+91 8600544411
+91 8600544422Conversion of Proprietorship into Private Limited Company
As business progresses, its demand and responsibilities increases which can provoke a proprietorship firm to convert his proprietorship into Private limited Company. Conversion of Proprietorship into Private Limited Company can be beneficial in many ways. Business is identified because of the proprietor in case of proprietorship having no separate legal identity and it ends with the death of owner, whereas in Private Limited Company the company has its separate legal identity, which continues even after the death of the owner by his heirs.
Choose Private Limited Company Registration as
The process for registration of a company is governed by the Ministry of Corporate Affairs, Companies Act, 2013 and the Companies Incorporation Rules, 2014. A natural person can be a director and as well as shareholder, where a corporate legal entity can only be a shareholder. In addition to that, foreign nationals, foreign corporate entities or NRIs are also allowed to be the Directors and/or Shareholders of a Company with Foreign Direct Investment, making it the preferred choice of entity for foreign promoters.
Some of the unique features of a private limited company like the limited liability protection to shareholders, the ability to raise the equity funds, separate legal entity status and the perpetual existence make it one of the most recommended type of business entity for the millions of small and medium sized businesses that are owned by families or professionally managed.
It takes 7-12 working days on an average to complete online company registration, subject to the government processing time and the client document submission.