There is various sort of Business Registration in India. It depends upon future business targets and manages the construction of business. Listed below are a number of the business kind.
Private Limited Company
Private Limited Company can be of 3 types: I) company limited by shares, ii) a company limited by guarantee, iii) infinite company. The privately limited company are these kinds of business which have at least two members and a max of 200 members.
Company Limited by Shares
Company limited by shares is the most typical kind of Private Limited Company. A company limited by shares means a company having the liability of its members limited by the memorandum to the sum, if any, unpaid on the shares correspondingly held by them.
Company Limited by Guarantee
Company means that the company having the liability of its members limited by the memorandum to such amount as the members may correspondingly undertake to contribute to the assets of the company in the case of its being wound-up.
Unlimited business means that the company not having any limit on the liability of its members.
One Person Company
One Person Company (OPC) is a recently introduced type of business. OPC was introduced in the Companies Act to support entrepreneurs who on their very own are capable of starting a venture by permitting them to create a single person economic entity. Among the biggest advantages of an OPC is that there could be only one member in an OPC, even though a minimum of 2 members are necessary for integrating and maintaining a Limited Company or a Limited Liability Partnership. Comparable to a Company, an OPC is a different entity from its members, provides limited liability protection to its shareholders, has continuity of business and can be easy to incorporate.
Limited business takes a minimum of 3 Directors and has no limitation on the maximum number of members (shareholders). Limited business a lot more stringent and extensive compliance demands when compared to a private limited company.
Section 8 Company
A Section 8 Company 2013, of organizations is the same as Section 25 company under the old Companies Act, 1956. Section 8 company is among the most famous kinds of Non- Profit Organisations in India. A Section 8 company can be created for “promotion of commerce, art, science, sports, education, research, social welfare, religion, charity, protection of environment or any such other object”, given it “intends to apply its profits, if any, or other income in promoting its objects” and “intends to prohibit the payment of any dividend to its members. ”. To register a section 8 company in India, the method is much like the incorporation of other businesses (except an additional license is required).