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A private limited company is a LLC whose shares are held by less than 50 people and are not publicly available. Private limited companies can be formed with a minimum of two members and a maximum of fifty.
A private limited company has limited liability to its creditors, and banks and creditors can only sell assets of a company in case of default. Directors cannot be forced to sell their personal assets by the creditors. Ensure that the company you start in India is registered
A Private Limited company has its own identity as an entity and is independent of its members or people who control it.
During crisis the owners are only liable for the debt to the value of the money they have invested in the business.
Customers, vendors, and Govt agencies prefer to work with a Private Limited Company rather than a proprietorship or a regular partnership.
Private companies have easy access to capital through bank loans, angel investors, venture capitalists, as compared to LLPs and OPCs.
Until a company is legally dissolved, it has perpetual succession, which means it continues uninterruptedly until it is dissolved.
A person can be in charge of a company and also be employed by it. Hence, he/she can be a shareholder, creditor, director, and an employee.
In India, only Private Limited Companies can raise funds from Venture Capitalists or Angel investors except for Public Limited Companies.
100% Foreign Direct Investment is allowed in a Private Limited Company which makes it more popular among the other proprietorships.
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PAN Card, Latest Passport size photograph, Identity Proof like Aadhar card and Voter ID/ Passport/ Driving License of Shareholders and Directors, Director’s Address Proof, Business Address Proof
It will take a month or 2 months at max.
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