A Company is a legal form of business organisation. It is a separate legal entity and, therefore, is separate and distinct from those who run it. The company (and not the individual shareholders) is the appropriate person to be sued in the event that debts are incurred by the company which remain unpaid, despite demand.
To run any business in India, the business itself needs an incorporated registration of the business/organisation, which is known as business incorporation company registration and it is regulated by Company Act and Goverend by Ministry of Corporate Affairs (MCA) in India. After the registration of company you get a Company Registration Number (CRN) is a unique character reference assigned to a company upon its incorporation. Companies House provides this identifying number and it is printed on the certificate of incorporation which can be used for verification of the company.
A Company is an association or collection of individuals, whether natural persons, legal persons, or a mixture of both. A company can be defined as an "artificial person", invisible, intangible, created by or under law, with a discrete legal entity, perpetual succession and a common seal
Private Limited Company, the most popular legal structure for businesses, should be chosen by anyone looking to build a scalable business. Start-up and growing companies pick it because it allows outside funding to be raised easily, limits the liabilities of its shareholders and enables them to offer employee stock options to attract top talent. As these entities must hold board meetings and file annual returns with the Ministry of Corporate Affairs (MCA), they tend also to be viewed with more credibility than a Limited Liability Partnership (LLP), One Person Company (OPC) or General Partnership
To register a Indian LLP, you need to first apply for a Designated Partner Identification Number (DPIN), which can be done by filing e-Form for acquiring the DIN or DPIN. You would then need to acquire your Digital Signature Certificate and register the same on the portal. Thereafter, you need to get the LLP name approved by the Ministry. Once the LLP name is approved, you can register the LLP by filing the incorporation form.
Apply for the name of the LLP to be registered by filing Form 1 ( Application for reservation or change of name) for the same. After that depending upon the proposed LLP, file required incorporation Form 2 ( Incorporation document and Subscriber’s statement)
The concept of One Person Company [OPC] is a new vehicle/form of business, introduced by The Companies Act, 2013 [No.18 of 2013], thereby enabling Entrepreneur(s) carrying on the business in the Sole-Proprietor form of business to enter into a Corporate Framework. One Person Company is a hybrid of Sole-Proprietor and Company form of business, and has been provided with concessional/relaxed requirements under the Act.
A partnership firm can be registered whether at the time of its formation or even subsequently. You need to file an application with the Registrar of Firms of the area in which your business is located.Partnership firms in India are governed by the Indian Partnership Act, 1932. While it is not compulsory to register your partnership firm as there are no penalties for non-registration, it is advisable since the following rights are denied to an unregistered firm-
• A partner cannot file a suit in any court against the firm or other partners for the enforcement of any right arising from a contract or right conferred by the Partnership Act
• A right arising from a contract cannot be enforced in any Court by or on behalf of your firm against any third party
• Further, the firm or any of its partners cannot claim a set off (i.e. mutual adjustment of debts owned by the disputant parties to one another) or other proceedings in a dispute with a third party.
A sole proprietorship is a business that automatically begins when a single person decides to go into business. A sole proprietor does not have to register with a government agency as a condition of operating the business. Sole proprietors and their business have no separate identity from one another, which exposes the sole proprietor's personal assets to business obligations and debts. A sole proprietorship is one of the easiest and simplest form of business entity to register and maintain in India. There is no formal sole proprietorship registration and to start a proprietorship only PAN number for the Proprietor, certain licenses and capital is required.
A Non Profit Organisation (NGO/Trust) can be registered in India as a Society, under the Registrar of Societies or as a Trust, by making a Trust deed. A third option is registration as a section-8 Company under the Companies Act, 2013. Whether a trust, society or section-8 company, the Income Tax Act, 1961 gives all categories equal treatment, in terms of exempting their income and granting 80G certificates, whereby donors to non-profit organisations may claim a rebate against donations made. Foreign contributions to non-profits are governed by FC(R)A regulations and the Home Ministry