Introduction to Company Registration 

A Company is a big dream of every entrepreneurs who they do their business in the start-up level. Registering your company in a right place is an essential part of your business. We Solubilis provide you right solutions of your company related issues. Here, Company registration process made easy while compared to others.  A company is a separate legal entity which is formed by any natural person or a group of persons. In earlier days all companies operated under the Companies Act, 1956. Now, all the companies are operated under the Companies (amendment) Act, 2103. The Companies are classified into three ways. They are i)Based on the number of directors as it holds; ii) Based on the mode on Incorporation of that Company; and iii) Based on the liability of members

Classification of Company registration based on the number of members

Companies are classified into three types based on the number of members. This classification is mostly used in Company registration culture.

One Person Company

The name itself we can understand this type of Company. Why because only one person can be a director and if he needs he can eligible to nominate one nominee director.  In One Person Company (OPC), any one person must be resident in India. This type was first introduced by the Companies Act, 2013. The director of the One Person Company shall have the limited liability as compared to the Sole proprietorship firms. If any loss occurs, the personal assets of that person will not be affected and the liquidation can be available for this type of company.  For this type of Company Registration, kindly contact us and we make your process easier.

Private limited Company

 A private limited company is a separate legal entity which has minimum of 2 members and maximum of 50 members. This type of company has both limited and unlimited liabilities. The Unlimited liability mainly based on the type of the company it is. The transfer of shares also limited to its members only in this type of Company. The general public cannot be liable for private limited companies shares and debentures. It didn’t need the commencement certificate to start the process.  The private limited company needs only the incorporation certificates to starts its operation. This is the one for all type of start-ups to be registered it. Private limited companies are exempted for many rules and regulations of public limited companies. For maintaining the Annual general meeting and annual reports,   the private limited company needs a file prospectus with the Registrar. If you want the greater control and maintain privacy of your entity you will need this type of entity.

Public Limited Company

A public limited company is one of the forms of the company and it needs minimum 7 members to form. There is no limitation for maximum number of members. The liability of members of a public limited company is limited and the legal existence of public limited company is totally different from their shareholders. The shares of the public limited company is not a private one and this kind of company collects its capital by selling its shares to the shareholders The shareholders are separate from the ownership and management. The shareholders cannot have the liability of ownership. All the important major decisions regarding to the company is taken only by the Board of directors of that company. If you want to increase your shares and debentures and growth, the Public limited company is the right choice. For Public limited company Registration kindly make a call to us. We are assisting you in right way.

Classification of Company registration based on liability of members

Companies may classify into three types according to the liability of members. Sometimes, In case of liquidation, the members of the company may pay even more than their personal asset or their face value of their shares.

Companies limited by shares

As the name itself we can understand this company. Most of the private Limited companies are gone under this type. The liability of the shareholders is limited by their face value of the shares they holds in that company. Their personal asset cannot be gone under risk.

Companies Limited by guarantee

The members liability is extend to their guarantee as they given in time of Company Registration process. At the time of liquidation, the members of the company have to be pay certain amounts as they promise.

Unlimited Companies

As the name itself we can judge this type of companies. Now, unlimited companies are not taken in company registration process why because its disadvantages. The liability of members is unlimited and their personal assets gone under risk. The members of the company must have to pay even from their personal assets to fulfill the liabilities of the company.

Companies based on mode of Incorporation

These types of companies are created by the special act or special order or normal way of company registration process. This can be classified into three types.

Royal chartered Companies

The Royal charter only created this kind of companies. The royal charter in the sense, anyone who having the power or a right by the monarch and only granting a special order and special act of a king or queen. Now a day some of the royal chartered companies are still exist like Bank of England, BBC, and East India Company.

Statutory Companies

The central and state legislature can only passed a special order or special act to form this type of company registration. It is mainly created for the benefit of that country. National importance is the only thing for this type of company registration. The members are mostly invested with powers and they have the responsibility to the national growth. Some of the statutory companies are still available like The Reserve Bank of India (RBI) and Life Insurance Corporation of India (LIC).

Incorporated or registered companies

All the companies except from the above 2 types are laid under this type. The Company, which is registered or incorporated as per the guidance of Companies Act, 2013 is called Registered or incorporated company. This kind of companies must be followed the rules and regulations of the Companies Act. The Registrar of Companies passed the certificate of incorporation for this type of companies and each company must hold this certificate of incorporation.

Here, are lot many ways to company registration process. The only thing is how to choose your type of company registration as per your business status and meanwhile consider the advantages and disadvantages of each type and fix which suits your start-up. For any clarification about Company registration process, kindly visit our site and feel free to contact us. We Solubilis hold the torch till your reach the goal. Thanks for reading!!!