Guide on Private Limited Company Registration in India

A Private Limited Company is a type of business entity that’s owned by a group of people or Individuals. They share ownership through “Shares” but these shares cannot be purchased or sold publicly, unlike those of larger corporations you may be familiar with. Instead, owners make their own decisions on who can purchase and sell shares. The owners hire directors to run the day-to-day stuff and they follow rules set by the government, like filing financial reports every year. It is a separate entity from its owners it can have up to 200 members, with a minimum of 2.

The Advantages of a Private Limited Company, are a distinct legal identity, and ownership flexibility. At the same time, disadvantages include limited capacity for financing and the obligation to adhere to various legal requirements.

Types of Private Limited Companies:

Company Limited by Shares:

This is the most common type of private limited company in India. A company limited by shares means the liability of its members is limited to the amount unpaid on the shares.

Company Limited by Guarantee:

This company has members who act as guarantors rather than having a share capital. In the case of a company winding up, the member's liability is restricted to the amount they have agreed to contribute to its assets.

Unlimited Company:

The company does not have any limit of liability for its members.

Process of Private Limited Company Registration in India:

  1. Obtaining a Digital Signature Certificate (DSC) for Directors of the companies.
  2. The director must have a Director Identification Number (DIN).
  3. Uploading necessary documents including identity and address proof.
  4. Memorandum of Association (MOA) and Articles of Association (AOA) are both documents that have to be signed by the subscribers.
  5. Reserve the company name by using the Reserve Unique Name (RUN).
  6. Applying for PAN and TAN.
  7. Opening a Bank account.

Documents required for Private Limited Company Registration in India:

  1. Identity proof like Aadhar card, PAN, and Driving License of all Directors and Shareholders.
  2. Address proof Passport, and Voter ID of all Directors and Shareholders.
  3. Bank statement / Passbook of both Directors and Shareholders.
  4. Passport-size photo of both.
  5. Digital Signature Certificate (DSC).
  6. Director Identification Number (DIN).
  7. Memorandum of Association (MOA).
  8. Articles of Association (AOA).


Private Limited Company Registration in India involves a structured process designed to ensure legal and operational compliance. Due to its many benefits, including ownership flexibility and a unique legal character, it is a popular choice among entrepreneurs and small business owners.

Why Choose KDP Accountants for Private Limited Company Registration in India?

If you are starting a business in India, KDP Accountants makes the Private Limited Company Registration process simple and stress-free. Our expert teams help you at every turn, fulfilling all legal requirements. We offer services including NRI Taxation, Tax Auditing, FEMA, International Company Setup, and many more. Choose KDP Accountants for a smooth Private Limited Company Registration procedure and expert assistance with all of your business requirements.

The above note is subject to further study and clarifications. This note does not form an opinion from our end and before taking any decision based on above, it is recommended to consult our experts on the subject.Kamdar, Desai & Patel will not be liable for any damages (including, without limitation, damages for loss of business projects, or loss of profits) arising in contract, tort or otherwise from the use of or inability to use this article, or any of its contents, or from any action taken (or refrained from being taken) as a result of using this article or any such contents.

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