Public Limited Company


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As per section 2(71) of companies act 2013, “Public company” is a company which is not the private company.
A public company has a right and power to raise funds through IPO’s and can issue preference shares also to its members.

Advantages are:

  • Bankers and Investors preferred over any other entity for giving funds.
  • The huge fund can be raised by issuing an IPO.
  • The government prefers over any other entity for tenders’ purposes.
  • No restrictions on numbers of members
  • Enjoy the right of the separate legal entity.
  • Liability of members is limited to the debts taken by the company.

How to?

  • Minimum 3 directors and 7 shareholders are required for incorporation purpose.
  • Firstly, each has to apply for DIN and DSC simultaneously.
  • Choose the Name (terms and conditions are applied) and apply to ROC for approval.
  • Draft MOA and AOA (terms and conditions are applied).
  • Then CIN no. will be issued at once documents are verified.

Documents requirement?

  • Copy of PAN card of all directors
  • Identity proof of all directors (Aadhar Card/ Voter ID card)
  • Utility bill (Electricity bill/Water Bill/ Gas Bill/ Mobile Bill) not less than 2 months old of the business address.
  • Drafted MOA and AOA.
  • Passport size photo of all directors
  • Copy of owner property proof (If the property is owned).
  • Copy of Rent agreement/Leased agreement (If rented/leased).

Frequently asked questions

Public limited company

Minimum 3 directors and 7 shareholders are needed to incorporate the public limited company.

The minimum amount of capital needed to form the public limited company is 5 lacs rupees.

Yes, it is possible to alter the MOA and AOA of public limited but for this particular had to file with Registrar of company.

No, minor cannot be appointed as the director because ROC had restricted the age limit to become the director is 18 years.

Yes, NRI can be a director in a public limited company.

Yes, private limited can be converted into public limited, but all public compliances’ is to be followed like:

  • At least 7 shareholders
  • Minimum 3 directors
  • Minimum Paid capital 5 lacs rupees
  • Board meeting to be held for passing conversion resolution
  • Alteration in MOA and AOA
  • Details of creditors to be submitted with ROC.
  • Newspaper advertisement for conversion.


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