When should you incorporate?
Operating as a sole proprietor or in an unregistered partnership protects no one — your personal assets are fully exposed to business liabilities. Incorporation separates you from the business legally and financially.
A Private Limited Company (under Section 2(68) of the Companies Act 2013) is the most common structure for startups and growth businesses. It requires at least two directors and two shareholders, enables external investment under DPIIT Startup recognition, and provides the credibility that most institutional clients and banks require.
A Limited Liability Partnership (LLP) under the LLP Act 2008 is lighter on compliance — no mandatory audit below ₹40 lakh in contribution or ₹40 lakh in turnover, lower MCA filing fees, and a simpler profit-sharing structure. Professional services firms, consultancies, and CA/law practices often prefer the LLP structure.
A One Person Company (OPC) under Section 2(62) of the Companies Act 2013 is the correct structure for a solo founder who wants the legal protection of a company without a co-founder requirement. OPCs have mandatory conversion obligations once turnover crosses ₹2 crore or paid-up capital exceeds ₹50 lakh.
We help you choose the right structure before we begin paperwork — because the wrong structure costs more to fix later than to choose correctly from the start.
What the incorporation engagement covers
- Entity structure consultation
A 30-minute call to confirm the right structure (Pvt Ltd / LLP / OPC) based on your co-founder situation, investment plans, compliance appetite, and client profile. Most first-time founders default to Pvt Ltd — but it is not always the optimal choice.
- Digital Signature Certificates (DSC) for all directors/partners
Class 3 DSC procurement for each director or designated partner — required for all MCA filings and the SPICe+ incorporation form.
- Director Identification Number (DIN)
DIN application for each new director who does not already hold one. Existing directors need only provide their existing DIN.
- Name reservation (RUN / SPICe+)
We conduct a name availability check on the MCA21 portal and advise on name formats likely to be approved. Name rejection is the leading cause of incorporation delays — we reduce that risk by flagging conflicts and similarity issues before submission.
- SPICe+ form filing
SPICe+ is the unified MCA incorporation form covering: company incorporation, DIN allotment, PAN, TAN, GSTIN (if opted), EPFO and ESIC registration, and bank account opening. We prepare and file all parts of SPICe+ including the e-MOA and e-AOA.
- Post-incorporation compliance setup
After the Certificate of Incorporation (CIN) is issued, we prepare your first Board Resolution, share certificate formats, statutory registers, and a 12-month compliance calendar covering: first AGM (Section 96), first annual return (MGT-7A), first financial statements filing (AOC-4), and DIR-3 KYC for all directors.
From decision to CIN — here's the timeline
Day 1–2
Structure confirmation and document collection
We confirm the right entity type, collect identity and address proofs for all directors/partners, and initiate DSC procurement. DSC delivery typically takes 1–2 working days.
Day 3–5
Name reservation and DIN application
We apply for name reservation via RUN or SPICe+ Part A. Name approval typically takes 1–3 working days. DIN applications for new directors filed simultaneously.
Day 5–8
SPICe+ filing
With DSCs and name approval in hand, we prepare e-MOA, e-AOA, and the full SPICe+ form. Each director digitally signs the form. We file with the relevant Registrar of Companies for your state.
Day 8–15
CIN and PAN/TAN issued
The RoC issues the Certificate of Incorporation with your CIN. PAN and TAN are co-issued via SPICe+. We hand over all documents, statutory registers, and your compliance calendar.
What incorporation costs
Private Limited Company
from ₹7,999
one-time
- DSC (2 directors)
- DIN (2 directors)
- SPICe+ filing (MOA, AOA, PAN, TAN)
- Certificate of Incorporation
- First Board Resolution and compliance calendar
LLP
from ₹5,999
one-time
- DSC (2 designated partners)
- DPIN (2 partners)
- FiLLiP form filing
- LLP Agreement drafting and filing
- Certificate of Incorporation
Government fees (MCA filing fee, stamp duty on MOA/AOA — varies by state) are charged at actuals. We quote the total out-of-pocket cost upfront. No surprise government fee invoices.
What clients ask before incorporating
What is the minimum capital required to start a private limited company?
There is no minimum paid-up capital requirement for a Private Limited Company under the Companies Act 2013 — the minimum authorised capital requirement of ₹1 lakh was removed in 2015. You can incorporate with ₹1 as paid-up capital. However, a very low paid-up capital may create difficulties with banks when opening a current account — most banks require a minimum of ₹1 lakh paid-up capital for smooth account opening.
What is the difference between authorised capital and paid-up capital?
Authorised capital is the maximum share capital your company is permitted to issue under its Memorandum of Association. Paid-up capital is the amount actually subscribed and paid by shareholders. You only pay stamp duty and MCA fees based on authorised capital — so a higher authorised capital increases government fees. We set authorised capital at the level that balances flexibility for future fundraising with the current government fee cost.
Can a foreign national or NRI be a director in an Indian company?
Yes. Under the Companies Act 2013, a foreign national can be a director, subject to DIN requirements and the condition that at least one director on the board is a person who has been resident in India for a minimum of 182 days in the previous calendar year (Section 149(3)). For LLPs, designated partners must have a valid DPIN.
What are the annual compliance obligations after incorporation?
For a Private Limited Company: DIR-3 KYC for each director (annual, by September 30), ADT-1 (auditor appointment within 30 days), Board meeting every quarter (four per year under Section 173), Annual General Meeting by September 30, financial statements in Form AOC-4 (within 30 days of AGM), and Annual Return in Form MGT-7A (within 60 days of AGM). Non-compliance with MCA filings attracts escalating penalties under Section 454.
Can I convert my sole proprietorship or partnership into a company?
Yes. A sole proprietorship can be converted to a private limited company through a slump sale or business transfer agreement — a new company is incorporated and the business assets are transferred. A registered partnership can convert to LLP directly under Section 55 of the LLP Act 2008. Tax implications on transfer should be reviewed with us before initiating a conversion.
First-time founder. Auranity walked me through the Pvt Ltd vs LLP decision in 20 minutes and recommended LLP for my consulting practice — lower compliance cost and simpler profit extraction. Incorporated in 12 days. The compliance calendar they gave me has kept me on track for 18 months without a single missed MCA filing.
We needed to incorporate urgently before a client contract could be signed. Auranity delivered the Certificate of Incorporation in 11 days. The SPICe+ filing covered PAN, TAN, and GSTIN in the same application — we were fully set up to invoice from Day 12.