Last updated: December 7th, 2019 12:58 PM

Requirements for Company Registration

The process for registering a company has been made very simple and affordable over the last few years. With the introduction of digital signature and INC-29 incorporation, a company registration can now be completed from the comfort of home within 10 days. However, unlike purchasing a product, company registration requires the promoters to meet certain criteria and submit certain documents for incorporation of a company. In this article, we look a such requirements for company incorporation in India.

Shareholders

A private limited company must have a minimum of two shareholders at all times. A private limited company can have a maximum of 200 shareholders; on the other hand, a public limited company can have unlimited shareholders. The shareholder of a company can be an individual or a body corporate. The shares of an Indian company can be owned by Indian Citizens or Indian Body Corporates or Foreign Nationals and Foreign Body Corporates. Shares of an Indian Company can be owned by foreigners subject to the FDI norms. There is no requirement for a shareholder of an Indian Company to have an office or address for correspondence in India.

Directors

A Director is a person who administers, controls and directs the operations of the company.