What Is Public Limited Company Registration and How Does It Work in Delhi

What Is Public Limited Company Registration and How Does It Work in Delhi?

Starting a large business in India often requires a strong legal structure. One of the most trusted and scalable business structures is a Public Limited Company (PLC). If you are planning to raise funds from the public, expand operations, or build long-term credibility, Public Limited Company Registration in Delhi can be the right choice.

What Is a Public Limited Company?

A Public Limited Company is a company registered under the Companies Act, 2013, which is allowed to offer its shares to the public. These companies usually have a large scale of operations and higher transparency.

The name of a public limited company always ends with “Limited”.

Simple Example:

Famous companies like Tata Motors Limited and Reliance Industries Limited are public limited companies.

What Is Public Limited Company Registration?

Public Limited Company Registration is the legal process of incorporating a public company with the Ministry of Corporate Affairs (MCA). Once registered, the company becomes a separate legal entity, meaning it is different from its owners.

In Delhi, the registration process is fully online and governed by the Registrar of Companies (ROC), Delhi.

Why Choose Public Limited Company Registration in Delhi?

Delhi is a major business hub of India. Registering a public limited company in Delhi offers many advantages:

  • Easy access to investors and financial institutions
  • Better brand image and trust
  • Strong legal and corporate framework
  • Suitable for large businesses and startups with growth plans

Professional service providers like Groom Tax help businesses in Delhi complete the registration process smoothly and correctly.

Eligibility Rules for Public Limited Company Registration

Before applying, you must meet the following basic eligibility conditions:

1. Minimum Number of Directors

  • At least 3 directors are required
  • The maximum directors can be 15 (can be increased with approval)

2. Minimum Number of Shareholders

  • A minimum of 7 shareholders is mandatory
  • There is no maximum limit on shareholders

3. Capital Requirement

  • There is no minimum paid-up capital requirement as per the current rules
  • However, sufficient capital should be available for business operations

4. Director Identification Number (DIN)

  • All directors must have a DIN, issued by the MCA

5. Digital Signature Certificate (DSC)

  • DSC is required to file online forms and documents

Who Should Register a Public Limited Company?

Public limited company registration is suitable for:

  • Businesses planning to raise capital from the public
  • Companies aiming for a stock exchange listing
  • Large manufacturing or service businesses
  • Startups with long-term expansion goals
  • Enterprises needing high credibility and transparency

If you are unsure whether this structure fits your business, experts at Groom Tax can guide you based on your goals.

Documents Required for Public Limited Company Registration

Here is a simple list of documents needed:

For Directors and Shareholders:

  • PAN Card
  • Aadhaar Card / Passport / Voter ID
  • Passport-size photographs
  • Address proof (bank statement, utility bill)

For Registered Office:

  • Electricity bill or property tax receipt
  • Rent agreement (if rented)
  • NOC from the property owner

Company Documents:

  • Proposed company name
  • Memorandum of Association (MOA)
  • Articles of Association (AOA)

Step-by-Step Process of Public Limited Company Registration in Delhi

Let’s understand the registration process in a simple step-by-step way:

Step 1: Obtain DSC and DIN

All directors must apply for Digital Signature Certificate (DSC) and Director Identification Number (DIN).

Step 2: Name Approval

A unique company name is applied through the SPICe+ form on the MCA portal. The name must follow government naming guidelines.

Step 3: Draft MOA and AOA

MOA defines company’s objectives, while AOA sets internal rules and management structure.

Step 4: File Incorporation Forms

Forms are submitted online to the MCA along with required documents.

Step 5: Certificate of Incorporation

Once approved, the ROC issues the Certificate of Incorporation, along with:

  • Company Identification Number (CIN)
  • PAN and TAN

With professional help from Groom Tax, errors and delays can be avoided.

Time Required for Registration

On average, Public Limited Company Registration in Delhi takes 10 to 15 working days, provided all documents are correct and approvals are received on time.

Benefits of Public Limited Company Registration

1. Easy Fund Raising

Public companies can raise funds through shares, debentures, and public issues.

2. Limited Liability

Shareholders’ liability is limited to their shareholding amount.

3. High Business Credibility

Public companies enjoy better trust from banks, investors, and customers.

4. Transferability of Shares

Shares can be easily transferred, improving liquidity.

5. Perpetual Existence

The company continues even if directors or shareholders change.

Compliance Requirements After Registration

Public limited companies must follow strict compliance rules, such as:

  • Annual filing with MCA
  • Statutory audits
  • Board meetings and AGM
  • Maintenance of financial records
  • Filing of income tax returns

Due to these responsibilities, many businesses rely on professional firms like Groom Tax to manage ongoing compliance.

Public Limited Company vs Private Limited Company

FeaturePublic Limited CompanyPrivate Limited Company
Minimum Members72
Share TransferFreeRestricted
Fund RaisingPublic & PrivatePrivate only
ComplianceHighModerate
Suitable ForLarge businessesSmall & medium businesses

Common Mistakes to Avoid

  • Choosing a non-compliant company name
  • Submitting incorrect documents
  • Ignoring post-registration compliance
  • Underestimating compliance costs

Taking expert support from Groom Tax ensures accuracy and legal safety.

Why Choose Professional Help for Registration?

Although registration is online, the process involves legal drafting and compliance checks. Professional assistance helps in:

  • Faster approvals
  • Error-free documentation
  • Proper legal guidance
  • Ongoing compliance support

Groom Tax provides end-to-end assistance for public limited company registration in Delhi, ensuring a smooth and transparent process.

Important Points to Remember

Public Limited Company Registration in Delhi is ideal for businesses with big growth plans and funding requirements. While the process may seem complex, understanding the rules and steps makes it easier.

With the right planning and professional guidance from Groom Tax, you can register your public limited company confidently and focus on building a successful business.

If you want help with registration, compliance, or consultation, choosing an experienced service provider can save time, money, and effort.

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