Directors Identification Number(DIN) :-
As per section 153 of the Companies Act 2013, every person who proposes to be the Director of a company shall mandatorily have an 8 digit unique code i.e. Director Identification Number (DIN) registered in his name.
DIN once allotted is valid for a lifetime
Digital Signatures Certificates (DSC) :-
As MCA is a digital platform to file various forms and other related documents, thus there is a need to sign such forms digitally.
Thus any person/director who is so authorised to sign forms on or behalf of the company shall have his Digital Signature Certificate.
Director is the person who controls and manages the day to day affair of a company, who acts both as an agent and trustee for a company.
Number of Directors in a company shall be
Minimum 2 and Maximum 15 in case of Private Limited Company
Promoter: Is the person who has control over the affairs of the company, directly or indirectly whether as a shareholder, director or otherwise.
Shareholder: Is a person who subscribes to the shares of the company and participates in the profits of the company, also known as member of the company.
A private limited company can have a minimum of 2 and maximum of 200 member in a company.
Name of the company is the most crucial and important aspect of Incorporation, as it will be the identity of the company. Thus in order to choose the name of the company one should seek the understated checklist.
Does while proposing name of the company
The name shall be unique
The name shall depict the nature of business activity
Don’ts while proposing name of the company
Shall not be similar to that of name already registered.
Shall not be a registered trademark.
Shall not fall in the category of Emblems and Name (Prevention and Improper Use) Act, 1950.
In some cases the name so proposed needs prior approval of Stock Exchange Board of India (SEBI), Reserve Bank of India. Thus if proposed name falls under the given category then approval shall be obtained.
The Registered Office of a company is that place which tends to be the official address of the company also where the company so proposes to work and receives formal notices from government departments, investors, banks, shareholders, general public or any other authority.
The Registered Office is required for understated purposes:
To convene all the shareholders and board meetings
The Jurisdiction of Registrar of Companies is based on the registered office of the company.
All the necessary books of accounts and government records are to be maintained at its registered office.
While selecting the place for registered office one should keep in mind:
Convenience of the Management
Convenience of the AdministrationStamp Duty* so imposed by the jurisdiction over the place of registered office.
* STAMP DUTY IS SUBJECTED TO THE JURISDICTION WHERE THE REGISTERED OFFICE OF THE COMPANY FALLS
Memorandum & Articles of Association
Memorandum of Association is that document of a company which lays down the foundation of the company onto which the company constructs its structure. It has been divided into Six major clauses.
Name Clause: States the name of the company.
State/ Situation Clause: States the registered office of the company.
Object Clause: Describes the objects/ Business activity of the company and are divided into
Liability Clause: States the nature of liability of the members of the company i.e. limited or unlimited.
Subscription: Details of the subscribers to the memorandum of associations of the company
Capital: Whether or not company is having share capital.
Articles of Association
The AOA of the company defines its bye laws which helps to regulate the internal affairs and code of conduct of its business.
Rights and Powers of governing body
Procedure of Transfer and Transmission of shares
Power of the Board of Directors of the company.
Share Capital The Share Capital of a company is basically divided into three categories
Authorised Capital: There is no limit onto the maximum amount of authorised capital but should not be less than.
Private Companies – Rs.1 Lakh
as per the companies act 2013.
Paid Up Capital: Paid up capital is that part of Authorised Capital which has been allotted to the shareholder.
The paid up capital shall not exceed the maximum amount so mentioned below.
Private Companies – Rs.1 Lakh