Info-Cafe


Results for : All categories

How to Apply for MSME Registration in Bangalore Karnataka?

How to Apply for MSME Registration in Bangalore Karnataka?

These days, there are several reasons as to why a number of small and medium enterprises (SMEs) are being formed in Karnataka as well as other parts of the country. You can be considered eligible for lower rates of interest on loans, you can get subsidies on power tariffs and tax subsidies, and you can become a part of capital exemption schemes and receive capital investment subsidies as well. You can also be granted exemptions from direct tax laws.

These days, all the states and union territories in India have their own special packages whereby they provide incentives and facilities for the small scale companies.

There are some other benefits of forming such a company as well. They need a very short period as far as conceptualization is concerned. They are mainly labor intensive, which is available abundantly and for cheap in India.

As far as decentralization of power is concerned they are great indeed. All the benefits that accrue to an SME come through the MSMED Act that has been passed by the Government of India. And its registration is free of cost, no need to pay any fees to Ministry of MSME department; but it is very important to be registered as an MSME in order to get the benefits provided to such companies in India.

What is MSME Enterprise?

MSME means the enterprises or industries that’s stands for Micro, Small and Medium Enterprises, as the name indicates that it includes with the enterprises which may be a medium level or below medium level or below to below medium level with respect to their terms of productions, services and investment towards the business goal.

According to the provision of Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 the MSME is classified into two classes such as

  1. Manufacturing Enterprises
  2. Service Enterprises

As stated by the Ministry of Micro, Small & Medium Enterprises department, manufacturing and service based industries are required to invest capital on plant & machinery and equipment head.

Because the manufacture industries are defined as in terms of investment in plant & machinery where as the service provider industries are defined as in terms of investment in equipment.

So, here take an overview on the conditions for investment in plant & machinery/ equipment for manufacture or service holder as below:

Enterprises Investment Limit on Manufacture Sector:

Enterprises of manufacturing or production sector can be invested the amount in plant and machinery field by the below limit

  • Micro Enterprises: A micro enterprise can invest capital upto Rs. 25 lakh in plant and machinery (≤ 25 lakh).
  • Small Enterprises: A small enterprise can invest capital Rs. 25 lakh to Rs. 5 crore in plant and machinery (> 25 lakh and ≤ 5 crore).
  • Medium Enterprises: A medium enterprise can invest capital Rs. 5 crore to Rs. 10 crore in plant and machinery (> 5 crore and ≤ 10 crore).

Enterprises Investment Limit on Service Sector:

Enterprises in the service sector can be invested the amount in equipment field on the basis of the below information

  • Micro Enterprises: A micro enterprise couldn’t exceed Rs. 10 lakh of investment in equipment (≤ 10 lakh).
  • Small Enterprises: But in case of small enterprise, you can invest in equipment and furniture purchase more than Rs. 10 lakh but shouldn’t more than Rs. 2 crore (> 10 lakh and ≤ 2 crore).
  • Medium Enterprises: In medium enterprises case, a business holder can invest the amount more than Rs. 2 crore but not more than Rs. 5 crore in equipment sector (> 2 crore and ≤ 5 crore).

Here is the limitation chart for enterprises according to Ministry of Micro, Small & Medium Enterprises

Enterprises Classification

Investment Ceiling Limit on Manufacture Sectors

Investment Ceiling Limit on Service Sectors

For Micro Enterprise

≤ 25 lakh

≤ 10 lakh

For Small Enterprise

> 25 lakh and ≤ 5 crore

> 10 lakh and ≤ 2 crore

For Medium Enterprise

> 5 croe and ≤ 10 crore

> 2 crore and ≤ 5 crore

 

The current classification is based on the investment in plant & machinery for products based companies and equipment for services based organization.

Here we want to inform one thing that recently the government is going revised the definition of MSME, the decision has taken at the Union Cabinet Meeting on classification of MSMEs on the basis of their annual turnover.

They don’t want to make distinction between manufacturing and service unit.

In this proposed amendment, they may want to do the threshold criteria for enterprises; means those enterprises having annual turnover upto Rs. 5 crore would be considered/ termed as Micro, Rs. 5 crore to Rs. 75 crore would be termed as Small and Rs. 75 crore to Rs. 250 crore would be termed as Medium enterprise.

The change would be effective when the proposed amendment to Micro, Small and Medium Enterprises Development Act, 2006 come into effect.

Importance of MSME in India

MSMEs have the pivotal role in nation like India for their growth and development, so that’s why state and central governments have conceptualized to provide the maximum benefits to the enterprises those who are falling under the MSME scheme.

MSME enterprises are the backbone of India which can trigger the economic growth of a developing country like India and also developed countries in the world.

So many of the economists in the world termed the MSMEs as “engine of growth” which plays a key role for development of any country; if I am not wrong, India is heading towards the engine of growth.

MSME is playing an equitable and prominent role for building the development of country’s growth by creating potential employment opportunities for young Indians at a low capital cost.

Why We Should Do MSME Registration?

Acquiring MSME registration certificate is not legally mandatory for a business or enterprise but we will be advised you always that registering your enterprise under MSME scheme will get a variety of several benefits from the government sectors including lower rates of interest, excise exemption scheme, tax subsidies, exemption under Direct Tax Laws, power tariff subsidies, capital investment subsidies, etc.

If you need our assistance, then we can help you to get your MSME registration in Bangalore Karnataka or any other cities in India within a limited time frame.

Benefits of MSME Registration in India

Why should an enterprise register under the Udyog Aadhaar and what are the facilities it will get from MSMED?

Therefore, we explained below briefly some of the important advantages on MSMEs

To encourage the growth of MSME both State and Central Govt. are immensely targeting their incentives, subsidies, and schemes and support packages to the registered MSMEs through MSMED Act, 2006. After registration, any enterprise can be qualified to gather or avail the benefits offered under the MSMED Act.

So the advantages or benefits offered to the MSMEs according to their classification of Micro, Small & Medium sized enterprises.

Here look at some key benefits of MSME registration under the Act of government to the enterprises.

1. Easy Availability of Loans from Banks: All banks are ready to lend the business sectors according to their setup and apart from this, MSMEs are recognized by banks, they offer financial support with lower interest rate as compared to typical business rate.

2. Tax Rebates under the MSMED Act, 2006: MSME registered business may enjoy multiple tax exemption scheme and capital gain tax subsidies from the government.

3. Easy Access to Credit: Mudra Yojana Scheme has introduced by PM Modi which provides loans to MSMEs without security. And enterprises can take the advantage from this scheme to raise their business.

4. Get Benefits from State Governments: Those enterprises that have registered under MSMED Act for them most of the states and union territories offers subsidies on power, taxes, entry to state-run industrials, capital investment subsidies and also exempted from sales tax.

5. Get Benefits from Central Governments: Enterprises can get easy sanction of bank loans on priority sector lending, excise exemption scheme, exemption under direct tax law, lower the rates of interest and support such as reservation, etc. Apart from this central government announces various schemes from time to time for MSMEs where they can get benefit from it and creates an environment for opportunities.

6. 50% Discount on IP Protection: Government will financially support to technology startups for International Patent Protection in Electronics and IT (SIP-EIT) by reimbursement up to 50% of total patent cost, with Rs. 15 lakh limit.

7. Credit Guarantee Fund Scheme: This credit will be eligible to micro and small enterprises covering the credit limit per borrower from Rs. 100 lakh to Rs. 200 lakh as in recent update on 20th February, 2018 by Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE).

8. Capital Subsidy for Technological Upgradation: This scheme is operating for modernization of technological upgradation of Small Scale Industries (SSI) through the Credit Linked Capital Subsidy Scheme (CLCSS). An enterprise can get ceiling loans under this scheme from Rs. 40 lakh to Rs. 1 crore and the rate of subsidy from 12% to 15%.

9. Market Development Assistance for Micro, Small & Medium Enterprises: This scheme helps funding for participating international fair, trade delegations, publicity, etc. The Government will repay 75% of air fare in economic class and 50% of space rental charge for general category and 100% of air fare in economic class and space rent for Women/ SC/ ST entrepreneur.

Documents/ Information Required for MSME Registration in Bangalore Karnataka

  • PAN of the Company/ Individual
  • Aadhaar card of the applicant
  • Total capital investment
  • Date of Incorporation of Company
  • Registered office address of the company
  • Bank details like IFSC Code and  Account Number
  • Nature of business
  • Number of employees

How to get the MSME certificate in Bangalore?

We want to clear here one thing that applying for MSME and getting the certificate in Bangalore Karnataka or any other cities in India will be the same process for every state; you have to follow the Udyog Aadhaar registration process to get the UAM (Udyog Aadhaar Memorandum) number in India.

You don’t need to be confused, where to apply and how to apply.

Because all the application process for MSME registration in India would be done completely on online through the help of Udyog Aadhaar portal only i.e. https://udyogaadhaar.gov.in/ which is the official website for MSMEs and startup; is maintained by the government of Ministry of Micro, Small and Medium Enterprises.

You would be happy to know that there are plenty of companies in Bangalore as well as the rest of Karnataka that can help you get an MSME (ministry of micro, small and medium enterprises) certificate and that too within a span of 2 to 5 working days.

This certificate is valid for the lifetime of your organization and both service and manufacturing sector companies can avail the same. There is no limit on the number of companies that can be registered by a single entity. It also helps that these services are rather economical.

MSME Registration Process through Udyog Aadhaar

Here’s look at the 20 key steps to register your business or MSME in Government portal that will have to follow

1. Just visit https://udyogaadhaar.gov.in/UA/UAM_Registration.aspx for new MSME or SSI registration under MSMED Act.

2. Enter Aadhaar Number and Entrepreneur Name as per Aadhaar card and then click on Validate & Generate OTP button, a one time password will be come to your aadhaar registered mobile number. You have to just verify the OTP.

After verifying the OTP, a form will come on same window and you have to fill and select the different fields of that form below the following way

3. In Social Category field, you have to choose one option (General, Scheduled Caste, Scheduled Tribe or Other Backward Class) from the dropdown.

4. In Gender field, the applicant has to select the gender of entrepreneur.

5. In Physically Handicapped field, you have to select the physically handicapped status (Yes or No) of entrepreneur.

6. In Name of Enterprises field, the applicant must have to fill the enterprise name which is known by your customer.

7. In Type of Organization field, the applicant has to choose one of his/her organization name from the radio buttons like Proprietor, Partnership, Company, etc.

8. In PAN Number field, PAN number is required for Co-operative, Private Limited, Public Limited or Limited Liability Partnership. But it is optional for other business type.

9. In Location of Plant Details field, if your organization has multiple plant location, you can add it in one registration by clicking Add Plant button.

10. In Official Address of Enterprise field, the applicant should fill the details appropriate field with complete postal address of the enterprise including State, District, PIN Code, Mobile No and Email.

11. In Date of Commencement field, enter the operation date of your business from which day you’ve started it.

12. In Previous Registration Details (in any) field, if you have already applied Udyog Aadhaar registration for an enterprise and issued a valid EM-I/II by the concerned GM (DIC) as per the  MSMED Act 2006, such number have to mention in appropriate place.

13. In Bank Details field, you must provide your bank account number that is used for running the enterprise and also mention the IFS Code of the bank’s branch office.

14. In Major Activity field, here you have to choose what your enterprise is doing for, either “Manufacturing” or “Service” under Udyog Aadhaar. If your business involves in both type of activities and major portion of work covers in Manufacturing sector and small portion of work covers in Service sector; then select you major activity type as “Manufacturing” and if major portion of work covers in Services and small portion of activity covers in Manufacturing; then  select your major activity as “Services”.

15. In National Industry Classification Code (NIC Code) field, you have to choose multiple National Industrial Classification (NIC) Codes for your all business activities relating to “Manufacturing” or “Service” sector. And here these activities are classified into 3 categories; you should choose it one by one through NIC Code just typing two or more characters of activity in search box.

16. In Person Employed field, here you have to give information on how many employees are working with you and who have been directly paid their salary/ wages by the enterprise.

17. In Investment in Plant & Machinery/ Equipment field, so here you have to enter the total investment (purchase value of items) cost for enterprise.

18. In DIC (District Industry Centre) field, according to the location of enterprise; you have to fill the location of DIC. While filled the DIC location, the column will be active and show options, if is there any DIC is available for that district or not. If there is only one DIC in the district system, it is automatically register your enterprise in the same DIC.

19. In Submit field, the applicant should click on Submit button; where it creates an OTP which will be sent to your Aadhaar linked Mobile Number for registration purpose. You need to enter the OTP on specified field and verify it for application submission purpose.

20. In Final Submit button field, you need to verify the captcha code and then click on Final Submit button. And here your application process for MSME registration is finished now.

And you will get an applied application form of Udyog Aadhaar Memorandum (UAM) bearing with UAN (Udyog Aadhaar Number). Click below on Print button to get it as pdf format for future purpose.

At the same time; just below the Print button, a registration certificate option will be there; by clicking on that, you will get a system generated Udyog Aadhaar Registration Certificate from this.

-----------------------------------------------------

Read Related Posts:

How to Apply for Import Export Code Registration in Bangalore?

Why and how to Apply for Shop & Establishment Registration in Bangalore?

How to Change Designated Partner in LLP?

How to Change Designated Partner in LLP?

In India, a partner could be removed from an LLP (limited liability partnership) or she or he could want to resign for a variety of circumstances. However, there are some rules and regulations that have to be followed in this case. The resignation or removal needs to be recorded in the right way and relevant filings have to be made with the Ministry of Corporate Affairs of India. This would make sure that the resignation or removal of the partner would come into effect properly.

Here's look at the simple steps about resigning a designated partner from limited liability partnership (LLP)

Legal procedure to remove a designated partner of LLP

1. Notice of partner's resignation/ removal

2. Change in LLP agreement

3. Intimate to ROC through Form 4 along with amendment of LLP agreement

Resignation and removal of a partner

As per the LLP agreement between partners a partner can stop being a partner. If there are no restrictions in the LLP agreement then a partner can resign just by providing a notice that she or he is resigning within a period of 30 days.

This notice needs to be given in writing to the other partners of the LLP. There are certain situations where a person’s status as a partner in an LLP comes to an end automatically. They may be mentioned as below:

  • In case she or he dies
  • If the partner is found to have lost her or his mental balance
  • If the LLP is dissolved
  • If the partner happens to be declared an insolvent or is adjusted as one

A person will remain a partner in an LLP till the time that the other partners in the same LLP are not notified in a written manner regarding her or his intention to resign.

The same also applies till a notice is provided to the Registrar to that effect.

Liabilities and rights of partners at the time of resignation or removal

In case a person is unable to continue being a partner in an LLP owing to insolvency or death she or he would be entitled to a number of benefits from that entity itself. She or he would receive an amount that happens to be equal to the capital contribution that she or he made when she or he was a partner. Such a former partner would have also a right to a share in the accumulated profits that should be adjusted for accumulated losses provided there are any at all. The date of determination in this case would be the date when the concerned person stopped being a partner in that LLP. Such a partner also has the right to transfer her or his right to share in the company’s profits and losses.     

She or he can also receive distribution that will be provided as per the LLP agreement. In case the partner has resigned or has been removed then the rights of this outgoing partner would be determined as per the provisions that have been mentioned in the LLP agreement. At the same time the former or outgoing partner will also be held responsible for the liabilities suffered by the LLP during her or his tenure. They shall continue and not be discharged under any circumstance whatsoever.

Removing an LLP partner through majority

A person cannot be forced out of her or his position as a partner in an LLP until and unless such rights are bestowed on the other partners by the LLP agreement. In that case Form 4 needs to be filed in order to eject that particular partner.

Filing LLP Form 4

In order to make sure a partner can resign, be removed, or secede from an LLP the firm needs to file the LLP Form 4. This needs to be done within a period of 30 days of the removal, cessation, or resignation of that partner.

The form needs to be signed by a designated partner and should be filed alongwith a certificate that is provided either by a practicing cost accountant or the Company Secretary or a chartered accountant. Whoever provides that certificate needs to certify the fact that the records and books of that LLP are correct and true.

Let's take a look at the process of appointing a partner in limited liability partnership (LLP)

Procedure for adding a designated partner in LLP

1. Notification of appointment of designated partner

2. Apply Digital Signature Certificate (DSC) for new designated partner

3. Apply DIN for incoming designated partner

4. Hold a meeting of all existing partners

5. Pass the resolution in the meeting

6. File the LLP Form 4 along with the amendment of LLP agreement

Adding a designated partner in an LLP

In India an LLP is governed by the rules and regulations that have been mentioned in the Limited Liability Partnership Act, 2008. There are certain steps that have to be followed in order to appoint an individual as a designated partner in an LLP. In the first step the applicant has to apply for a Digital Signature Certificate (DSC). Normally, she or he would be asked to provide the following documents along with the application:

  • PAN (Permanent Account Number) Card
  • e-mail id
  • Aadhaar Card
  • phone number
  • a photo

After this the applicant needs to apply for the DIN (Director Identification Number). Once the applicant gets her or his DSC she or he would have to use the DIN in the form DIR-3. She or he would also have to provide id and address proofs. After the proposed designated partner gets the DIN the other current partners of the LLP would call a meeting.

In this meeting they would pass a resolution whereby they would add the designated partner to the partnership deed. For this a supplementary partnership deed would have to be drafted and it is here that the name of the new partner would be added. After this the incoming partner would provide her or his consent in writing. Once these documents get ready the LLP would need to file the LLP Form 4. This needs to be done within a span of 30 days of appointing the partner. Along with this it would have to furnish the original partnership deed as well as the supplementary one.

Once all these forms have been filed the designated partner’s name would be added. It would also be visible on the official website of the Union Ministry of Corporate Affairs of India. If the LLP fails to file Form 3 and Form 4 within the stipulated period of 30 days it would have to pay an additional fee of INR 100 for each day of delay.

Conclusion

These days, it is being seen that LLP has become the company type of choice for many businesses and much of this has to do with its convenient nature as well as lack of compliances.

----------------------------------------------

Also Read:

Procedure to Add/ Remove a Director in Pvt Company

How to Shift or Change the Registered Office Address a of Company?

How to Change a Director in Private Company?

How to Change a Director in Private Company?

There are several issues may come why a director need to be fired, if a director engages in illegal activity, fraud, bankruptcy or some other wrongdoing, the company can remove or change the director for the cause.

Out of them just in below paragraph we have given a hint that can leads to change of a director and in this post you will get a brief information on legal process to add or remove a director in a company.

Every company has ups and down. If your business is always in growing position then you are performing well and this credit goes to management team and next to the director. And if it is going down gradually by mistakenly, surely many issues will come on the business and everyone’s eye will be focus to director what he is doing.

If he is not responding at all and not taking any concrete solution to business, company can take action on him/her and think about for option B, it may be replacement of that post.

So that's why, we prepared this post simple and concise to read, understand and acquired knowledge on how to change or add/remove a director in a company with respect to the company necessity.

Here we have given a real time example on this topic for better understanding and clear vision that helps you to know the logic behind it.

Scenario Based Example:

A client came to us and asks we want to change our director, so please tell us what are the legal formalities belongs to it.

As we are legal consultants, we should know the cause of replacement of director. Why they are so insisted to remove that director and what is the cause behind it? We asked the same thing to them why you want to change that director and did he made anything mistake. See what they said as their statement:

1. He got found bankruptcy

2. Not attending the office meeting

3. Not taking solid solution for company growth

3. Now he is becoming unsound mind

4. Pre-occupation in other/family business

5. Showing health issue

Just like any other legal procedure in India there are definite rules and regulations that have to be followed while changing the director or designated partner of a company. One of them is that you need proper legal papers in order to make such changes; there has to be a board resolution for the same; and the proper forms need to be filed the right way with the Registrar of Companies (ROC) in your state.

The appointment of directors

In India, directors are selected in a company by its Board of directors and in some cases the Shareholders. Their main task is to manage the company. The Companies Law of 2013 deals with this.

It states that there should be at least two directors in a private limited company and in a limited company there should be a minimum of three directors. When it comes to a limited liability partnership (LLP) there are designated partners. As per the Limited Liability Partnership Act, 2008 there should be at least two designated partners in a company. There could be several reasons as to why these companies may feel the need to appoint or remove directors.

Adding and Removing Directors

Procedure/Steps for Changing Director in a Company

Here we just simplified the procedure into certain steps to change the director of a company. I think you will be easy with this process for a quick hack and will get a brief explanation from the below steps.

Appointment of Additional Director

1. Obtain DSC (Digital Signature Certificate) for Director

2. Obtain DIN (Director Identification Number) for Director

3. Drafting of resolution for Board Meeting, letter of Appointment on issue of adding Director in a Company

4. Appointment of additional director has to be confirmed in upcoming EGM/AGM.

5. File eForm DIR-12 within 30 days from passing a Board Resolution towards Registrar of Companies certificate by Company Secretary/Chartered Accountant/Cost Accountant in practice.

6. It will be updated in the master data once we file the form.

Procedure for Removal of Director

For the removal of director in a company, the same process have to carry out as mentioned above in appointment of additional director process, but you have to leave the step.1 and step.2 which is not required at all for resigning process and you should follow the other remaining steps.

Once again we mentioned the steps below here for your better clarification and understanding

1. Removal of Director, by passing a Board Resolution.

2. File eform-DIR-12 within 30 days from passing a Board Resolution towards Registrar of Companies certificate by Company secretary/Chartered accountant/Cost accountant in practice.

3. It will be updated in the master data once we file the form.

The first thing that you need in order to add either one of the two designations being talked about over here is a digital signature.

Once you get the digital signature a director or designated partner could be added to the company. In case of a director the consent of shareholders is needed as well. As far as removing them is concerned, the first thing that needs to be ensured is that even after the removal there would be the requisite number of designated partners or directors in that company. After that the company in question needs to make sure that there is a proper resignation letter submitted with the form that needs to be filled up for the resignation to take effect.

As such the process of changing these office bearers, no matter how important they are, is not that a major one as such. In order to become the director of a company you need to be at least 18 years old and you should have a director identification number (DIN) as well. The nationality of the person is not really that important over here – she or he could be an Indian national or a foreign national as well.

Normally in order to remove a director a company needs to wait till its annual general meeting where it can pass an ordinary resolution to the effect.

However, such decisions can be taken in an extraordinary general meeting as well. You need a simple majority in order to pass the ordinary resolution to remove the director. After the resolution has been passed the company has to file the same alongwith forms that are necessary for the purpose with the union ministry of corporate affairs of India. In fact, these days, such work can even be done by chartered accountants (CAs) as well. Apart from that there are plenty of companies that are willing to provide useful services in this regard.

----------------------------------------------------------

Read Related Posts:

How to Change the Registered Office Address?

Know How to Change the Name of a Private Company

Why A Business Needs Trademark Registration & How Trademark is Important for It?

Guide to Change the Registered Office as Per Companies Act 2013

Guide to Change the Registered Office as Per Companies Act 2013

When a new company is going to form throughout the course of formation, its registered office is need to be specified in a specific Form during the incorporation time and after got registration that mentioned address will remain be the registered office address for the entire lifetime of company.

At the same time others want to shift their company registered office to another location by moving forward to expand their business for facilities of better opportunities and growth. 

A company can change its registered office location to another address, as per Sub-Section (2) of Section 12 Companies Act, 2013 and Rules, 2014; for an Example, a company is registered in Bangalore location, but they want to shift to Belgaum where they don’t have a registered office address.

In this case, they have to intimate their Ministry of Corporate Affairs through Registrar of Companies in Bangalore Karnataka by filing specified forms and specified attachments like rental agreement/ lease agreement/ sale deed, utility bill, board resolution copy, etc.

The rules and regulations regarding changing the registered office according to the Companies Act 2013 are stated in Section 12 of the Companies Act 2013. Over there it is stated that a company should have a registered office at least from the 15th day of being an incorporated entity.

This is necessary so that it can receive all the notices and other communication that are addressed to it. It is also important for a company to submit verification of the registered office within 30 days of being incorporated to the ROC of companies (ROC). It also states that in case there is a change in the office’s location the ROC needs to be notified within 15 days of the change.

The company in question needs to use Form INC-22 in order to notify the ROC of companies regarding the changes. The Indian government has in Companies Rules 2014 prescribed a couple of rules – 25, 26, 27 and 28 – so that the new location of the company’s registered office can be verified properly.

Rule 27: Notice and verification of change of the situation of registered office 

Rule 27 deals with verification and notice of the change of the situation of a registered office of a company. It states that apart from having to file Form INC-22 to notify the ROC about the change within 15 days of having made the same, a certain amount of fees has to be attached to the form as well.

Sub-section (2) of Section 12 of this rule mentions the documents that have to be attached with the application as well as the manner in which it needs to be done. The documents that have to be attached should provide information regarding the office’s location at the time when it was incorporated along with any and every change in the same.

The documents that have to be provided for verifying the change in registered office address normally depend on the ownership status of the property in question. If the company itself owns the registered office it would have to provide the conveyance deed of the property in question. It is also important for the deed to be in the name of the company itself.

If the company has rented or leased the property it would have to furnish the rent agreement or lease deed. In case, it is a rented property it would have to show the rental receipts as well. It is very important that the rent receipt is not older than by a month.

If the premises have not been leased by the company and if the director or any other individual owns them the company would have to show the proof that it has the permission necessary to operate from that particular location. It could be done in the shape of a no objection certificate by the owner. It would also have to furnish copies of utility bills such as mobile phone bill, electricity bill, telephone bill, and gas bill.

It is very important that these bills are in the name of the company itself and they should also have the address that is being used by the company as its registered address.  It is also important that they are not more than two months old.

It is also important for the company to pass certain resolutions such as board resolution and special resolution in this regard. The special resolution has to be passed at a general meeting in case the registered office is being shifted to a place that is outside the local lists in that city, village, or town, where the office is located at present. The board resolution needs to be passed so that the director can be authorized to sign and then submit the Form INC-22.

3 location case may arise during the shifting of registered office address from one place to another; it can be (1) in the same city, (2) same city with different jurisdiction of ROC or (3) one state to another state.

Shifting the registered office to a local place of same city

If a company wants to shift its registered office address to another place of same city of the state; should intimate the MCA with same details by filing the eForm INC-22.

The applicant needs to apply in Form INC-22 for getting approval to change the office address of the company. Here you have to fill this form and make attachment the necessary documents through your regional ROC.

Procedure to Change the Registered Office Address of a Company within the City of a State

1. Arrange the Board of Directors Meeting to pass the resolution for changing the Registered Office

2. File e-Form INC-22 within 15 days of passing the resolution along with the following attachment

Attachment to INC-22

  1. Board Resolution
  2. Rental Agreement/Sale deed/ Lease Agreement/Property tax paid receipt
  3. Utility Bill
  4. NOC from the owner of the premises

3. Updated in the Master data; it is straight through process

Rule 28: Shifting of registered office to a different ROC within the same state

In similar way, it has the provision as per the amendment of Companies Incorporation Rules, 2014; if the company is looking to amend its registered office from the jurisdiction of one Registrar of Companies (ROC) to another in same state; first it needs to file eForm MGT-14 and then eForm INC-22 through its regional circle, in order to receive the permission to do so from the regional director (RD). After the RD allows this change to happen, it has to file with the ROC within a period of 60 days so that it can get confirmation from there as well.

Normally the ROC confirms the change within 30 days of having filed for the same.

Procedure to Change the Registered Office Address of a Company for different jurisdiction of ROC

1. Arrange the Board of Directors Meeting to pass the resolution for changing the registered office

2. Fix the Date, Place, Timing for General Meeting

3. Pass the Special Resolution in General Meeting to change registered office address

4. File the Special Resolution with ROC in E-Form MGT-14 within 30 days of change with following attachment

  1. Copy of MOA and AOA
  2. Copy of notice of AGM with explanatory statements
  3. Copy of resolution for change in Registered Office of the Company and alteration of MoA
  4. Copy of the minutes of the General Meeting containing the details regarding the number of votes cast in favor of and against the resolution.
  5. List of Creditors/ debentures holders

5. File e-Form INC-22 with the below following attachments

  1. Rental Agreement/ Sale deed/ Lease Agreement/ Property tax paid receipt
  2. Utility Bill
  3. NOC from the owner of the premises

Changing the registered office from one state to another

In case, a company wishes to shift its registered office address from one state to another state or from one jurisdiction of ROC to another.

In this context, the company has to file the following forms to make into an effect of such changes

1. Form MGT-14

2. Form INC-23: File application form with Central Government in Form No.

3. Form INC-28

4. Form INC-22

If the company wants to change its registered office to another state then it would have to change its memorandum of association (MOA) for that. The company has to pass a particular declaration in order to alter the MOA. Within 30 days of passing the resolution it would have to file the same in the Form MGT-14 with the concerned ROC. The company also needs to file Form INC-23 with the CG in order to get the approval necessary to change its registered office from one state to another.

For this it needs to attach documents such as a copy of the special resolution that sanctions the alteration – it should be passed by the company’s members; a copy of the MOA and the articles of association (AOA); a copy of the notice that conveys the general meeting with a proper descriptive statement; a copy of the minutes of the general meeting where the resolution that permitted this change was taken; a list of debenture holders and creditors; a copy of power of attorney or board resolution; and documents related to paying the application fee.

Within 60 days of making the application the central government will give its nod to the change and make it happen. However, before it does that the government will also find out if this is being done in accordance with the wishes of the debenture holders and creditors. After the Indian government provides its approval the company shall file it with the ROCs in both the states where the new and the old registered offices are. The ROC of the new office location would register the same and provide the applicant a new certificate of incorporation.

-------------------------------------------------------------------------------------------

Also Read:

Procedure to Change the Name of a Private Company

Procedure Involved to Incorporate a Compnay in India

Guideline to Choose the Name of a Compnay

Get Chartered Accountant Services in Bangalore

How to Start Import Export Business in Bangalore & Its Procedure

How to Start Import Export Business in Bangalore & Its Procedure

We all know that India is heading towards the business hub where it stood amongst the top 5 countries in the world in terms of startups; so startups scenarios are increasing day by day since from 2014 and they are building the Startup Ecosystem stronger than strong. India is creating a better platform for budding entrepreneurs’ as well as nation’s growth and development.

As per NASSCOM’s report, India will be the homes of 10,500 startups by 2020, so more than 65 percent of startups are already incorporated in various cities like Bengaluru, Delhi NCR, Mumbai, Hyderabad, Ahmedabad, Chennai, Pune and Jaipur as on 2017. A creative thinker can be a part of this to go ahead of his/her career by passion and innovative thought. And apart from this, import or export business is in race with this sector.

Before you jumping towards the import export business, you should cultivate about it properly, see the horizon and go through the deep thought and think about it, really do have I the experience, skill and talent to give the new direction to my business towards the land of new opportunity? Yes, of course, I am the right person to carry out the business into my goal.

What is Import Export Code (IEC)?

Importer Exporter Code is shortly called as IEC is allotted to a person or business owner for importing goods/products into or exporting goods/products from India. It is a must required license for an every organization where those are going to start an import export business in India.

Import Export Code is a code which consists of 10 digits of alphanumerical numbers granted by the joint DGFT (Director General of Foreign Trade) office of India under the Ministry of Commerce and Industry to the authorized business entity/person/company for carrying out the import export business in Bangalore Karnataka or any cities in India or abroad. This is the first legal proof to run your business smoothly under the loving governance of legal department.

Features of Import Exports Code Registration

When you get registered your import/export business, you will get benefits from DGFT, Customs, Excise, Export Promotion Council, Foreign Trade Policy and etc. and here you can follow below the following important features and benefits of IEC (Import Export Code).

  • It is the first most document proof of a firm/ proprietor/ partnership/company for carrying the importer and exporter business certificate.
  • IEC code license is the primary document for recognition to the Government of India as an Importer/Exporter
  • It is most required to obtain IEC before running your business. Means you cannot import goods and services from India without the legal consensus.
  • A sole proprietorship can also obtain IEC code on his/ her name, but not necessary to setup a business for the same.
  • Once IEC is issued, it has valid for a lifetime. This means that, it does not need any renewal during your business period.
  • Giving a quotation for IEC is must required when you are importing or exporting goods/products in India.
  • Import Export Code (IEC) is mandatory for making international or foreign bank transfer during the business process activities.
  • No taxes for exporting goods from India and also gets various incentives on export.
  • Some cases, government even waive the import duties, if you are promised to export the goods within a limited time frame.
  • IEC code is legal and valid for all branches of your import export business.
  • IEC is not mandatory for government or personal purposes.
  • IEC certificate holder doesn't require filing any returns and compliance.

Opportunities available for export and import business in India

As such imports/ exports businesses can form an integral part of the country’s economy as well as self and organizational growth and development which would create employment facility for young talented individuals. It means that in this particular domain plenty of opportunities are waiting there at doorstep of budding entrepreneurs. Just it needs to require the innovation thinking for this sector.

However, now this world is changing rapidly and no country in this world can exist without interacting with other countries and import and export might be form an important part of said interaction. As and when you get into this business there are plenty of opportunities that you can explore.

Here you can see the top 10 import export business ideas, which can creates door for innovatives entrepreneurs

1. Electronics and Electrical Products

2. Pharmaceutical Products

3. Vehicles & Machinery Products

4. Crude and Petroleum Oil

5. Iron & Steel Products

6. Warehouse as Shipping and Receiving

7. Organic Products

8. Cotton Materials or Cotton

9. Natural or Cultured Pearls and Stones

10. Copper Made Products and many more

Looking at the online marketplaces

These days, there are plenty of online sellers such as Amazon, Alibaba, Allexpress, and DHGate to name a few. Here on these sites, as an exporter and importer, you can get listed as a vendor, and then you would be connected to buyers around the world. In this case, the internet would be playing the role of a bridge. This way, you would be exporting your products to your customers who may be thousands of km away from you. This would also open up the international markets to you.

Steps to Start an Importer or Exporter Business in Bangalore

The first step that you need to take in order to start an import export business in India is to have a proper business set up. You should ideally start a sole proprietorship and for this you can get a VAT (value added tax) registration or get registered for service tax as well. You should also have a name and a logo for your business. And after this, you need to follow the certain steps to land your business in a perfect way such as

1. Getting PAN for your business

2. Starting a Current Bank Account in the name of your business

3. Getting Import Export Code from DGFT department

4. Getting RCMC from export promotion councils

Here the steps are summarized below to start an importer or exporter business in Bangalore Karnataka or any other cities in India.

1. Getting a PAN (permanent account number) card for your business

Once you have received the abovementioned registration you should get a PAN card for your business from the income tax department. This is mandatory.

2. Starting a current account

Once you get your business registration followed by the PAN card you would have to start a current bank account. You would need to open this account at a commercial bank. It would be done solely for business purposes.

3. Getting the import export code

The next step in this regard would be to get the import export code (IEC). As far as opening an import and export business in India is concerned this happens to be one of the most important requirements. In fact, you would need the IEC in almost every case with the exception of prohibited and restricted services and goods.

In order to get the IEC you would have to apply straight away at the website of DGFT (Directorate General of Foreign Trade) wherein we explained it thoroughly below in “how to apply IEC online” para. The documents that you need to provide in order to get the IEC are your personal PAN card or the one that you are using for your company, your photograph, and a copy of a cancelled check from the current account that you are presently maintaining for your business. You should remember in this context that it is mandatory to have a PAN card in order to get this code and you will get only one code for each PAN card.

4. Getting the RCMC

Once you get the IEC you would have to get the RCMC (registration cum membership certificate). These are provided by the export promotion councils. They help you get authorized for imports and exports as well as all other kinds of benefits. India has almost 26 export promotion councils that can provide you an RCMC. Once you have got the RCMC and IEC you would be able to start your export and import business from India as well. The IEC and RCMC are accepted in all businesses and their branches across the country.

Normally, it takes around 5 to 7 days to get all the registrations out of the way.

How to Apply for Import Export (IE) Code Online in Bangalore?

To apply for import export code registration in Bangalore and getting the registration certificate; you must have to follow the online procedure and for this matter, we can help you to obtain your IEC certificate smoothly. This IEC application process is completely based on online; it depends upon your regional authorities (RA) area, from where you want to obtain your importer exporter code (IEC) number.

By applying through the proper requisite, you must have to go for online and log on to the Directorate General of Foreign Trade portal http://dgft.gov.in; which comes under the Ministry of Commerce and Industry, Government of India and ready to apply IEC online in India.

Here we explained briefly the application procedure for obtaining import export code, have a look on it and get an overall idea about IEC registration in Bangalore, Karnataka or any other cities in India and get your IEC Number from the specific joint regional directorate foreign trade department.

Now we are taking you to the online application process of IEC, when you visit the above mentioned site you can find a Menu Bar on top of the site which carries various menus for its operation. For online IEC application go to “Online Application” menu Tab, otherwise you can do it directly by going to Quick Links section both are same processes.

Below that you will find Importer Exporter Code (IEC) through which you can apply for it so rightly and see the below steps for import export code registration process.

Setp-1: Go to dgft.gov.in website; move your mouse to “Importer Exporter Code (IEC)” link, under from the Quick Links segment, then click on “Online IEC Application” for fresh application.

Step-2: When you click on the “Online IEC Application”, it is promptly landed to the “Login for IEC Online” page with displaying Enter Your PAN box.

Enter your or company PAN number and click to NEXT button. Then it will display MOBILE and EMAIL ID box in addition to your given PAN number. You have to fill that Mobile Number and Email Id box and click on GENERATE TOKEN button verifying with the captcha code.

After clicking on GENERATE TOKEN button, in same dialog box you will find “Mobile Token” and “Email Token” blank field and a message has already came to your given Mobile Number and Email ID bearing with Mobile Token and Email Token. You have to fill this two box and click on the SUBMIT button with verifying the captcha.

Step-3: After clicking on SUBMIT button, you will be directed to Importer Exporter Code (e-IEC) window and here you see the left side bar of the window and click on IEC Master and fill the Fresh IEC Application form with required data. And submit it.

Step-4: Go for side bar and click on the Branch menu that just down to IEC Master. Fill the form if you have any branches, otherwise you can leave it.

Step-5: In step five, click on Director Link from side bar and fill all the data regarding to Proprietor/ Designated Partner/ Director of the company and submit it.

Step-6: Click on Appl. Fee link from same side bar and make a payment here of Rs. 500 online.

Step-7: Click on Verify Fee link from same side bar, if your payment is done it will be verified automatically.

Step-8: Click on Attachments link and here you will have to attach Photo in GIF format, PAN card and Cancelled Cheque in PDF format.

Step-9: Click on Checklist link and it will show a list of information that you have to choose Yes or No option according to your uploaded information.

Step-10: Click on Preview link to check what information you have given here and it will display all your given data in ANF-2A form.

Step-11: In step eleven, click on Print Appl. link and take the physical copy of application; in which this will have to submit in your Regional Director General of Foreign Trade department office.  for further use

Step-12: Click on Submit (Dig. Sig) link, here you must required a Digital Signature to proof the identification of the applicant.

Step-13: Last step is Appl. Status; here you can check the progress of your IEC application status. By verifying your

Documents required for import export code registration in Bangalore Karnataka

For a smooth and continuous registration process, keep the following documents details in your hand and be ready

  • Digital Photograph of the Signatory Applicant
  • Self attested PAN card copy of the applicant (Proprietor’s or Company’s or Partnership’s PAN card in case of proprietorship or company or partnership)
  • Bank Certificate
  • Details of your bank account
  • Copy of Passport/Voter ID/Driving License/Aadhaar Card
  • In Application form your signature must be there on every page
  • Company Incorporation Certificate
  • MOA/AOA or Partnership deed

After completion of all your process you will get your IEC certificate by speed post or courier from the department of DGFT within 3 to 7 days.

--------------------------------------------------------

Related Post:

Procedure for Importer and Exporter in India

How do I Apply for Shops and Establishment in Bangalore Karnataka

How to Get MSME License in Bangalor Karnataka?

Procedures to Change the Name of Private Limited Company

Procedures to Change the Name of Private Limited Company

There are several reasons as to why the name of a private limited company could be changed. Most of the times, these names are changed because of business-related purposes. It could also be that a private limited company is attempting to rebrand with a new name or maybe it is trying to indicate that there has been a change in its management with the new name.

As it is said, Company has all in the name!

There are some reasons, companies they aspire to change their name. In many cases, they want to make the name as a big brand.

One of the measure things of a company is that after getting huge name and fame, if they think we are doing well, competing with the world brands and our name should be unique one; they can go for this. Company Names can also be changed when the aim and objects of the Company they want to change, if any name of the activity included in the name.

Here you can take a look at the examples of some big brand companies that originally had different names but changed to new one.

For example: some famous companies have also changed their original name to new distinctive one like, BackRub to Google, Brad's Drink to Pepsi, Blue Ribbon Sports to Nike, PC's Limited to DELL, Computing Tabulating Recording Corporation to IBM, Jerry's Guide to the World Wide Web to YAHOO and etc.

No matter what the objective is, a private limited company can change its name but for this at it needs, at the very least, the approval of its shareholders. Apart from that such a company also needs to get necessary permission in this regard from MCA (Ministry of Corporate Affairs). It also needs to be noted in this regard that the name change of a private limited company does not have any effect as such on its existence as a legal entity.

So before you change your company name, you need to follow the process that holds all the key points and prospects which carry out the whole process for changing the company name. Here are the following steps to lift up your spirit for name change.

1. Hold Board Meeting and Pass Board Resolution for Name Change

2. File INC-1 to MCA for Name Change Availability

3. Pass Special Resolution in EGM for Name Change and File MGT-14

4. Application to ROC for Name Changing in INC-24

5. If ROC satisfied with your application, then Registrar will issue a new Incorporation Certificate in INC-25

6. Make Changes in Company MOA and AOA

Shortly, we explained here below the name changing process of a company where you can gather the overall idea for your knowledge base.

1. Passing a board resolution

The first step that you need to take in order to change the name of your private limited company is to take a resolution regarding that effect at the board of directors’ level. For decisions such as these a board meeting has to be called so that a resolution to change the name of the company could be passed. At the same meeting a director needs to be given the necessary authority to apply to MCA. This is done to check whether the proposed new name is available or not. The same board meeting can also be used to take a decision in order to call an extraordinary general meeting, where the name of the company would be changed and alterations would be made to the MOA (memorandum of association) and AOA (articles of association).

2. Checking if the name of a company is available or not

Once a company passes a resolution whereby the proposed new name is said to be available the director, who has been authorized to do so, can apply to MCA in order to procure said name. The procedure that is followed over here is the same as the one, which is followed when a private limited company is incorporated.

This means that the new name must be decided on according to the guidelines that have been set in the naming guidelines of the Companies Act, 2013.

3. Passing a special resolution to change the name of a company

As soon as approval for the name can be procured from MCA the company needs to organize an extraordinary general meeting yet again. This needs to be done in order to pass a special resolution in order to change the name of a company. In this meeting some necessary changes also need to be made to MOA and AOA as well.

4. Application for approving the name change of a company

Once a company has passed a special resolution in order to change its name it must file an application with the Registrar of Companies whereby it seeks approval for changing its name. This application needs to be made in Form 1B and the necessary fee needs to be paid along with it as well.

5. Issuing a new certificate of incorporation

Upon being satisfied with the application for changing the name of the company the Registrar of Companies will issue a fresh certificate of incorporation. When this certificate is issued it can be said for sure that the process of name change is finally complete.

6. Making changes to the AOA and MOA

After the new certificate of incorporation has been issued steps have to be taken so that the new name could be incorporated properly in each and every copy of MOA and AOA.

-------------------------------------------------------------------

Also Read More:

Guideline to Choose a Company Name

You need to Know About MOA and AOA

What is DIN and Its Necessity in Company?

What is DSC and Why is it Important?

Guideline to Choose the Company Name

Guideline to Choose the Company Name

As far as India is concerned there are certain rules and regulations for choosing the name of a company. They have been mentioned in the draft rules under the Companies Act, 2013. These guidelines are applicable for different kinds of companies in India such as private limited companies, limited companies, and one person companies. The Act states pretty clearly that the name has to be approved so that a new company can be incorporated. Ideally, the name should be a unique one and desirable one.

The proposed name should never be exactly the same as another company

In order to make sure that the name of your company is absolutely unique you need to keep track of a few things.

It should not be the plural version of another company’s name. For example if a company’s name is Vick and you make yours Vicks then it would not be considered sufficiently unique. If you think that you would take another company’s name and tweak its type, spacing, letter case, and punctuation mark, and it would become a unique name you are wrong as well. For example if a company is named Arvind and you name yours ARVIND your name would be rejected for sure. Similarly, if you thought that just joining the words in another company’s name or separating them would be good enough you are wrong yet again. Doing this does not make the name of your company a unique one. This means that the name Bal Ram will not be considered unique enough if a company by the name of Balram exists already.   

You might think that by changing the number or tense of the words in a company’s name would give you a unique name but you are wrong as well. It will not make your company’s name a unique one. You might also be under the impression that by changing the phonetic spelling or by using some other spelling variation of a company’s name you would get a unique name for your company. The result of such an effort would not be considered a unique one too. Similarly, if you willingly misspell the name of a company and think that you have got a new name for your company you are wrong as well.

A lot of people may think that by adding or changing the internet extension they would get a new name for their company. That is a wrong thought as well. Similarly, if you thought that by adding a name or a place name to another company’s name you would get a unique name for your company you are wrong too. You will also not be allowed to translate or use various combinations of words present in another company’s name in order to create a name for your own company.

It should not be undesirable

There are certain conditions in which the proposed name of a company is deemed to be undesirable. If the name violates section 3 of the Emblems Act 1950 it would be regarded as an undesirable name. If the proposed name of your company is in contravention of trademark owned by another company then it would be deemed unacceptable as well. Similarly, if a trademark is subject to an 8 application for the purpose of registration it cannot be violated as well. In this case you would need the permission of the applicant or the owner of said trademark.

Your proposed company name would most definitely be deemed inappropriate if it contained offensive words, ones which can hurt the sentiments of any section of people in the country.  

Some other conditions to be kept in mind

Your name should ideally be consonant with the main object of your business that you have mentioned in your company’s memorandum of association. If your company is in the financial services industry then the name should indicate that as well. If your name indicates your business constitution such a name would not be passed for sure. The words British India should definitely not be there in your company’s name. If your proposed name shows that you are associated in any way with an embassy, a foreign government, or a consulate it would be disallowed as well.

If your name shows any kind of patronage of a national celebrity or someone who occupies an important place in the government then it would not be allowed to stand. Similarly, abbreviated or vague names would not be allowed. If the proposed name of your company is just the same as one that has been dissolved because of liquidation then it would not be allowed as well. In case, the proposed name of your company is the same as one that has been deleted from record books the name would not be allowed too.

If the name of your company is just the same as that of a limited liability partnership then it would be disallowed as well. In case, the name of your company requires to be approved by a regulator such as IRDA, SEBI, RBI, and MCA then you would have to declare that your name is in accordance with the norms set by the regulator in question. This is mostly applicable for companies looking to work in the financial services sector. If you are a private company the word state would not be allowed in your name. Generic names or ones that include names of other countries would not be allowed in India. In certain cases you would need to get approval from the central government to get the name of your company approved.

--------------------------------------------------------

Also Read On:

New Company Registration Procedure – Jan, 2018

Highlights on ZERO Government Fees for Company Registration

Highlights of Indian Union Budget 2018-19

Highlights of Indian Union Budget 2018-19

Finance Minister Arun Jaitley presented the Union Budget 2018-19 in Parliament on Thursday. In this budget; they are mainly focused on rural economy and creating opportunity for farmers development, the government is proposed a string of measures for agriculture sector and also announced a new national health insurance scheme where it is said to be the largest progamme in the world funded by the government which will cover 10 crore insurance for poor and marginalized families to 50 crore beneficiaries.

The budget was mostly guided by the mission to strengthen agriculture, rural development, healthcare, education, employment, MSME and infrastructure sectors. As said by the Government, this series of structural reformation will help to drive forward the people and India will be the fastest growing economies country in the world.

Here take an overview of key highlights of Budget 2018-19

  • No changes in personal income tax slabs.
  • Salaried tax-payers to get a standard deduction of Rs. 40,000 in lieu of transport allowance and "other medical expenses".
  • Rs. 2,000-crore fund for development of agri markets.
  • Health and education cess has been increased to 4 per cent
  • All senior citizens will now be able to claim benefit of a deduction of Rs. 50,000 for any medical insurance.
  • For critical illnesses, the deduction has been increased to Rs. 1,00,000
  • Exemption of interest income on deposits with banks and post offices to be increased from Rs. 10,000 to Rs. 50,000
  • Free power connections to 4 crore homes under Saubhagya Yojana.
  • Eight crore free gas connections for poor women through Ujjwala Yojana.
  • 5 lakh WiFi hotspots will be setup in rural areas to provide easy internet access
  • Govt. announces Amrut program to focus on water supply to all households in 500 cities
  • Govt. to implement minimum support price for all crops; It is hiked to 1.5 times of production costs.
  • Govt. to contribute 12% of wages of new employees for all sectors.
  • Mobile phones set to be costlier as custom duty increased by 20 per cent
  • New flagship is introduced as National Health Protection Scheme, providing a health insurance cover of Rs. 5 lakh per family per year announced.
  • Railway capital expenditure for 2018-19 set at Rs. 1.48 lakh crore.
  • Disinvestment target for this year set at Rs. 80,000 crore.
  • Automatic revision of emoluments parliamentarians every five years, pegged to inflation.
  • Rs. 5.97 lakh crore allocation for infrastructure
  • 10 prominent sites to be developed as Iconic tourist destinations
  • NITI Aayog to initiate a national programme on Artificial Intelligence (AI)
  • Centers of excellence to be set up on robotics, AI, Internet of things etc
  • 100 percent deduction proposed to companies registered as Farmer Producer Companies with an annual turnover upto Rs. 100 crore on profit derived from such activities, for five years from 2018-19.
  • Proposal to extend reduced rate of 25 percent tax currently available for companies with turnover of less than 50 crore (in Financial Year 2015-16), to companies reporting turnover up to Rs. 250 crore in Financial Year 2016-17, it’s a benefit to micro, small and medium enterprises.
  • MSME enterprises are a major element for growth
  • More concessions for International Financial Services Centre (IFSC), to promote their trade in stock exchanges located in IFSC.
  • To control cash economy, payments exceeding Rs. 10,000 in cash made by trusts and institutions to be disallowed and would be subject to tax.
  • Infrastructure is the growth driver of economy
  • Target 3 lakh crore for lending under PM Mudra Yojana
  • Govt. will setup 2 new Schools of Planning and Architecture

At a glance, this budget for the year 2018-19 is largely focused on upliftment of agriculture sector along with major push to healthcare and education sectors in the country.

To know more details about the budget Click Here for Full Report

Highlights on Zero Government Fees for Company Registration

Highlights on Zero Government Fees for Company Registration

The Ministry of Corporate Affairs has changed the company incorporation process form 26th Jan, 2018 on the occasion of 69th Republic Day. This is a new step taken by the government of India to make it easier and faster for getting the company name approval with less data based information.

Accordingly, you will have to reserve your company name through the RUN (Reserve Unique Name) service and don't required DSC and DIN; but thing is that you have to choose only one name, there is no option for others. And for each and every name you have to pay Rs. 1000, it may or may not be approve.

They are thinking it will take less time to incorporate a company in India by this easier process. If your company name is approved, it will be kept for 20 days to incorporate the company within that time you have to register your company otherwise it will be invalid but earlier it was 60 days. But one thing we want to clear here as said by the MCA department; the name applied for company may be approved or rejected according to the guideline, you should follow the unique and not resemblance to any other existed business.  

If once it is rejected, for every fresh name application you should have to pay the fees infavour of new name suggestion.

Free of Cost Service to all Companies

Here we are giving hint what is free?

You will get free of cost charge only in Company Registration that will be apply for every type of company including Private Limited Company, Limited Liability Partnership (LLP), Public Limited Company, One Person Company (OPC) etc.

So now, the government is waived the company registration charge, means you will not pay for any single money in company registration that you had paid some thousands earlier towards to your company incorporation.

Benefits to Startups

  • Simple Process for Name Approval
  • Zero Fees on Company Registration
  • Reserve Company Name Fast
  • Fast Track Process

Cost to Bear for Company Registration

But other cost you have to pay related to your company registration

Though the government has waived the fees for company registration final forms, but still there will be some cost which a person will need to bear which are as follows:

  • Name Approval
  • Director Identification Number for Director (DIN)
  • Digital Signature Certificate (DSC)
  • State Stamp duty which comes around between Rs.200 to Rs.10,000/- (Rs.10,00 stamp duty is for Punjab).
  • Professional fees Comes around Rs.5,999 to Rs.9,999 /- (Depends upon number of members)
  • Stamp paper and miscellaneous cost comes around to Rs.1000 to Rs.2500/- (Depends upon number of members)
  • Authorized capital fess depends on Authorized capital

Let’s be update for new information on company matters.

------------------------------------------------

Also Read:

New Company Registration Process – 2018