and easy with all the necessary details. This article will help you with all the relevant information as a step-by-step procedure for those who have decided to register a business in India or for those who have considered registering a business in India.

Before entering into the registration process, you must be aware of some basic information about the country where you are going to register your business. India is the seventh-largest country with a pool of opportunities in the emerging market for the world. Any business in India will likely succeed in its field because, after the Republic of China, India ranks as the second most populated country in the world. To make your registration process easy first, you must gather some information about the country namely; its culture, common business trends, and the landscape of India. It will help you decide which part of the country you want to and can register your business. The Indian market trend remains relationship-oriented.

It is obviously easier for an Indian citizen to register a business in India compared to a foreign country. I am going to list all the official procedures required for registering a company in India.

Let’s start, what is a company?

A company is an association, which is organized and formed to carry out a Business. A company is a legal entity that is classified and should be registered under the Company Act 1956. This company Act subdivides the company into two categories called private corporation/company and Public company.

Let’s Understand What Private Company And Public Company Is

What is a Private Limited Company

Here are the features of a private limited company as follows:

A Private company can have a maximum of 50 members.
It restricts to transfer of his or her shares to anyone.
Should not invite the public to subscribe regarding a company share.
A private company should have a minimum capital of 1 Lakh Rupees or capital may vary from time to time.
The private company should only have two board members and may have two directors.
Once a private company is incorporated, it can start its business.

What is a Public Limited Company

The characteristic of a public limited company is as follows:

There is no limit of members in the public limited company.
It can transfer its shares to its shareholders.
It allows inviting the public to subscribe to company shares.
The public limited company should have a minimum capital of 5 Lakh Rupees or the capital may vary from time to time.
The minimum number of board members required in a public company is seven and must have at least three directors.
The company can start its business only after receiving its commencement certificate.

Why Should You Register Your Company?

The main reasons to register your company are as follows

Protection
Transferable ownership
Retirement funds
Taxation
Raising funds through the sale of stock
Durability
Credit rating

How To Register A Business Company In India

Registering a company in India may take a duration of about 15 days to a month and sometimes more than that. Every state has a regional office of the Registrars of the Company (ROC) to guide the registration process. On white dust, we are going to give a step-by-step procedure to register a company, especially in India.

Steps To Register A Company In India

Step 1: How To Obtain The DIN (Director Identification Number)

The first and first process in registering a company is to acquire a DIN for directors. The government has set new requirements under which directors for Indian companies, which both Indians and Foreigners must register and get a unique identification number. It is called as DIN(Director Identification number). The Ministry Of Corporation Affairs (MCA) issues DIN, which is a unique identification number for an existing director or for the person who is intended to become a director of the company. Even if a person severs as a director to many companies only one DIN is allotted to a particular individual. For every director, company DIN has been made compulsory according to the Amendment Act 2006.

The Ministry Of Corporation Affairs (MCA) identifies the directors of the company by using this DIN. The process takes approximately one or two days with a registration fee of 100 INR.

Here are the Mandatory Documents required:-

Identity Proof
Passport
Driving license
Voter ID
PAN card
A photograph is a must
Address Proof
Ration card
Bank statement
Electricity Bill

Also Read: 10 TIPS FOR STARTING A HOME-BASED FOOD BUSINESS

Steps to fill out the E- form for obtaining DIN:-

Create a login ID with a username and password on the MCA website (mca.gov.in).
After creating an account with MCA. Log in to your account and fill out the E- Form to generate your DIN.
Download the E-form DIN-1 and fill it in with the necessary details.
Procedure to fill out the DIN 1 form:

Enter the full name of the applicant and make sure not to use abbreviations.
Enter your father’s name even if the woman is married.
Select the options whether you are a citizen of India or not.
Attach the latest photograph of the applicant in the box provided. The full face of the applicant should be clear. It should be in JPEG format.
Enter the nationality as mentioned in your passport.
Specify your current occupation and your education qualification.
Enter your date of birth in the given format (date- month-year).
Specify your gender by selecting one of the two options.
Enter your place of birth
Enter your Pan card number. Once it is entered it will highlight the “Verify income tax PAN details “ button click on it to verify.
Enter your Voter’s Id number, Passport number, and Driving license number in the next fields.
Enter your permanent address including your city, state, pin code, country, ISO country code, mobile number, E-mail, Fax, and telephone number.
Select one of the two options whether the present and the permanent address are the same. If the address differs, please mention it below in the next field.
Select the relevant checkboxes in the Certification field.
Attach the required documents as referred to in the form.
Select the appropriate category of the person who has signed your e-form either a Notary public or Gazette Officer of a government.
Enter the corporate identity number (CIN) of the company with which the Secretary is associated with the company and in which the applicant is proposed to be a director. Click the pre-fill button. The system will automatically display the name of the enterprise.
Check your e-form is successful, the required documents are attached, pre-scrutinize your e-form and then submit it.

After uploading the DIN 1 form, it will generate the DIN for the director. After generating the DIN one should intimate their company about DIN by using DIN 2 form
Details to be entered in the DIN2 form are listed below:

In the TO address field enter the company name and the address of the company.
Enter the date
Enter your DIN number
Enter your name
Enter your father’s name
Enter your residential address
Enter your email ID
Enter your designation
Specify whether the chairperson or director or executive director
Determine the category, name of the company, and date of appointment.
Enclose a copy of the DIN allotment letter.

The next process is that the company should intimate the director’s DIN to the Registrar Of Corporates (ROC) through DIN 3 form
Details to be entered in the DIN3 form are as follows:

Enter the Corporate Identity Number (CIN) of the company
Click the prefill button by which the system automatically displays the name.
Enter the address of the company and the e-mail id of the company.
Enter the authorized capital of the company and some members of the company.
Enter the paid capital of the company and enter the total number of directors and managing directors of the enterprise.
Enter the DIN number of the director and click the prefill button.
Then the system will display the personal details of the director. Enter the date when the intimation was received from the Director in Form DIN 2.
Select the designation and the category of the director like the chairperson, executive, or nonexecutive.
Enter the DIN of the director if you have chosen an alternative director.
Enter the details of the director like the name of the company, email id, and the date of appointment.
Provide the details of the manager like name, address, e-mail, designation, and date of appointment.
In an optional attachment, you can provide any other information.
Enter the date on which it has been authorized by the board of directors and submit the form.
The e-form should be digitally signed by the managing director or manager or director of the company, mentioning their designation and DIN.
The certificate should be digitally signed by the company secretary and enter his designation and membership number.
Check the form by clicking the form check button, if you want to modify anything modify it using the modify button. Then upload the filled form.
If you want to update your personal details or change of address or any change in DIN, then the director should intimate the change by submitting the e-form DIN 4 (more)