What is a Company Incorporation Certificate?
- May 10, 2024
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- What is a Company Incorporation Certificate?
What is a Company Incorporation Certificate?
For any company to get formal recognition and registration, a Certificate of Incorporation issued by the Registrar of Companies (ROC) is extremely important. This certificate showcases that a company has fulfilled all the necessary steps for its incorporation and is now finally a legally acknowledged entity.
If you’re wondering what a company incorporation certificate is, keep reading this article till the very end.
What is the Definition of ‘Certificate of Incorporation’?
Certificate of Incorporation is a ROC-issued certificate given to a company to specify its birth as a separate legal entity. The date mentioned on the certificate is crucial since it is on this date that a company legally begins to exist or becomes a separate legal entity. As an example, if the Certificate of Incorporation is issued on 30th May but the date mentioned on this certificate is 28th May, then it will be considered that the company came into existence on 28th May only.
Even in case of any flaws in the registration process, the Certificate of Incorporation serves as a compelling confirmation of the regularity of the incorporation of the company. As soon as a business is granted the certificate of incorporation by ROC, it can start its business immediately.
Importance of Certificate of Incorporation
The certificate of incorporation is any company’s foundational document which marks its legal birth. It is significant in shielding the owners from personal liabilities which is a vital protection that is absent in case of unincorporated businesses. Under this certificate, a company’s crucial details are mentioned including company’s name, address and incorporation date. All these details are essential for various operations such as for opening bank accounts, seeking investments, issuance and distribution of shares and transfer of ownership. In addition to this, it offers tax advantages and enhances brand reputation. Not only does the certificate of incorporation validate a company but it also protects the company from legal vulnerabilities.
How to Obtain a Certificate of Incorporation?
In order to obtain a certificate of incorporation, the following formalities must be completed first:
- Obtain a DSC and DIN: A Digital Signature Certificate (DSC) and Directors Identification Number (DIN) must be obtained. DSC must be acquired from a Ministry of Corporate Affairs-approved authorized source. It validates the SPICe+ form used for registration. DIN is necessary for the appointment of the company's directors.
- Application for the Company’s Name Approval: The company’s name must be picked and then the proposed name must be submitted to ROC for approval. The name must comply with the regulations and be unique in nature.
- Preparation of Memorandum of Association (MOA) and Articles of Association (AOA): MOA and AOA both must be drafted and finalized. They must outline the company’s objectives, governing structure and rules. These documents must be filed during the company’s incorporation process.
- Filing the e-form and paying the fee with ROC: SPICe form must be completed with all the necessary details such as the company information, directors’ details and allocation of the shares. Along with this form, the prescribed fee must be paid to the ROC.
- Issuance of Incorporation Certificate: Once the Registrar of Companies has successfully verified and approved of the documents, the company will be issued the Certificate of Incorporation. This certificate legally marks the existence of the company and grants it the status of being a separate legal entity.
What are the Documents Required for Company Incorporation Certificate?
For receiving the company incorporation certificate, several vital documents are required to establish legal entity, ownership and operational details. These documents vary depending on the business entity’s type such as LLPs, Sole Proprietorships, Partnership Firms, HUFs, Public Limited Companies, Private Limited Companies, etc.
The following are the basic documents which are required for incorporation of company certificate:
- KYC documents, including PAN and Aadhaar Card, ID Proof (Driving License, Voter ID or Passport) and Proof of Address (Recent Utility Bill/Bank Statement).
- A Class 3 Digital Signature is required to sign the application.
- No-Objection Certificate from the Property Owner (of the registered office address)
- Memorandum of Association (MOA) & Articles of Association (AOA) which outline the company’s legal identity, structure and management rules.
- Additional forms such as INC 9, INC 14, and DIR 2 are needed for showcasing compliance with legal as well as procedural requirements.
Conclusion
The Certificate of Incorporation is a crucial legal document for any company. This document serves as a proof for a company’s existence. If you want to obtain this certificate in a hassle-free manner, you can connect with the Company Incorporation Consultants at Registrationwala. They also provide Company Registration in Dubai, Canada, U.K. and USA exclusively for the Free Zone region.
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