A Public limited company in Raipur, Chhattisgarh is a company that is incorporated under the Companies Act 2013 and which is eligible to issue its shares to the general public. In the case of a public limited company in Raipur, Chhattisgarh, the liability of the members is limited. The shares of a public limited company can be acquired by any person through the purchase from the stock market or IPO (Initial Public Offer). The incorporation or registration of a public limited company in Raipur, Chhattisgarh is very much suitable for those persons who want to start a large scale business.

For the Public limited company registration in Raipur, Chhattisgarh, there should be at least 7 members and out of these 7 members 3 members should be the first directors of the company and there is no maximum limit for the members and shareholders but if the members are more than 500, there is the requirement to take the approval from the SEBI. The public limited company can get the registration and listed in the recognized stock exchange and raise the capital/funds from the general public.

In this article, we will discuss the following points in the respect of a Public limited company in Raipur, Chhattisgarh.

  1. What is a Public Limited Company in Raipur, Chhattisgarh?
  2. What are the characteristics/ features of the Public Limited Company in Raipur, Chhattisgarh?
  3. What are the benefits of registration of a Public Limited Company in Raipur, Chhattisgarh?
  4. What are the requirements for the registration of a Public Limited Company in Raipur, Chhattisgarh?
  5. What documents are required for the registration of a Public Limited Company in Raipur, Chhattisgarh?
  6. What is the procedure of registration of a Public Limited Company in Raipur, Chhattisgarh?

What is a Public Limited Company in Raipur, Chhattisgarh?

As per section 2(71) of the Companies Act, 2013 define a public limited company. Public limited company in Raipur, Chhattisgarh means-

  1. Is not a Private Limited Company
  2. Has a minimum paid – up share capital, as may be prescribed

Provided that a company which is the subsidiary of a company, not being a private limited company, shall be deemed to be a public limited company in Raipur, Chhattisgarh for the purpose of this act even where such subsidiary company continues to be a private company in its articles.

There are some points in the respect of a Public limited company registartion in Raipur, Chhattisgarh

  1. The public limited company in Raipur, Chhattisgarh should have a minimum paid – up share capital which is prescribed.
  2. There should be a minimum of 7 members or subscribers to the MOA (Memorandum of Association) of the company (Section 3(1)(a) of Companies Act 2013).
  3. There should be a minimum of 3 directors and the maximum limit of the directors is 15 if the company wants to appoint more than 15 directors (section 149(1) (a) & (b) of Companies Act 2013), by passing a special resolution in a general meeting the company can increase the number of directors.
  1. The proposed name should not be an undesirable name that is specified in rule 8 of the Companies Rule, 2014.
  2. Every public limited company should have at least 1 director who is a resident of Raipur, Chhattisgarh (Section 149(3) of Companies Act 2013).
  3. All the directors of the company should have DIN (Directors Identification Number).

What are the characteristics/ features of the Public Limited Company in Raipur, Chhattisgarh?

The characteristics/ features of the Public Limited Company in Raipur, Chhattisgarh are as follows-

  1. Limited Liability– In the case of a public limited company in Raipur, Chhattisgarh, the liability of the shareholders is limited i.e. the shareholders are not personally liable to pay any debts or the loss of the company they will pay only for that amount which is invested by them in the company in the form of shares.
  2. Separate Legal Entity– The public limited company in Raipur, Chhattisgarh is a separate legal entity. It is separate /distinct from its members. The public limited company owns its assets and liability in its name.
  3. Paid Up Share Capital- In the case of a public limited company in Raipur, Chhattisgarh, there is no limit of the minimum paid up share capital and it will be prescribed by the act.
  4. Directors– In the case of a public limited company in Raipur, Chhattisgarh, there should be at least 3 directors and the maximum limit of the directors is 15 if wants to appoint more than 15 directors, can increase the number of directors by passing a special resolution in a general meeting of the company. The company should have at least 1 director who is a resident of Raipur, Chhattisgarh and each director of the company should have DIN (Directors Identification Number).
  5. Name– As per the Companies Act 2013, each public limited company in Raipur, Chhattisgarh will have a unique name and it will use “Limited” in the last of its name.
  6. Prospectus– The prospectus is a statement that is issued by the public limited company in Raipur, Chhattisgarh to the general public and it contains information about the company. As per the Companies Act 2013, each public company is required to issue such prospectus to invite the public to subscribe to the shares but this is not mandatory for the private limited company because the private limited company cannot invite the public for the subscription.
  7. Members– In the case of a public limited company in Raipur, Chhattisgarh, there should be a minimum of 7 members and no limit for the maximum number of shareholders.
  8. Compliances Structure– The public limited company is incorporated under the Companies Act 2013 and it will follow all the provisions, rules, and regulations of the Companies Act 2013 which are applicable on it. It will also follow the listing agreement, circulars, notifications, orders which are issued by the government.

What are the benefits of registration of a Public Limited Company in Raipur, Chhattisgarh?

The benefits of registration of a Public Limited Company in Raipur, Chhattisgarh are as follows-

  1. Public Fund– The public limited company in Raipur, Chhattisgarh is eligible to issue their shares publicly it can raise the fund from the public by the issue of shares by the way of IPO (Initial Public Offer) or by public issue.
  2. Raise Capital– When the public limited can issue the shares publicly, can raise more capital. In the case of a public limited company in Raipur, Chhattisgarh, anyone can invest. If the amount of capital is more then it will be beneficial for the company and it will improve the working as well as structure of the company.
  3. Growth and Expansion– Registering as a public limited company in Raipur, Chhattisgarh is the best option for the growth and expansion of the business. As a public limited company, it can raise the funds from the public and can invest in new and big projects.
  4. Listed in Market– The public limited company in Raipur, Chhattisgarh has an option of listing. It can list its shares in the recognised stock exchange and the market related benefits.
  5. Perpetual Succession– The public limited company in Raipur, Chhattisgarh has Perpetual Succession i.e. it is not affected by the death, retirement, and the insolvency of the member and the shareholders, it will continue till the date of legal winding up.
  6. Lesser Risk– In the case of a public limited company in Raipur, Chhattisgarh, it can sell its shares in the market then it can reduce the market risk.

What are the requirements for the registration of a Public Limited Company in Raipur, Chhattisgarh?

The following points should be kept in mind when registering a company as a Public limited company registration in Raipur, Chhattisgarh

  1. At least 7 members.
  2. At least 3 directors (1 is resident of Raipur, Chhattisgarh).
  3. Directors must have DIN.
  4. DSC (Digital Signature Certificate) of the director who will certify all the documents for the registration of the company.
  5. An application for the selection and approval of the company name.
  6. An application that will contain the objective clause of the company.
  7. Submit the application to the ROC (Register of Company) with the required documents (MOA, AOA, DIR-12, Form INC-7, and Form INC-22).
  8. Payment of registration fee made to ROC.

What documents are required for the registration of a Public Limited Company in Raipur, Chhattisgarh?

The following documents are required for the Public limited company registration in Raipur, Chhattisgarh

  1. Memorandum of Association (MOA)
  2. Article of Association (AOA)
  3. PAN card of all the members and shareholders of the company.
  4. Identity Proof of all the members and shareholders of the company (Voter ID, Aadhaar Card, or Driving Licenses).
  5. Address Proof of all the members and shareholders of the company (Aadhaar Card, Electricity Bill Copy, or Telephone Bill).
  6. Passport size photograph of all the directors of the company.
  7. Address Proof of the proposed registered office premise. If the proposed registered office premise is own then the property ownership documents are requiredbut if the premise is rented then a rent agreement and NOC (No Objection Certificate) is required from the premise owner.
  8. Director Identification Number (DIN) of all the directors of the company.
  9. DSC (Digital Signature Certificate) of the director.

What is the procedure of registration of a Public Limited Company in Raipur, Chhattisgarh?

We will discuss the procedure of registration of a Public Limited Company in Raipur, Chhattisgarh step by step-

  1. Step No. 1-First we will meet the entire relevant requirement (discuss above) which are required for the registration.
  2. Step No. 2- Download the Required Form- For the registration of a public limited company, we will download a required form from the MCA portal and will provide all the relevant and required information as per the requirement.
  3. Step No. 3- Apply for DSC (Digital Signature Certificate)– Now all the process of the registration of a public company is online. For filing the required form of registration the DSC is required. For the registration of a public limited company, all the proposed directors should have DSC.
  4. Step No. 4- Apply for DIN (Director Identification Number)– All the person who wants to be the director of the company will apply for the DIN. Without the DIN, the person will not be eligible to appoint as a director of any company.
  5. Step No. 5- Application for Name Approval- Company will file an application for the approval of the name. The name should be unique. For the approval of the name, the person will visit the MCA portal and select the MCA services and click on the company name.
  6. Step No. 6- Filing the form SPICe+ and register on the MCA portal- After the name approval, the person will file the SPICe form for the incorporation of the company and provide all the relevant and required information, and attach all the documents which are required for filing such forms such as MOA (Memorandum of Association) and AOA (Article of Association). MOA (Memorandum of Association) and AOA (Article of Association) are those documents that will contain all the details about the company i.e. it will contain the objective of the company, mission, vision, and aim of the company, business activities of the company, working and the responsibilities of the directors of the company and all other basic details of the company.
  7. Step No. 7- Certificate of Incorporation- When the company will submit the application form with the required documents to the ROC (Register of Company) then the ROC will inspect all the relevant documents and verified it. After the verification, the ROC will issue the Certificate of Incorporation of the public limited company.
  8. Step No. 8- TAN & PAN of the Company- After the registration of a public limited company, the Income Tax Department will allot PAN and Tan of the company.
  9. Step No. 9- Opening a Current Bank Account- At the final stage, the person will open a current bank account t in the name of a public limited company. The opening of a current bank account is mandatory for the day to day business transactions.

After the Public limited company registration in Raipur, Chhattisgarh, the person will apply for the certificate for the commencement of business within the period of 180 days from the date of the certificate of incorporation and then it will start their business activities. When the company is registered as a public limited company, it will call a minimum of 4 board meetings in a year as per the companies act 2013 and it will file its annual return and comply with all the requirements of the Companies Act 2013.

FAQ on the Public Limited Company in Raipur, Chhattisgarh

What is a Public Limited Company in Raipur, Chhattisgarh?

Answer-Public limited company in Raipur, Chhattisgarh means, the company which

  1. Is formed with a minimum 7 number of shareholders and 3 directors.
  2. Is not a Private Limited Company in Raipur, Chhattisgarh
  3. Can issue its shares publicly and raise the funds.
  4. Has a minimum paid – up share capital, as may be prescribed
  5. What are the required documents for the registration of a public limited company?

What are the documents required for Public Limited Company registration in Raipur, Chhattisgarh?

Answer- The following documents are required for the registration of a public limited company in Raipur, Chhattisgarh are as follows

  1. Memorandum of Association (MOA) and Article of Association (AOA).
  2. PAN card of all the members and shareholders of the company.
  3. Passport size photograph of all the directors of the company.
  4. Address Proof of all the members and shareholders of the company.
  5. Identity Proof of all the members and shareholders of the company.
  6. Address Proof of the proposed registered office premise.
  7. Director Identification Number (DIN) of all the directors of the company.
  8. DSC (Digital Signature Certificate) of the director.

What is the Memorandum of Association (MOA)?

Answer- Memorandum of Association (MOA) is one of the important documents of the company it will contain the following information about the company-

  1. Name of the company.
  2. Address of registered office of the company.
  3. The authorized share capital of the company, etc.

The Memorandum of Association (MOA) of the company is digitally subscribed by the promoters of the company and it will be signed by the subscriber as a witness. In MOA the details of the subscribers cannot be changed during the lifetime of the company but the changes related to shareholding & directors can be made at any time according to the provisions of the Companies Act 2013.

What is the Article of Association (AOA)?

Answer- Article of Association (AOA) is a document which will contain the following information about the organisation-

  1. Rules & regulations of the company.
  2. Rights & duties of the members of the company.
  3. Rights, duties, and responsibilities of the directors of the company.
  4. Power of directors.
  5. Purpose/objectives of the company.
  6. Provisions relating to the shareholder’s meeting, etc.

AOA also defines the relationship between the company and its directors and between the directors and its members.The Article of Association (AOA) of the company is digitally subscribed by the promoters of the company and it will be signed by the subscriber as a witness.In AOA the details of the subscribers cannot be changed during the lifetime of the company but the changes related to shareholding & directors can be made at any time according to the provisions of the Companies Act 2013.

Does a foreign entity become the director or the shareholder of a public limited company in Raipur, Chhattisgarh?

Answer- Yes, a foreign entity and non-resident person (NRI) can become a director or the shareholder of a public limited company in Raipur, Chhattisgarh.

What is the SPICe+ process for the registration of a public limited company in Raipur, Chhattisgarh?

Answer- SPICe stands for simplified Proforma for Incorporating Company electronically. For the registration of a public limited company, there is the requirement to file SPICe+ and submit it with the required documents. The required documents are MOA, AOA, Form INC-9,etc.

Whether the director and shareholder is the same person in Public limited company in Raipur, Chhattisgarh?

Answer- Yes, the same person can act as a director as well as a shareholder in the same entity.

What is minimum paid up share capital is required for the registration of a public limited company in Raipur, Chhattisgarh?

Answer-There is no limit of paid up share capital for the registration of a public limited company.

What is the Paid – up share capital?

Answer- The paid – up share capital means, the capital which is issued by the company to its members/shareholder to raise the amount of capital/fund. The amount of paid up share capital will not be more than authorized share capital and issued share capital.

What is the Authorized share capital?

Answer- The authorized share capital is capital that can be issued by the company during its lifetime. It is the maximum amount of capital that can be issued by the company during its life.

What is ROC?

Answer- ROC stands for register of company and it is established under the Raipur, Chhattisgarhn Ministry of Corporate Affairs. The ROC governs all the activities related to the companies as per the Companies Act 2013 and LLP as per the LLP Act 2008. ROC will also contain all the records of changes that are made by the companies during the lifetime. Currently, there is a total of 22 registers of the company in Raipur, Chhattisgarh. Every person who is wanted to be registered as a company will make an application to ROC.

What is the process of registration of a public limited company in Raipur, Chhattisgarh?

Answer-The procedure of registration of a Public Limited Company is as follow-

  1. Download the Forms which are required for the registration.
  2. Apply for DSC (Digital Signature Certificate).
  3. Apply for DIN (Director Identification Number.
  4. Make an application for approval of the Name of the company.
  5. File the form SPICe+ and register on the MCA portal.
  6. Certificate of Incorporation will issue by the ROC.
  7. Apply for TAN & PAN of the Company.
  8. Open a Current Bank Account in the name of the company.