Company Incorporation in India, is Now Faster and Cheaper!

Delhi, India, 2018-Feb-01 — /EPR Network/ — To improve further India’s ranking in respect of the parameter ‘Starting a Business’ (which is 156th as per the ‘Doing Business 2018 Ranking’ of the World Bank Group), the Ministry of Corporate Affairs (Government of India) launched on the occasion of 69th Republic Day of the country,few more measures to provide the stakeholders/entrepreneurs greater ease and efficiency while incorporating a new company anywhere in India. Undoubtedly, the latest initiatives taken by the Ministry of Corporate Affairs (MCA) will also help in raising the overall ranking of India in respect of the ‘Ease of Doing Business (EoDB)’ which is reckoned and published by the World Bank Group every year. Noteworthy here also is the fact that through launching the Simplified Proforma for Incorporating Company Electronically (SPICe) and the Central Registration Centre (CRC) in past years, MCA has achieved laudable successin making India the top 100th country in respect of the EoDB (as per the EoDB Ranking 2018), raising its ranking from 130th in the previous year. However, MCA desires to put India among the top 50 countries of the world in the yearly ranking (based on overall EoDB) of the World Bank Group, in the nearest possible future.

For making further improvement under the parameter of ‘Starting a Business’, MCA has now launched the following lavish facilities in connection with incorporation of all companies in India, in order to make starting a business in India faster, easier, and cheaper: —-

1. Introduction and activation of the RUN web service, to facilitate quicker and easier reservation/changing of a company name. RUN (Reserve Unique Name) web service is available at at the prescribed fee of Rs.1000/-. The approved name will be valid for Twenty days counted from the date of approval in case of new company; and for Sixty days from the date of approval, in case of existing company. There is no need of DSC or DIN, while availing this RUN service. Then, for incorporation of the company, the applicant is required to file the e-Form INC-32 (SPICe). No need to file the form INC-7, even in case of incorporating a company with more than seven subscribers; and the MOA and AOA will be filed with INC-32 (SPICe) in the respective formats stipulated in Table A to J in the Schedule I.

2. The incorporation fee will be zero for all types of companies with individual authorized capital up to Rs. Ten Lakh.

3. btaining DIN is also possible through the combined SPICe Form, which will be allotted only at the time of appointment as a director.

Thus, after implementation of the above-noted Government Process Re-engineering (GPR) initiatives, stakeholders can readily incorporate their respective company with zero incorporation fee, supported by simplified procedure and reduced time.

Anita Aswal

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