Incorporation of Private Limited Company @ Rs.9799/- Only (Authorized Capital upto Rs.1,00,000/-)
Normally a Company gets Incorporated in 2-3 Days after application.
A Private Limited Company is a company which is privately held for small/Medium businesses. The liability of the members of a Private Limited Company is limited to the amount of shares respectively held by them. Shares of Private Limited Company cannot be publically traded.
A private limited company is considered to be a separate legal entity. It has its own identity and very much recognized as a separate company under the law. Also, the company can own property due to this feature under its name. The company can sue and also it can be sued under its own name due to this very same feature.
Private Limited Company has this feature of limited financial liability of all the shareholders. The liabilities are limited to their shares only. This feature protects the personal assets and income of shareholders at times of any financial crisis faced by the company. Also, it gives the company more liberty of taking risks.
Private Limited companies are not affected by the status of their own when it comes to their existence. Death or inability to continue if the owner does not hinder the proceedings of the company.
Only two members and two shareholders are required to incorporate a private limited company. This gives many Entrepreneurs an opportunity to set up their own company.
Shareholders allowed are up to two hundred and another two hundred members are allowed, this many numbers and the reputation of the private limited company makes it easier to raise capital funds in comparison to other forms of companies. Therefore, we can say the scope of expansion is greater when a private limited company is incorporated. Taking debts from banks and other financial ventures are quite easy too.
A person can act as a shareholder, a director and an employee at the same time when the private limited company is taken into consideration. They are considered reliable too.
They pay tax on taxable profits and are exempted from higher personal income tax rates.