Company registration in Chennai ? Solubilis provides fast and cost effective methods for company registration services for its clients in Chennai. Your private limited company registration or public limited company registration in Chennai can be done within 12 working days.
Various forms of business organization are available in our day to day life such as proprietorship, partnership, cooperative society and joint stock company etc. Every entity is unique in their own way. The main forms of these registration include private limited company registration. The word private limited has the following characteristics.
Distinct legal entity: Once incorporating a company it acquires a legal status as a company. Thus a company can hold assets, transfer shares. A partnership firm has no existence apart from its partners.
Limited liability: The liability of a member of a company are limited for their capital contribution. No director shall take responsibility for a misconduct of other directors after registration. The creditors of a company has no rights over the members of the company.
Common seal: Once registration is done a company can obtain a common seal. As a separate entity common seal is a physical impression made by a corporate body.
Share transfer: The shares and other properties of the company are transferable to one another, either within the company or outside a company.
Contributing options: Members of the company can transfer shares post company registration, once shares are allotted. This provides legality of shares to its members.
Preferential treatment: The company forms of businesses is done by creditors, financial institutions for grant of loan and State Industrial Development Corporations after company registration.
Private Limited Company Registration: A private limited company registration can be done with a minimum of two directors and there is no minimum paid up capital. Shareholders operate their business themselves and directors can be appointed in a company. The main advantage of forming a private limited company is its liability, which is limited to the capital contributed to the company. The only disadvantage of a private limited company is that an IPO (Initial public offer cannot be made). Also the company’s share transfer is restricted to a considerable extent. If the creditor lose money due to director’s misconduct, then the director’s individual assets are liable in a company.
Public Limited Company Registration:
A public company cannot be considered as private, and there is no minimum paid up capital. Unlike private a public limited company has its own rights and powers. It can transfer it shares to the public who are ready to purchase its share in an IPO. A public company works as a team of shareholders, stakeholders and the public. Generally a public limited company can be registered with a minimum number of directors which is three. Unlike private limited the borrowing powers of public limited is very high, and the financial statements are mandated to disclose in public.
One Person Company Registration:
One person company is the new form of company registration which was introduced in the company’s act 2013. This works similar to a private limited with much lesser legal compliances. An Individual who is a resident of India can be the director. A nominee is appointed to continue the business in case of director’s demise. A one person company which has an annual turnover more than 2 Crores loses its eligibility to continue as one person company (OPC). Within a period of 180 days it should be converted as a private limited with minimum of two directors and shareholders.
Limited liability partnership:
LLP is a new corporate body which is just an extended version of a partnership firm. Like a company LLP stands as a separate entity apart from its partners. An LLP requires a minimum of 2 designated partners. Anyone, who is a citizen of India and runs a business as per law can be registered as an LLP. No partner is liable for an independent misconduct of other partners. If the liability arises due to partner’s misconduct then the liability is unlimited. A statement of accounts should be filed in behalf of LLP every year.