Nowadays, the process of registering a company in Chennai has become quite simple with the government moving most of the procedure online. However, there are a few things that entrepreneurs should know about the process of registering a company in order to complete it seamlessly.
One of the most important decisions that any entrepreneur can take is deciding in which legal structure they want to incorporate their business. India offers various options in terms of legal business structures, and the private limited company structure is one of the most popular ones. In this article, we will look at the process to register a company in Chennai in great detail by exploring the following topics –
Company Registration in Chennai, Tamil Nadu
Chennai serves as the capital of the state of Tamil Nadu and is often referred to as the Detroit of India. It houses over one-third of India’s growing automobile industry and is a central industrial and commercial area in India. All company registrations in Chennai occur as per the guidelines mentioned in the Companies Act, 2013. Further, like with all the company registrations, the process is regulated and overseen by the Ministry of Corporate Affairs.
Today the government has made the process to register a company straightforward and paperless by moving it online. The majority of the process of registering a company, as well as the subsequent compliance filings, takes place through government portals. Similarly, the Central Registration Centre, or CRC, processes the information gathered through online filings. Once the application is approved the Registrar of Companies will then issue a Certificate of Incorporation to the business once all other formalities have been completed.
Requirements for Company Registration in Chennai
Certain prerequisites must be met before registering a company in Chennai. Additionally, the requirements and registration process are primarily determined by the type of business structure chosen to be incorporated and the nature of the company’s operations. Let us now take a closer look at the eligibility criteria for starting a company in Chennai.
- A private company must have a minimum of two shareholders, and the first shareholder must draft and execute the company’s Articles and Memorandum of Association.
- The company must have at least two directors, who must be individuals and not corporations. In case the registration is performed by two or more companies, then they must nominate individuals to work as designated directors.
- All directors must have a valid Director Identification Number.
- All directors must obtain a Digital Signature Certificate to authorise the filings and applications.
- The entrepreneurs should come up with a unique company name for their business. The structure of the name may be as follows – Unique Name + Activity Word + Private Limited Company. All the names proposed must abide by the guidelines stated under the Companies Act, 2013.
- There is no minimum paid-up capital requirement for starting a company in Chennai. However, the registration fees payable will depend on the authorised capital raised by the company.
- All companies must have a registered office address as their principal place of business, and this address must be used in the company’s official communications.
The founding shareholders must allot the company’s subscribed capital within six months of company incorporation. The business will be allowed to commence its operations only after filing such a declaration to the Registrar. This declaration must state that every subscriber has paid for the shares allotted to them and that the company is ready to begin its operations.
What Is the Process to Register a Company in Chennai?
- First and foremost, entrepreneurs must decide on a name for their company and file an application to search for name availability. They can provide up to six different options, and the RoC will allot a name based on its availability
- Next, the shareholders will have to start gathering all the documents required to start filing for registrations and licenses
- The applicants will also have to meet with a legal expert to gain an understanding of the different licenses and registrations they need to obtain, depending on the nature of their business
- Along with these processes, the entrepreneurs must also start to actively look for funding, via banks, financial institutions, creditors, or investors
- The directors will then have to apply for a DSC and once they have that, they must use it to obtain a DIN
- After all the documentation is in place, the company can file for incorporation with the RoC
- Entrepreneurs will also have to obtain a company PAN and TAN card. They will also have to register under the GST and obtain a certificate of registration.
As you can see, the process to register a company in Chennai involves various steps and processes. The ideal way to go about the incorporation procedure would be to take the help of knowledgeable legal professionals, such as the experts at VakilSearch.
Our services encompass all the steps involved in starting a company, helping you make the entire process cost-efficient, easier, and simpler.
Documents Required to Register a Company in Chennai
Incorporation documents for the MCA are as follows:
- Form INC-32 – Company Incorporation Application Form, via the Simplified Proforma for Incorporating a Company Electronically, better known as SPICe+
- Digital Signature Certificate
- Director Identification Number
Other Documents Required
- Consent to act as director via Form DIR-2
- Application for DIN
- In case DIN is allotted, a declaration of DIN
- Application for Digital Signature Certificate
- Declaration by subscribers via Form INC-9
- MOA (Memorandum of Association)
- AOA (Articles of Association)
- Registered office address proof
- No-objection letter from the property’s owner
- ID and address proof of all directors, which include any of the following:
- Permanent Account Number (PAN) card
- Aadhaar card
- Driving license
- Bank passbook or account statement
Additional Documents Required
- NOC for trademark use
- Resolution or NOC from an existing company for using a similar name
In case the authorised capital raised is less than ₹15 lakhs, there are no additional registration fees involved. However, entrepreneurs will have to pay the filing fee and stamp duty for Forms INC-33 and 34.
How Can Vakilsearch Help?
Vakilsearch provides a comprehensive list of services pertaining to company registration in Chennai. Our experts will help you in the following ways:
- We provide business startup advice to all aspiring companies
- We perform a company name search and help companies obtain name approval quickly without any hassle
- We provide help with obtaining Digital Signature Certificates and DINs
- Our legal experts will help you draft the required legal documents, such as the MoA and AoA
- We will handle your application filings and ensure that you obtain a company incorporation certificate on time
- Our team will also help you obtain your company’s PAN card, TAN, TDS number, and GST certificate
- Lastly, our team can also provide several compliance services and even undertake the filing of your annual returns and statutory statements.
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