Company Incorporation Fees | With and Without Share Capital

 

"A journey of a thousand miles begins with a single step," said LAO TZU. Company Registration Online is equal to taking modest steps on a journey that could last a long time. But nothing comes for free. So, the Government Company Incorporation Fees in India is discussed in this article.

 

Private Limited Company Incorporation Fees

Basically, the costing and fees of a private limited company are determined by a variety of parameters ranging from authorised capital to the number of partners and stamp duty. 

To summarise, company registration online fees in India is estimated by the following factors:-

  • Number of Directors 
  • Share Capital
  • Professional fees by CA, CS or Business Service Provider
  • Stamp Duty in the state where you intend to register your company.

You cannot register a Private Limited Company in India without the assistance of a professional such as a Chartered Accountant, Company Secretary, or Lawyer since it requires their authorised signatures in the form of DSC. 

The majority of the costs include stamp duty and professional fees.

 



What does the Company Incorporation Fees include?

The company incorporation fees charged by the online service provider starts from Rs. 7000, which includes the following:

 

Digital Signature Certificates

Firstly, we must apply for DSC or digital signature certification. Basically, you don't need a chartered accountant to receive a DSC. You can apply for it through business service providers or agents. They may supply you with a Digital Signature at a very low cost. 

So, if you establish a company with an agent or online through a service like Starteazy, they will already have purchased the DSC in bulk and will be able to offer you lower pricing.  

In general, it costs between Rs. 1500 and Rs. 2000 rupees for a two-year validity period.

The service providers generally offer 2 DSC registration free along with company registration. But, in case you have more than two directors, they charge Rs.1000 extra per additional director.

 

DIN Registration 

The next step is to apply for a DIN number. The Director Identification Number, or DIN, is assigned by the Ministry of Corporate Affairs.

The following costs are included in the DIN application: 

a) DIN Application Fee, which is 500 Rupees every DIN; 

b) Stamp Paper for Affidavit, which is 20 Rupees per DIN.

c) Notary Fees – 50 Rupees per DIN

d) Chartered Accountant's Professional Fee for Certifying Your Application

 

Company Incorporation Fees for Name Approval 

After you've completed your DIN and DSC, you'll need to submit a name approval form for company registration. Approval for company registration will cost you roughly 1000/- Rupees. 

Once the name is authorised, only one company can incorporate in India with the same name, which is especially advantageous for LLPs and private limited companies.

 

Company Incorporation Fees for filling the registration forms

Filing of Private Limited Company Registration Forms

It is the final and most important step in the registration process. During the Company Registration phase, you will have to spend a significant amount of money to register your company in India. 

The cost of this phase is determined by and varies depending on the company's authorised share capital. As a result, you'll need to fill out some paperwork, including the Company's MOA and AOA.

 

Company Incorporation Fees from a CA or Online Service Provider

So the aforementioned pricing is the standard government fee for private limited company registration online in India.

If we include the professional charge of a Chartered Accountant, it ranges from 5000/- to 10000/- Rupees in different areas and expertise of CA's or Online Portals, according to our research.

Depending on the number of directors, members, authorised share capital, and professional expenses, the cost of incorporation/registration of a Pvt Ltd company can range from INR 6,000 to INR 30,000. 

You may calculate the cost of a professional by the task's complexity.

Fees for certain key registrations for a private limited company include: India has a diverse range of business types, businesses, and services. Regardless of the sort of business, all of them require some form of government registration. 

For example, GST registration, VAT registration, IEC registration if you are in the import-export business, Professional Tax registration, EPF registration if you are in some type of profession, MSME registration if you are a small and medium-firm, and so on.

 

Company Incorporation Fees with 1,00,000 to 2.5 crores Share Capital

The following is the pricing structure for registering firms other than one person and small businesses:

  • The registration price is Rs. 1,00,000 – Rs. 5,000 for organisations with a nominal share capital of less than Rs. 1,00,000.
  • The registration price is Rs. 5,000 for organisations with a minimal share capital of Rs. 1,00,000 to Rs. 5,00,000. For every Rs. 10,000 or fraction thereof in nominal share capital, Rs. 400 would add.
  • The registration price for organisations with a minimal share capital of Rs. 5,00,000 to Rs. 50,00,000 is Rs 21,000 - Rs 21,000. For every Rs. 10,000 or fraction thereof in nominal share capital, Rs. 300 would add.
  • For organisations with a nominal share capital of between Rs. 50,00,000 and Rs. one crore, the registration price is Rs 2,06,000. For every Rs. 10,000 or fraction thereof in nominal share capital, Rs. 100 would add.
  • The registration charge for companies with a nominal share capital of more than one crore rupee is Rs 2,06,000. For every Rs. 10,000 or part thereof in nominal share capital, an additional Rs. 75 will add, up to a maximum of Rs. 2.50 crores.

 

Company Incorporation Fees without Share Capital

Companies without a share capital are obliged to pay the following fee:

  • The registration fee for companies with a maximum of 20 members as stated in the MOA is Rs 2,000.
  • Registration price for companies with more than 20 members as specified in the MOA is between Rs 200 and Rs 5,000.
  • The registration price for firms with more than 200 members in the MOA Is Rs 5,000, providing the number of members in the AOA is not "unlimited." After the first 200 members, Rs.10 will add to each member's account, up to a maximum of Rs 10,000.

 

Conclusion

To conclude, you must ensure that the new firm provides you with an MCA Registration Fee Calculator so that you can determine the number of registration fees you will pay. The fees charged by registration consultants range from Rs.3000 to Rs.15000. It will be easy for you to choose a company once you know the expenses, and you will be able to use their services to find the greatest rates.

Online Business Formation Consultants will show you how to determine the registration fee and how to obtain complete information about Virtual Enterprise Setup. 

There are numerous companies in India that provide this type of registration fee calculator. However, not all of them provide you with the same benefits. As a result, you should check to see if these services are provided by several companies before settling on one.

The government fee for a one-person company, a private limited company, or a limited liability partnership (LLP) will vary depending on the capital, state, and other relevant aspects.

Government fees for forming a private limited company range from Rs.2000 to Rs.3500. The new Digital Signature will set you back roughly Rs.900/- for a DSC Token with a two-year validity period.

 

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