Amendments in Company Incorporation Process

Traveling through the Companies Act,1956 to the Companies Act,2003, there has been a massive change in the entire process of company incorporation in India. There have been innumerable amendments in the company incorporation process been made in approximately the last four years.

To have a broader idea its mandatory to mark the timeline of Major Amendments in the Company Incorporation Process from 1 April 2014 till 1 March 2018.

Ministry of Corporate Affairs (MCA) has introduced new e-forms for company registration in India based on the Companies Act, 2013. Discussed below is the list of sample forms along with their descriptions.

It is requested that these company incorporation forms are only the samples and not the original forms.

Kindly use them as reference only.

Date	The Journey So Far
01.04.2014 TO 30.04.2015	Introduction of New forms for Incorporation Company i.e. INC-1 – Name Approval; DIR-3 – Director Identification Number INC-7 – Incorporation of Company DIR-12 – Appointment of Directors INC-22 – Registered Office of CompanyAll the above-mentioned forms were required to be filed for Company Incorporation
01.05.2015 TO 30.09.2016	Integrated Incorporation Process in form INC-29. This form was 5 in one form. The company could apply Director Identification Number (DIN), Name, Appointment of Director, Registered Office, and Incorporation in a single form with economical ROC Fees. Still, INC-29 possessed some restrictions like if Company filed INC-1 for proposal 0f name then it was not possible for the Company to file INC-29. Note – The route of INC-7 that is mentioned above was also available.
01.10.2016 TO 26.01.2018	Through Companies Incorporation Fourth Amendment Rules, 2016 a new form “SPICe (Specified Performa for Incorporation Company Electronically)” i.e. INC-32. This form is one step ahead of INC-29. E.g. – Electronic MOA & AOA were introduced in this Form. However, Company has both ways,  they can either apply name in SPICe or apply name in INC-1 and then file Spice. PAN & TAN application has become mandatory as part of the SPICe form. Note – The above-mentioned route of INC-7 is also available for some specific purposes.
26.01.2018	This date is considered revolutionary in the History of Companies Act for Ease of Doing Business. The alteration made by Central Government for the same purpose is the new process for Name Approval i.e. “RUN” is notified and the INC-1 e-form is omitted. Form INC-7 has been omitted. Currently, The only way for the incorporation of a company is through SPICe. No ROC fees for Company Incorporation up to 10 lack of authorized capital. An updated version of the SPICe Form has been notified.
Another Alteration	Except for the above-mentioned amendment, some other amendments have been made between 1 April 2014 till 1 March 2018 E.g. – No Requirement of Minimum Paid-up Share Capital. No requirement of DIN at the time of Private Limited Company Registration. Only one form for the Incorporation of the Company. Availability of e-MOA & e-AOA

Step-wise Current Process of Company Incorporation

STEP-I: Apply for Name Approval

(A) log in on MCA Website

The applicant has to login to their account on the MCA Website.

The Pre-existing users can use the earlier created account but the new users have to create a new account.

After Login, the users have to click on the icon “RUN” on the MCA Service portal. An online form shall open. Applicants have to fill the information online as the form cannot be downloaded.

Note: Since 26th January 2018 e-form INC-1 has been omitted from the Companies Act, 2013.

(B) The details required to be filled in the online form:

Entity type (i.e. Part I, OPC, Section 8, etc.)

Entity Type	Suffix Allowed	Example
New Company (Others)/Part I Company	Limited/Private Limited	KCPC LimitedKCPC Private Limited
Producer Company	Producer Company Limited	KCPC Producer Company Limited
Unlimited Company	Unlimited Company	KCPC Unlimited Company
Private (OPC)	(One Person Company) Private Limited	KCPC (OPC) Private Limited
IFSC Company	(IFSC) Limited/ (IFSC) Private Limited/ IFSC Limited/IFSC Private Limited	KC (IFSC) Limited/ PC (IFSC) Private Limited/ SC IFSC Limited/DC IFSC Private Limited
Section 8 Company	Other than” Limited/Private Limited/(OPC) Private Limited	SPC Electoral Trust
Nidhi Company	Nidhi Limited	PCC Nidhi Limited

• CIN (Corporate Identification Number): It has to be entered only when an existing company wishes to change its name and is using RUN to reserve a new name.
• Proposed name: An Auto Check Facility
• Comment: Mention the Objective of section 8 proposed Company and any other relevant information.

(C) Choose File:

This option is available to upload the PDF documents. If the applicant wants to attach any file then that can be upload through this option.

(D) Submission of Form on MCA Website:

After the successful completion of all the above-mentioned steps, the user is eligible to submit the form on the MCA website.

(E) Payment of Fees:

There is no option of future challan payment in the RUN Service. The Applicant has to mandatorily pay the fees immediately after the submission of the form. After successful payment, a challan shall be generated.

(F) The validity of Reserved Name:

The Reserved name shall be valid for 20 days from the date of its approval.

Apply for Private Limited Company Registration with Company Registration Online.

STEP-II: Preparation of Documents for Company Incorporation

After the successful approval of the company name, the applicant is expected to prepare the following Documents:

(I)  INC-9: Affidavit / declaration by first subscriber(s) and director(s) (on duly authorized Stamp Papers).

(II) DIR-2: The declaration from the first Directors along witcopyCopy of Proof of Identity and residential address.

(III) NOC from the owner of the property.

(IV) Proof of Office address: Conveyance/ Lease deed/ Rent Agreement etc. along with rent receipts

(V) Copy of the utility bills: not older than two months

(VI) In case the Director/ Subscribers do not possess a DIN, it is mandatory to attach an identity proof and residential address of the subscribers.

(VII) all the Subscribers must possess a Digital Signature (DSC).

STEP – III: Fill the Information in Form 

Once all the above-mentioned documents/ information are furnished well then the applicant has to fill in the information demanded in the SPICe e-form.