Public limited company

A Public Limited Company is a company that is incorporated with minimum 3 directors. It has a separate legal existence from its members. These may/ may not be listed on the stock exchange. If listed, its share/stocks are traded publicly. Its formation, working and it’s winding up all its activities are strictly governed by rules, laws, and regulations.

Want to Register
"Public limited company"

verification image, type it in the box

Service Overview

A Public Limited Company is a company that is incorporated with minimum 3 directors. It has a separate legal existence from its members. These may/ may not be listed on the stock exchange. If listed, its share/stocks are traded publicly. Its formation, working and it’s winding up all its activities are strictly governed by rules, laws, and regulations. There must be a minimum of seven members with no limit on the maximum number of members. The shares of a company are freely transferable and that too without the prior consent of other shareholders or subsequent notice to the company. The liability of a member of a company is limited to the face value of the shares he owns. The shareholders of a company do not have the right to participate in the day-to-day management of the business of a company. This ensures the separation of ownership from management. Public Limited Company can offer shares to public and raise funds.

Cost of Digital Signature, Government Fees and Stamp Duty, if any, is payable by the client in addition to the Professional Fee being charged by indian MSME Helpline.

Brief Process

          Process/ Procedure of registration 

  • Step 1: Apply for Digital Signature Certificate (DSC)
  • Step 2: Fill in Form SPICe+ on the MCA portal and upload the required documents
  • Step 3: Upon completion of forms, these forms are digitally signed and uploaded on MCA Portal
  • Step 4: Once forms are uploaded, challans towards incorporation charges are to be paid.

FAQ

Some of disadvantages of Public Limited Company include:

  • High Costs

  • Public Books

  • Greedy Shareholders

  • Takeover

  • Power

  • Slow Decisions

The Minimum number of members is set to 7 and Maximum number of members have been Unlimited.

The Minimum number of directors can be at least 3

A Private Company can commence its business immediately after its incorporation. However, a Public Company cannot start its business until a Certificate of commencement of business is issued to it.

Public Limited Company must mandatorily call its statutory Meeting and file a Statutory Report with the Register of Companies

Public Limited Company is the best option for entrepreneurs who concede larger investment requirements for the business.

Any Public Limited company can list itself in any number of stock exchanges in India and raise capital from the stock market itself.

There is a primary requirement of the minimum paid-up share capital of INR 5 Lakh.

 Liabilities of Public Limited Company include:

  • Public limited companies have to deal with heavy compliances strictly as they generally deal with public money. 

  • There is much periodic & annual compliance to be made by a public limited company with ROC/MCA, RBI, SEBI, etc apart from the regular compliances concerned with income tax. 

  • These regulatory authoritative liabilities are in addition to promote and secure steadily along with the welfare and profits of all shareholders of the public limited company in India.

Transferable shares

Transferable shares

Shares are freely transferable between its members and people trading in the stock exchange.

Limited Liability

Limited Liability

Shareholder’s liability for the losses of the company is limited to their share contribution only.

Perpetual Succession

Perpetual Succession

A public limited company is not affected by the death of one of its shareholders, but its shares are transferred to legal heirs and the company continues to run its business as usual.

Large Capital

Large Capital

Public limited companies enjoy an increased ability to raise capital since they can issue shares to the public through the stock market.

Number of Members

Number of Members

A public limited company has a minimum number of seven shareholders or members and a limitless number of members. It can have as many shareholders as its share capital can accommodate.

Power to sue

Power to sue

The business can be sued on its own and not involve its shareholders. The company does not belong to any person since one person can own only a part of it.

Financial Privacy

Financial Privacy

Since, the Public Limited Companies are strictly regulated and are required by law to publish their complete financial statements annually. This ensures that true financial position to the stake holders.

Documents Required

  • DSC (Digital Signature Certificate) of all the Directors
  • PAN of all the Directors
  • DIN (Director Identification Number) of all the Directors.
  • Copies of the Identity Documents of all the Directors- Voter Card/ Driving License/ Passport
  • Passport Sized Photographs of all the Directors
  • Proof Of Office Address along with utility bill (not older than 2 months): Rent Agreement (if rented), ownership documents (if owned) and No objection certificate by Landlord.
Public limited company
Price

15000

Discounted Price

₹ 10500

Related Courses

15000

10000

5000

4000

5000

2500

15000

10000

Do You Have Questions ?

We'll help you to grow your career and growth.
Contact Us Today