A private limited company is a privately held business entity held by private stake holders. The number of shareholders in a Private Limited Company is limited, typically ranging from 2 to 200. It prohibits the issuance of a public invitation for subscribing to its securities.
Benefits of Private Limited Company –
- In a private limited company, there is a limited liability, which means the company’s members are not at risk of losing their private assets. If a company fails, the shareholders are liable to sell their assets for payment.
- Unlike a public company that requires seven shareholders, a private limited company can be started with just two shareholders.
- As the company’s shares are owned by investors, founders, and management, the owners are at the liberty of transferring and selling their shares to others
- As mentioned earlier, the company stays a legal entity until it is legally shut down, the company runs even after the death or departure of any member.
- Shareholders in a Private Limited Company have control over the company’s ownership, meaning they can decide who can buy and sell shares in the business.
Required Documents of Private Limited Company –
- Minimum 2 Directors have required.
- Search the Unique name.
- KYC of All Directors.
- Identity Proof of All Directors.
- Photo of All Directors.
- Address Proof of All Directors.
- Digital Signature of All Directors.
- Forms & Declaration by Directors and Shareholders.
- Proof of Registered Office Address.
- Agreement & NOC of Land Lords.
[]
1
Step 1