A Complete Guide to Registering a Private Limited Company in India (2025)

Introduction

Planning to start your own business? Registering as a Private Limited Company (Pvt Ltd) is one of the most preferred legal structures for startups and growing businesses in India. With benefits like limited liability, funding opportunities, and ease of compliance, it’s no wonder that over 2 lakh new Pvt Ltd companies were incorporated in India in 2024 alone (MCA Data).
In this step-by-step guide, Makwana Sweta & Associates, trusted experts in CA services in Mumbai, explain how to register a private limited company in India as per the latest 2025 legal framework.

What is a Private Limited Company?

A Private Limited Company is a type of business entity where ownership is held privately by shareholders. It limits owner liability, offers perpetual succession, and is governed under the Companies Act, 2013.

Key Characteristics:

  • Requires a minimum of 2 directors and 2 shareholders
  • Maximum of 200 shareholders allowed
  • Shares are not publicly traded
  • Requires a registered office address in India
  • Must use “Private Limited” in the company name

Benefits of Registering a Private Limited Company

  1. Limited Liability: Personal assets of shareholders are protected
  2. Separate Legal Identity: Company is a legal entity distinct from its owners
  3. Credibility & Trust: Preferred by banks, investors, and clients
  4. Fundraising Ease: Eligible for angel investment, venture capital, and bank funding
  5. Tax Planning: Corporate tax benefits and access to deductions
  6. Perpetual Succession: Company continues to exist despite changes in ownership

Eligibility Criteria (As of 2025)

  • At least 2 directors (1 must be a resident of India)
  • Minimum 2 shareholders (can be same as directors)
  • Directors must have DIN (Director Identification Number)
  • Registered office address in India

Required Documents

For Directors & Shareholders:

  • PAN Card
  • Aadhaar Card
  • Passport-size photographs
  • Passport (if NRI or foreign national)

For Registered Office:

  • Electricity or utility bill (not older than 2 months)
  • Rent agreement (if rented)
  • NOC from property owner

Step-by-Step Registration Process

1: Apply for DSC (Digital Signature Certificate)

  • Required for signing forms electronically
  • Issued by certified agencies like eMudhra, Sify, etc.

2: Obtain DIN (Director Identification Number)

  • File eForm DIR-3 with the MCA

3: Name Reservation with MCA (SPICe+ Part A)

  • Submit 2 name choices via the MCA portal
  • Use unique, non-trademarked names

4: File Incorporation Documents (SPICe+ Part B)

  • MOA, AOA, PAN, TAN, and EPFO registration
  • All forms submitted online via MCA

5: Certificate of Incorporation (COI)

  • Issued within 5-7 working days by the Registrar of Companies (RoC)

6: Open Company Bank Account

  • Use COI and PAN to open a current account in the company name

Pro Tip: Use the MCA’s SPICe+ portal to complete the entire incorporation process online.

Registration Costs (2025)

ComponentCost Estimate
Government FeesRs. 1,000 – Rs. 6,000
DSC (2 directors)Rs. 1,500 – Rs. 3,000
Name ApprovalRs. 1,000
Professional CA FeesRs. 5,000 – Rs. 15,000
PAN, TAN, and GSTINIncluded in SPICe+

Total Cost: Approx Rs. 10,000 – Rs. 25,000, depending on professional services

Post-Incorporation Compliance

After successful registration, your Pvt Ltd Company must:

  • Maintain proper books of accounts
  • Appoint a statutory auditor within 30 days
  • File Form INC-20A (Declaration of Commencement of Business)
  • Hold board meetings as per Companies Act
  • File annual returns and financials

Non-compliance may lead to penalties starting from Rs. 10,000 and may go up significantly.

Taxation for Pvt Ltd Companies (FY 2025–26)

Company TypeTax Rate
Domestic company (turnover < Rs. 400 Cr)25%
New manufacturing companies (under Sec 115BAB)15% (plus surcharge & cess)

How Makwana Sweta & Associates Can Help

With deep expertise in Chartered Accountant Services in Mumbai, Makwana Sweta & Associates guides you through every step of the incorporation process—right from documentation to post-incorporation tax and compliance advisory. We also offer virtual CA services across India. Reach out to us to register a private limited company today.

If you are looking for Tax Consultants in Mumbai or a dependable CA in Mumbai to assist with company registration, tax planning, or compliance, get in touch with us today.

Final Words

Registering a Private Limited Company in India is a strategic move for anyone serious about scaling their business. While the process is systematic, expert guidance helps avoid errors, saves time, and ensures full compliance.

Need help? Contact the team at Makwana Sweta & Associates—your trusted partner in business setup and tax strategy.

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