Company Registration in Karnataka
Are you struggling to navigate the legal formalities of company registration in Karnataka? Or is your application rejected?
Let’s make it convenient for you. At CAAQ Consultancy, we offer end-to-end guidance on how to form a company legally in Karnataka. Our qualified team is here, delegated to share the accountability to navigate challenges interfering with the smooth registration of a company here. We have experienced and qualified CAs, CSs, business consultants, etc., who have spent years in this niche. So, we premeditate and ensure no hassles can disrupt your way to set up a startup or new business.
First, let’s introduce you to common business structures registered in India.
Types of Companies and Their Key Features
Here come some types of businesses that you can choose to achieve your business targets or goals.
1. Private Limited Company (PLC)
Best for the startups and businesses that are willing to raise funds from the market, a private limited company offers the benefit of limited liability protection and an alternative to scale easily.
2. Public Limited Company (PLC)
For those who want to set up a large enterprise, this alternative is the best fit for them. They can start it with at least seven shareholders and three directors.
3. One-Person Company (OPC)
This is for independent entrepreneurs that want to enjoy a limited liability framework, which can be later converted into a Private Limited Company if its annual turnover exceeds the requisite limit.
4. Limited Liability Partnership (LLP)
This is a combination of a partnership and a company, which involves multiple partners who sign a partnership deed. Fortunately, it does not push you to mug up with compliance a lot.
5. Sole Proprietorship
This business setup is apt for small businesses that do not want to struggle with intense compliance. The owner is solely responsible for the liability and debts of his business.
6. Partnership Firm
Businesses with two or more owners can establish a partnership firm, which does not necessarily require paperwork. But for legal security, you need to sign a partnership deed, sharing a profit-sharing agreement.
7. Section 8 Company (Non-Profit Organization)
Last but not least is the Section 8 company, which aims at earning profit for a social cause. The owner cannot use it for personal and commercial purposes, but to promote social and cultural causes like education, clean environment, encouraging sports, etc.
Estimated Cost of Company Registration in Karnataka
Considering the cost, it differs according to the type of company. Moreover, you have to pay out government fees for various documents like DSC, PAN, etc. Also, it includes consultation charges.
Steps for Company Registration in Karnataka
Step 1: Obtain Digital Signature Certificate (DSC)
- Required for filing online documents with MCA.
- Issued by certified agencies like eMudhra, Sify, and NSDL.
Step 2: Secure a Director Identification Number (DIN)
- Every director must have a unique DIN.
- Apply via SPICe+ form on the MCA portal.
Step 3: Get Name Approved through RUN (Reserve Unique Name)
- Submit two name preferences on the MCA portal.
- Approved names remain valid for 20 days.
Step 4: Drafting MOA & AOA
- MOA (Memorandum of Association)—Defines business objectives.
- AOA (Articles of Association)—Governs internal management.
Step 5: Filing of Incorporation Forms (SPICe+ Form)
- Submit incorporation documents via the SPICe+ (Simplified Proforma for Incorporating a Company Electronically) form.
- Includes PAN, TAN, and GST registration applications.
Step 6: Certificate of Incorporation Issued
- MCA issues the Certificate of Incorporation (COI) with CIN (Corporate Identification Number).
Step 7: Open a Bank Account & Register for Taxes
- Open a corporate bank account in the company's name.
- Register for GST, PF, ESI, and professional tax if applicable.
Documents Required for Company Registration
These documents will support your application for the certificate of incorporation in Karnataka.
For Directors & Shareholders:
- PAN Card
- Aadhaar Card
- Address Proof (Bank Statement/Electricity Bill)
- Passport-size Photos
For Registered Office:
- Rental Agreement or Property Papers
- NOC from the owner
- Electricity or Utility Bill
If you’re looking for personalised assistance to register your company in Karnataka, CAAQ Consultancy is an experienced consulting company that has aided hundreds of customers. Schedule a consultation with our experts to handle documentation, legal formalities, and government approvals efficiently.