Public Limited Company
The Companies Act, 2013 controls public limited companies. They sell shares to everyone and have limited liability. Anyone can buy their stock, either through an IPO or on the stock market. They're closely monitored and must share their real financial status with shareholders.
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Why Opt for Public Limited Company Registration?
- Directors: A minimum of 3 directors are required, with no maximum limit.
- Limited Liability: Shareholders are only liable for their invested amount.
- Paid-up Capital: Minimum Rs 5 lakh required.
- Prospectus: Must issue a comprehensive statement for public.
- Name: 'Limited' must be added after the company name.
Advantage of Public Limited Company Registration?
- More Capital: Anyone can invest, increasing company capital.
- Increased Attention: Stock market listing attracts investors.
- Risk Spread: Public investment spreads market risk.
- Growth Opportunities: Funds from shares enable business expansion.
Requirements for Registration of a Public Limited Company
- Minimum 7 shareholders and 3 directors needed.
- Minimum authorized share capital of Rs. 1 lakh.
- Director's Digital Signature Certificate (DSC) required.
- Directors' identity and address proof copies needed.
- Directors require a Director Identification Number (DIN).
- Company name must adhere to Company Act and Rules.
- Documents needed: Memorandum of Association (MOA), Articles of Association (AOA), Form DIR - 12.
- Registration fees payment to ROC is necessary.