Incorporation of Company
What isIncorporation of Company?
Incorporation of corporate refers to the legal method by which a company came into existence. It is alegal entity that separates the firm asset from its owners and investors. It is the way in which business is formally organized and brought into existence.
Let, start the subsequent steps within the incorporation of the corporate:
1.Reservation of Company’s name under RUN or Spice
First, step in formation of a company is reserving the name of the company. There are two ways by which we can do so: RUN and Spice. RUN is a web form that is available on MCA website through which an applicant can check whether the name applied is desirable for the company. Applicant can provide two names. Once MCA approve the name of the company, its reserved for 20 days in which applicant has to complete the process.
Another way is by filing spice 32 form in which applicant can provide only one name if it gets dejected, you have to redo the whole documentation.
2. Procuring Digital Signature CertificateOnce the company name has been approved by MCA and registered, the next step is procuring a Digital Signature Certificate for the company. It is a form of digital key, which holds all the vital information about the registered company.
3. Apply for DIN
Director Identification Number or DIN is the unique identification number for Directors of a registered company. Once DIN is approved, the corporation document can be filed to registrar under Form No. DIR-3
4. Preparation of AOA and MOA for Company’s Incorporation
a) Memorandum of Association
Memorandum of Association (MOA) is a legal document that specifies the scope of business activities of the company and information about the shareholding of the company. The MOA is a document prepared for the Company registration procedure.
b) Article of Association
Articles of association form a document that specifies the regulations for a company's operations and defines the company's purpose. The document lays out how tasks are to be accomplished within the organization, including the process for appointing directors and the handling of financial records
5. Application for Incorporation of Company
Once all documents are ready and completed the applicant may file for the incorporation of company to be the Registrar of Companies under whose jurisdiction the Company address is located.