Public Limited Company Registration: A Complete Guide

A Public Limited Company (PLC) is a type of company that allows shares to be publicly traded and offers limited liability to its shareholders. This structure is suitable for large businesses or companies seeking to raise capital by issuing shares to the public.

Benefits of Public Limited Company Registration

  1. Limited Liability:
    Shareholders’ liability is limited to the amount unpaid on their shares, protecting their personal assets.

  2. Access to Capital:
    Ability to raise funds by issuing shares to the public through the stock exchange.

  3. Enhanced Credibility:
    A PLC is seen as more trustworthy and stable by investors, customers, and business partners.

  4. Perpetual Succession:
    The company’s existence is independent of the changes in ownership or management.

  5. Brand Recognition and Growth:
    Being listed on the stock exchange can significantly enhance a company’s visibility and reputation, leading to growth opportunities.

  6. Tax Benefits:
    Public limited companies often enjoy tax advantages and other government incentives.

Eligibility Criteria for Public Limited Company Registration

  1. Minimum Directors and Shareholders:

    • At least 3 directors and 7 shareholders.
    • Directors can be Indian or foreign nationals.

  2. Director Residency:
    At least one director must be an Indian resident.

  3. Unique Company Name:
    The company name must be unique, distinct, and not in violation of existing trademarks or other companies’ names.

  4. Capital Requirements:

    • Minimum authorized share capital of ₹5 lakhs.
    • However, actual paid-up capital can vary based on the company’s needs.

  5. Drafting of MOA & AOA:

    • Memorandum of Association (MOA): Defines the scope and objectives of the company.
    • Articles of Association (AOA): Defines internal management rules and governance.

Documents Required for Public Limited Company Registration

For Directors and Shareholders:

  1. PAN card (mandatory for Indian nationals).
  2. Passport (for foreign nationals).
  3. Aadhaar card or voter ID (proof of identity).
  4. Passport-size photographs of directors.
  5. Address proof (electricity bill, bank statement, or driving license).

For Registered Office:

  1. Utility bill (electricity, water, or property tax receipt).
  2. Rent agreement (if the office is rented).
  3. NOC from the property owner.

Step-by-Step Process for Public Limited Company Registration

  1. Obtain Digital Signature Certificate (DSC):
    All directors must obtain a DSC for signing online forms.

  2. Apply for Director Identification Number (DIN):
    File DIR-3 to obtain the DIN for proposed directors.

  3. Name Reservation:
    Propose a unique name for the company via the RUN (Reserve Unique Name) form. The name must adhere to naming conventions set by the Registrar of Companies (ROC).

  4. Draft MOA and AOA:

    • MOA outlines the main objectives of the company, while AOA defines rules for internal management.
    • Both documents are required to be filed with the MCA.

  5. File Incorporation Forms (SPICe+):
    Submit the SPICe+ (Simplified Proforma for Incorporating Company Electronically) form along with the MOA, AOA, and other necessary documents.

  6. Issue Certificate of Incorporation:
    Upon approval, the MCA issues a Certificate of Incorporation (COI), confirming the company’s existence. This also includes the Company Identification Number (CIN).

  7. Apply for PAN and TAN:
    The PAN and TAN of the company will be generated automatically during registration.

  8. Start the Business Operations:
    Open a corporate bank account, register for GST (if applicable), and complete any other legal formalities for the commencement of business.

Post-Incorporation Compliance for Public Limited Companies

  1. Appointment of Auditors:
    Appoint a qualified auditor within 30 days of incorporation for tax and statutory audits.

  2. Board Meetings and AGM:

    • The first Board Meeting must be held within 30 days of incorporation.
    • Annual General Meeting (AGM) should be held within 9 months of the end of the financial year.

  3. Annual Filing with MCA:

    • Annual Returns (Form MGT-7) must be filed within 60 days from the AGM.
    • Financial Statements (Form AOC-4) must be filed within 30 days from the AGM.

  4. Listing on Stock Exchange (if applicable):
    To raise capital from the public, the company can list its shares on the stock exchange after meeting the requirements of the Securities and Exchange Board of India (SEBI).

  5. Compliances with SEBI and Stock Exchanges:

    • Disclosures, corporate governance, and quarterly filings are required once listed.

  6. Tax Filings:
    The company must file income tax returns annually and ensure compliance with Goods and Services Tax (GST) if applicable.

Why Choose AK Mehta & Associates for Public Limited Company Registration?

  1. Expert Consultation:
    Our professionals guide you through the entire registration process and legal requirements.

  2. Efficient Filing Services:
    We ensure that all forms and documents are filed accurately and on time to avoid delays or penalties.

  3. Complete Corporate Compliance:
    From company incorporation to compliance filings, we offer end-to-end support for all public limited company needs.

  4. Affordable Pricing:
    Transparent pricing without hidden charges. Get the best value for your investment.

Contact Us Today

Take the first step toward building your Public Limited Company with AK Mehta & Associates. Our experienced team is here to make the registration process smooth and hassle-free, guiding you through every legal and compliance requirement!

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