Businesses are registered in India following the Companies Act of 2013. The process is relatively simple and inexpensive, and it provides many benefits. Some benefits include limited liability protection, easy transferability, easy access to funding the business, brand recognition, and much more.
Reading the benefits, you would have understood that skipping company registration in India is never wise. Also, the registration process is not daunting as before because you can easily register your business online.
In this article, you can learn how to register your business online.
Digital signature certificate
A Digital Signature Certificate (DSC) is a secure digital key used to authenticate and approve electronic documents and transactions. For instance, it is used to apply for various tenders, e-filings, e-procurements, and online registrations.
The certificate provides the document’s recipient with the reassurance that it has not been tampered with and comes from a reliable source. A certified authority issues a DSC and includes information on the certificate holder’s identity (CA).
Businesses must have a DSC to submit online tax returns, business license applications, and other documentation relevant to their operations. Otherwise, companies would have to physically visit government offices to file these documents without a DSC, which can take time and be cumbersome.
Also, possessing a DSC is mandatory for all the proposed directors mentioned in the Memorandum of Association and the Articles of Association. It is one of the crucial steps to be executed, and the digital key will be released in just two days after applying online.
Director identification number
Every firm director is given a Director Identification Number (DIN), a unique identification number. The primary goal of assigning a DIN is to create a centralized database of all directors so that it is possible to check the director’s background and make sure that no one serves as a director of more than one firm.
By providing the necessary forms and papers to the Ministry of Corporate Affairs, a DIN application may be made (MCA). You can opt for the SPICE+ form for a maximum of three directors. Even if the company has more than three directors, DIN can be obtained with a maximum of three directors. Other directors can get DIN by applying the DIR-3 form.
Registration on the MCA portal
The MCA portal was created to give all businesses a single point of access to the many e-services provided by the government. The site intends to lessen the regulatory burden on companies while fostering efficiency and openness in the provision of public services.
The portal now provides several services, including company Registration Online, yearly return filing, and tax and fee payment. The GST portal, the income tax site, and the customs portal are just a few of the additional government portals integrated with the MCA portal.
There are many advantages to registering a business through the MCA Portal. The registration gives the company a legal identity, which is necessary for dealing with the government and other companies.
Businesses can also acquire PAN and TAN through registration, which is required for tax purposes. Additionally, companies can get the licenses and permits they need to function by registering their firm on the MCA Portal.
After examination, PAN and TAN will be allotted by the Income tax department along with the certificate of incorporation. If you have this, you have registered your business in India.
Thus, these are the steps for Company Registration in India. Make sure you get the DSC, DIN, address, and other documents like a Pan card, Aadhar card, driving license, passport, latest telephone bill, electricity bill, etc., before starting the process.