Role of Registrar of Companies in Company Registration

What is Registrar of Companies?

The Registrar of Companies (ROC) assumes an essential part of encouraging and advancing business culture. No organization, under the Companies Act, 1956, can appear without the endorsement of the ROC. The enlistment centre gives the authentication of consolidation which, in law, is considered as indisputable confirmation of the presence of an organization. An organization, once conceived, can’t pass on unless its name is struck off the enlistment of organizations. The Registrar of Companies additionally confirms the Limited Liability Partnerships to the lawful prerequisites contained in the Companies Act, 2013.

Enlistment centre of Companies keeps up a registry of records concerning organizations which are enrolled with them and permits the overall population is getting to this data on an instalment of a stipulated charge. The Central Government jams authoritative control over the Registrar of Companies with the assistance of Regional Directors.

The Role of ROC in Company Registration

1. The ROC deals with the enlistment of an organization (likewise alluded to a fuse of the organization) in the nation.

2. It finishes control and detailing of organizations and their investors and executives and furthermore directs government revealing of a few issues which incorporate the yearly recording of various reports.

3. The Registrar of Companies assumes a basic part in cultivating and encouraging business culture.

4. Each organization in the nation requires the endorsement of the ROC to appear. The ROC gives fuse authentication which is the definitive proof of the presence of any organization. An organization, once fused, can’t stop unless the name of the organization is struck-off from the enlistment of organizations.

5. Among different capacities, it is qualified to take note of that the Registrar of Companies could likewise request supplementary data from any organization. It could look through its premises and grab the books of records with the earlier endorsement of the court.

6. Above all, the Registrar of Companies could likewise document an appeal to for ending up of an organization.

Role of ROC after Registration of company

There is no end to the Role of ROC and a company. For instance, a company might require changing its name, objectives or registered office. In every such instance, a company would have to intimate the ROC after completion of the formalities.

Why is ROC Important?

An organization is a counterfeit individual and has a presence which is free of its individuals and promoters. It likewise has certain properties. The MOA fundamentally characterizes these qualities like name, enlisted office, objects, risk, capital, and so forth. The items condition states why the organization exists and what it can do. The data is huge for people wishing to manage an organization. On the off chance that a man disregards these fundamental certainties, he does as such at his own particular risk. The organization can’t be held at risk for the unapproved demonstrations of its executives. Anybody can look for data about an organization from the ROC subsequent to paying the recommended expense.

How company registrations online is giving a helping hand to new entrepreneurs?

The word ‘online’ itself is a huge sigh of relief for many since it allows one to fill out all their requirements from the comfort of the home itself where the computer itself becomes the portal of registration. Company registrations are surely a hassle since it involves going through various checklists to get one’s business securely registered. The Indian Ministry’s website states that a company can be incorporated through Simplified Proforma normally but electronic incorporation would include doing it through (SPICe -INC-32), with eMoA (INC-33). The eAOA (INC-34) is the default option and majority of the companies are required to be registered through that process only.

By the looks of it, things don’t seem to be that different, so how exactly is the online process helping new entrepreneurs and moreover is it secure? Let’s look at it below:

  1. Company name: The process of registration of a company or changing its name can be easily done by logging into the RUN services of the MCA with a fee of Rs 1000.
  2. Before MCA-21: There is a huge hang-up of finding the charge IDs of charge registered before this act. In fact, it is one of the most frequently asked questions in sites, for this you have to enter the CIN in the view index of MCA.
  3. Privacy of Data: The whole format and procedure are authentic and secure with inspection of documents allowed strictly in accordance with the provisions sets by the Companies Act 2000 and that too on a prescribed fee.
  4. Digital signature: The Information Technology Act of 2000 states that there should be Digital Signatures on the documents submitted in electronic form in order to ensure the authenticity of the documents filed by an individual. Digital signatures are typically issued with a one to two-year validity which is renewable upon expiry.
  5. Role check and verification: Role check can only be performed after the authorized personnel has registered their digital signature certificates with the MCA. After this comes the verification process, where it will be checked that the signature is authentic and of the owner or not. There are processes for DSC registration of directors, CEOs, CFO, practising professionals and more. This process helps in giving much-needed transparency to the process.

Thus, the process of e-filing is extremely secure and safe, not to mention Hassel free. The online revolution of doing work is worthy change indeed.

Things to know before you register a company online

Company means the togetherness of same minded people from where something productive will be released. The company is issued with public interest under one person or the group of persons. The product and the productivity is the main reason we are talking about the company. Now a day the virtual company is on the rise. The space problem has been solved with virtual companies. The employees can work from anywhere. With a strong internet connection and proper planning, the business will be able to deliver what it promises. The company means a trusted address where the receiver will be able to contact the person from the company and the service provider will offer same quality with experience of the same to the targeted clients. The company is the place where the gathering of people becomes like a family.To accommodate overflowing of population Company has started forming.

The company has many divisions like:

The company is divided into many divisions. In India, the divisions found mainly is a Private limited company, Section-8 Company, One person company and many more.

  1. The private limited company is the company where two or more directors involve with minimal liability.The equal share of responsibility makes the company visible to everyone, with proper verification.
  2. One person company is ok with one director. The person remains solely responsible to everyone and if for three consecutive years it makes business more than expectation, it will become a private company by rules of Government.
  3. The shareholder or limited company is important to shared responsibility.The share is the service product on which one can easily embark the success.

Limited company means the limitation of liabilities are limited to the person or the shareholder.

All these are the parts of Company in India where the various kinds of companies are doing their business. In India, the private limited companies have more presence than any other. The Ministry of affairs in India has circulated the rule of Private limited India under 2013 companies act and in 2014 the company corporate incorporation rules come. The director and the shareholder can be the same. A foreigner can be a director or a shareholder of the company. He can invest in the company directly. This FDI facility in the company is regulated by proper rules where the foreign investment will be put in.

Online company registrations have some important rules to follow. They are like:

  1. Obtaining DSC and DIN-DSC or digital signature certificate is very important to maintain.A digital signature is good as this will be at the storage for many years to come without any decay.The digital medium is always useful to maintain the data. The person of the signing authority has to be present in front of the registrar, not always. The digital signature can be done at the place where the company proprietor is living right now. The shareholder companies may need to sign all documents by every shareholder. The shareholder might not be present at the same place at the time of signature. DSC is must to register a company.DIN or Director identity number is also important to run the business. DIN is enough for one person if he wants to do many businesses at the same time. One DIN on the name of one person is good.
  2. Name approval-The company registration will be done with name approval.The proposed name for your company is rightfully placed in the office of the registrar through RUN web-service. The name may have other similarities.If your proposed name become similar to other names then, it is important to change your proposed name. The name will be published on the page of official name registrar page. If no one objects to your name then it is possible you get your company name. Name availability is possible when the registrar gives permission to the company liable person.
  3. Company registration – This step is possible when the director submits all documents to the MCA portal of the registrar office. The duration of the company registration can take 5 to 7 days.

The reason we do apply for Company registration

Separate legal entity – The presence of your company is important. The recruitment, the opening of a bank account, the selling or buying of a share all can be done by the company. The company is able to take decisions on the behalf of the liable shareholders singlehandedly. Online company registrations are also given in this facility.

Borrowing capacity – Once the company starts reaping the facility of company registration.It can borrow money, equity share and the important data from another entity or the banks easily. The borrowing capacity increases if the company looks responsible. The sender also feels ok to give the money, equity etc.

Easy transferability- The company feels ok to transfer money. One can easily transfer money or get money from other sources. It will help the company to run and grow.The easy transfer is possible because the liability of the company remains strong and singlehanded.

Perpetual Existence is a common and important feature of the company. Once the Certificate of Incorporation issued by the Registrar the company gets its own identity which is totally different from its members and directors. Directors and members may be changed but company’s identity remains the same. Means death, bankruptcy, insolvency of the members and directors does not affect the status of the company. There is no life limit for the company until the members are agreeing to dissolve it.

Owning propertyUnder company registration is good option to run the existing business and we know that it is always in mind to explore the business size. One can think of expanding the business and it will help the person to own property as with proper documentation he is able to register the company name to the targeted point. If the company wants to buy a property under the company name he is able to do so.

One can register his company in the legal documentation and can register the growth in the market too.

Start Up or Start Down……

You just got an idea, you just got a spark, it didn’t let you sleep a for couple of years, the idea is rearing inside you, but you stopped yourself each time and thought may be this is not the right time, may be not yet !!

There are a lot of stories, a lot many of them are discussed each time you are at this friend’s house, ex gratia IIT Aluminus, smart chaps fresh out from one of the top B schools, boosting about his time there, giving his honest opinions on the latest models of Bentley, while talking about his latest venture and the series of funding he is awaiting, and you are standing in a corner thinking about this idea that just went into, measuring yourself yet again. After all, you have more number of years and grey hairs, an old Mercedes, working at a senior role, but a lot that you could contribute with your experience.

And then, you remember the quote from the last copy of Jack Maa’s book,
“If youve never tried how would you know if there is any chance”
And there it sparks again. Yet again.

Startups in India are not a rarity, they are everywhere. As per a latest estimate by KPMG, there are around 4000 startups in India, however, what it shows there are millions in the waiting.

Some die in the VCs plush office, some in the college Alumini meet/get together, some die in closed indoors of the house and some in the strewen pages of the notebooks.

Starting up is not so difficult as it sounds, it needs is right information, right thought process, right capital and a lot of motivation. Company Registration Online Service makes incorporation of a private limited company very easy, in India.

And then the question comes which is the right kind of company:

However, a private limited company is the most preferred option by most as it gives you more flexibility and limits legal complications. Of those who did it will tell you there is nothing more fulfilling and a satisfying experience than the process of starting out on your own. The criterias on which the business entity is decided does not have to be long drawn, in most cases, 70-80%, a private limited company is something one goes for.

It provides numerous advantages for the erstwhile entrepreneur, and give wings to the people with limited risks for them or their families.

1. Limited liability partnership
2. 100% FDI limit
3. ESOPs to the employees
4. Easily transferability of shares from one person to the other.

While the benefits are innumerous, throughout the journey of the entrepreneur, there will be challenges, some mishaps, some successes, and a lot of accolades, every entrepreneurs knows that the ideas are like seeds, they need to be nurtured, they need to be protected, they require adequate care, its only then they germinate into fruit bearing plant-lets.

Have a Happy Journey!!