Private Limited Company
A confidential restricted organization is a sort of association you can get up in a position maintained your business. Organization possession is parted into shares claimed by investors. An organization should pay company charge out of any benefits and can then disseminate the leftover benefits among investors. Run by chiefs are lawfully expected to play out specific obligations for the organization and its investors.
Requirements for Private Limited Company Registration at SECP & FBR (NTN)
- Company Name
- Company Objective/Scope of work
- Company Address
- Number Directors
- % of Shareholding (Profit Sharing Ratio)
- CEO of the Company
- CNIC of All Directors (Scanned Color)
- Cell Number / Email ID of Directors
Benefits of Private Limited Company:
No Minimum Capital
No base capital is expected to shape a Private Limited Company. A Private Limited Company can be enrolled with a simple amount of Rs. 10,000 as absolute Authorized Share capital.
Separate Legal Entity
A Private Limited Company is a different legitimate character in the court of the law, meaning resources and liabilities of the business are not equivalent to the resources and liabilities of the Directors. Both are considered unique. A Private Limited Company isolates Management and Ownership and hence, chiefs are answerable for the organization’s prosperity and are likewise responsible for the organization’s misfortune.
In the event that the organization goes through monetary trouble due to at all reasons, the individual resources of individuals won’t be utilized to pay the obligations of the Company as the risk of the individual is restricted.
A Private Limited Company in India is the main type of business with the exception of Public Limited Companies that can raise assets from Venture Capitalists or Angel financial backers.
Free and Easy exchange of offers
Portions of an organization restricted by shares are adaptable by an investor to some other individual. The exchange is simple when contrasted with the exchange of an interest in a business run as a restrictive concern or an association. Recording and marking an offer exchange structure and giving over the purchaser of the offers alongside an offer testament can undoubtedly move shares.
A Private Limited Company has ‘Ceaseless Succession’, which is proceeded or continuous presence until it is legitimately broken down. An organization, being a different legitimate individual, is unaffected by the demise or other flight of any part however keeps on being in presence regardless of the progressions in enrollment. ‘Ceaseless Succession’ is one of the main qualities of an organization.
The specifics of the organization are accessible on a public data set. This works on the believability of the organization as it makes it simple to confirm the subtleties.
Drawbacks of a Private Limited Company
- One of the fundamental burdens of a Private Limited Company is that it confines the adaptability of offers by its articles.
- In a Private Limited Company, the quantity of investors, regardless, can’t surpass 50.
- One more burden of a Private Limited Company is that it can’t give plan to the general population.
- In the stock trade shares can’t be cited.