The directors of the private limited company are not personally liable for any loss/damage to the creditors or other stakeholders.
After being registered as a private limited company, the same is considered to be a juristic person, i.e. both the directors and the company are two different distinct entities. Even if the ownership continues to transfer multiple times, the existence of the company will still be there.
As the private limited company is considered to be a separate legal entity; the same can easily raise equity funds. Both the private equity funds and the venture capitalists prefer to invest in the private limited company more than any other entity type. This benefit also makes it easier for the company to hire top talent that would otherwise not be possible by merely paying a salary.
Apart from raising the equity funds, the private limited company holds power to issue both equity and preference shares along with debentures. The company can also accept deposits with RBI’s permission.
The ownership of the private limited company is easily transferable. But the transfer of ownership won’t affect the existence of the company by any means. As under the eyes of the law, the private limited company is a separate legal entity; it will enjoy an “uninterrupted existence” irrespective of the number of ownership transfers.
In its capacity as an artificial person, the private limited company can enjoy ownership of properties on its name. Property may include a building, machines, any tangible and intangible assets, land, and much more. Till the time, the company is a going concern; no shareholder can claim its right on any of the property possessed by the private limited company.
- Memorandum of Association (MOA)
- Articles of Association (AOA)
- Copy of the director’s PAN, Aadhaar, and Voter ID cardsArticles of Association (AOA)
- Copy of rent agreement (If the business place is taken on rent) along with a NOC from the LandlordArticles of Association (AOA)
- Copy of Sales deed (In case of self-owned property)Articles of Association (AOA)
- Copy of latest utility billArticles of Association (AOA)
- Passport size photograph of all the director’sArticles of Association (AOA)
- An affidavit from the directors and the shareholdersArticles of Association (AOA)
How can Apply Legal help you with your company registration?
We at Apply Legal follow an organized work approach so that our clients always get the best service and results. Here are three simple steps that our professionals use to complete the company registration process.
Getting the DSC and DIN part done on your behalf – Both the Digital Signature Certificate (DSC) and the Director Identification Number (DIN) are required to be submitted along with the private limited company registration application. The assigned professional will help you get the DSC and the DIN number at the earliest so that the application process can move ahead. Usually, it takes around 5-7 days to get both. However, depending on the case and workload, the time may vary also.
Selection of your company name– There are chances that some other business entity might have already booked your decided business name, so getting a name approval from the MCA is not an easy task. Depending on the relevant MCA guidelines, our professionals will assist you with deciding on a suitable name. You can submit a minimum of one to a maximum of 6 proposed business names for approval. Our professionals will guide you through it. The name approval process may also take around 5-7 working days.
Final registration– When the first two steps are completed, the registration application is successfully submitted to the MCA along with the required registration documents. The time taken by MCA for application approval ranges between 5-7 working days.
Our purpose is to make legal matters simplified and accessible like never before so that you can concentrate on your core areas while we will take care of the legal aspects.