Public Limited Company Registration

• Minimum seven shareholders are required to start a Public Limited Company.

• Minimum three directors are mandatory. Shareholders and directors may be the same individuals.

• Class III Digital Signatures (DSC) for all proposed directors.

• DIN (Director Identification Number) must be obtained for all directors.

• The name of the Public Limited Company should not be identical or similar to an existing company or registered trademark.

• The company must issue a prospectus or file a statement in lieu of prospectus with the Registrar.

• A Public Limited Company must file the declaration for commencement of business (INC-20A) within 180 days from the date of incorporation.

• The company must maintain a minimum paid-up capital as required (if prescribed under law at the time of registration).

• The registered office must be verified by submitting valid address proof, utility bill, and NOC from the owner.

Documents for Directors / Shareholders:

• PAN Card and Aadhar Card (mandatory)
• Passport-size photograph
• One of the following as address proof: mobile bill, landline bill, latest bank statement, electricity bill
• One of the following as identity proof: passport, driving license, voter ID (PAN is not accepted as identity proof)

Documents for Registered Office Address Proof:

• NOC from the owner of the proposed registered office premises
• Gas, electricity, or telephone bill (not older than two months) showing the address in the owner’s name
• If the office is rented, a valid rent agreement may be required

You can easily register your Public Limited Company with the help of Ofin. The process is summed up in four easy steps as below:

On receiving your request to start a Public Limited Company, we get in touch with you and collect the necessary details and documents from all proposed directors and shareholders.

We file a request for name reservation with the MCA and simultaneously obtain Class III Digital Signature Certificates for the directors.

On receiving confirmation of name reservation, we apply for incorporation of the Public Limited Company along with the mandatory requirement of having a minimum of three directors and seven shareholders. MCA usually takes between 3 to 5 working days to approve the incorporation application if there is no further document requirement.

After receiving the Certificate of Incorporation and completing the opening of the company’s Bank Account, Form INC-20A is filed with the ROC for commencement of business.

Separate Legal Entity:
A Public Limited Company, once incorporated, becomes an artificial legal person distinct from its shareholders and directors. It can own assets, enter into contracts, and borrow funds in its own name. Shareholders are responsible for company liabilities only to the extent of the shares they hold.

Perpetual Succession:
A Public Limited Company has uninterrupted existence. Its operations are not affected by the death, retirement, insolvency, or exit of any shareholder or director. It continues to operate until it is formally dissolved as per the law.

Ability to Raise Large Capital:
One of the biggest advantages of a Public Limited Company is its ability to raise substantial capital. It can issue shares to the public, invite public deposits, and raise funds through the stock market. This makes it suitable for large-scale businesses.

High Borrowing Capacity:
Banks, financial institutions, and investors prefer Public Limited Companies because of their transparency and regulated structure. A Public Limited Company can raise funds by issuing secured/unsecured debentures, bonds, or by obtaining loans from financial institutions.

Free Transferability of Shares:
Shares of a Public Limited Company can be freely transferred. Shareholders can sell or transfer their shares without restrictions, making it easy for investors to exit and for the company to attract new investors.

Ownership of Property:
As a separate legal entity, a Public Limited Company can own, purchase, or sell property in its own name. The property belongs to the company, and not to individual shareholders.

Limited Liability:
The liability of each shareholder is limited to the amount unpaid on their shares. Personal assets of shareholders remain protected even if the company faces financial losses or legal issues.

Capacity to Sue and Be Sued:
A Public Limited Company, being an artificial legal person, can file legal cases and can also be sued in its own name, ensuring clarity in legal matters.

Enhanced Credibility and Corporate Image:
Public Limited Companies operate under strict compliance and regulatory norms, improving their credibility in the market. This helps attract investors, lenders, and business partners.

Multiple Roles for Individuals:
A person can act in multiple capacities such as shareholder, director, employee, or creditor of the Public Limited Company. Each role is governed by separate agreements and responsibilities.