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What is the Fees of Private Limited Company Registration?

  • April 12, 2022
  • Update date: March 31, 2025
  • Dushyant Sharma

Preface: This post was originally published in 2022 and has been updated on March 05, 2025, to provide you with the most current and accurate information.


Private Limited Company is the most preferred form of company in India. This is because this type of business model offers limited liability protection, makes it easier to raise funds, and provides a separate legal entity status. The Private Limited Company registration has now become a very simple process, with the entire process being online. So, you can easily register this kind of company. 

However, one of the important things you need to keep in mind is the authorized-share capital with which you want to register your Private Limited Company. The cost of business incorporation majorly depends on the authorised share capital. If you want to register your Private Limited Company with the minimum capital requirement, then the cost of business registration will be lower. 

In this article, we will calculate the cost of registration applicable to a Private Limited Co to help you understand how the costs are derived.

Factors Affecting Cost of Pvt Ltd Registration

The following factors affect the cost of pvt ltd registration:

  • Initial authorized share capital: The initial authorized share capital is the primary factor that affects incorporation fees. Higher authorized share capital results in higher government fees. 

  • Number of directors: The cost goes up as more directors and shareholders need more Director Identification Numbers (DINs) and Digital Signature Certificates (DSCs).

  • Stamp duty: The cost of registering a Private Limited company in India is greatly impacted by stamp tax, which varies depending on the state in which the company is being registered and is determined by the authorized share capital. A higher capital results in a higher stamp tax amount. This, in turn, affects the total registration cost.

  • Professional Fee of CA, CS and Attorney: Charges for services rendered by experts such as Chartered Accountants, CS, or attorneys are known as professional fees. The fees can differ depending on the level of skill and the intricacy of the incorporation process. 

Key Requirements Affecting Pvt Ltd Co Costs

The following key requirements affect pvt company registration costs.

DSC & DIN

Getting a digital signature certificate is one of the most important steps of your company registration. Online Company registration is not possible without DSC. If you do not have DSC, then you cannot fill a single online form. 

Getting Director Identification number (DIN) is also one of the most important steps of company registration. Obtaining DIN is not a complex process. In case you want to obtain DIN immediately then your Chartered Accountants or Company Secretary needs to electronically certify your DIN application.

Company Name Approval

One of the processes for registering your business is getting the proposed name of the company approved from MCA before its registration. 

The cost of getting your pvt ltd co name approved by the Ministry of Corporate Affairs is inexpensive. To pay the fee online, you must file e-Form INC-1 on the official website of the Ministry of Corporate Affairs. 

Incorporation Documents & Forms

Registering your business with RoC is the final step for incorporation of a private limited company. You pay a major part of your expenses in this final step. Cost will depend on the authorised share capital of the company. 

Following costs are involved at this stage of company incorporation process:

  • Fee for Memorandum of Association

  • Fee for Article of Association

  • Fee for SPICe form

Each state government has enacted its own stamp Act that sets different stamp duties’ rates, which can be either a flat rate or determined by the company's authorised capital. Therefore, you should learn about the stamp duties on the MOA, AOA, and Spice Form before incorporating a business in a state. 

Government Fees for Pvt Company Registration 

The following table mentions government fees for registering a private ltd co:

S.No.

Cost Element

Government Fees

1.

Company Name Approval

Rs. 1,000

2.

SPICe+ Form Fee

Rs. 500 (Authorised capital > Rs. 15 lakhs)

3.

Stamp Duty (SD) on Articles of Association (AOA)

Varies by State

4.

SD on Spice Form

Varies by State

5.

SD on Memorandum of Association (MOA)

Varies by State

6.

Digital Signature Certificate (DSC)

Rs. 1,500 – Rs. 2,000 per DSC

7.

Director Identification Number (DIN)

Rs. 500 per Director

8.

Post Registration Compliance

Varies by State

Note: While the cost of post-registration compliance may differ depending on each state's regulations, the exact amount of stamp duty is state-specific and is determined by the authorised capital. If you want to get exact cost information, it is advised to verify the stamp duties’ rates and compliance fees in the specific state. 

Conclusion

The cost of private limited business registration depends on several factors and key requirements, such as authorised share capital, no. of directors, fee for Memorandum of Association, fee for Articles of Association, and so on. To know the exact cost you would need to pay to register a private ltd co, we request you to speak with your company incorporation consultants at Registrationwala. By reaching out to us, you will be mentally prepared regarding all the costs linked to business registration and avoid getting last-minute shocks. 

Frequently Asked Questions (FAQs)

Q1. Can I incorporate a private limited company without registering it with RoC?

A.  No, you cannot incorporate a pvt ltd co without registering it with the Registrar of Companies (RoC).

Q2. What is the stamp duty for establishing a private ltd co in India?

A. The stamp duties are state-specific. We request you to connect with our team at Registrationwala to learn about the stamp duties applicable in various states.

Q3. What is the SPICe+ form fee?

A. The SPICe+ form fee is Rs. 500 if the authorised capital is more than Rs. 15 lakhs. If it is less than Rs. 15 lakhs, then there is no fee.

Q4. Do I need to pay stamp-duty for Memorandum of Association and Articles of Association?

A. Yes, you need to pay stamp duty for Memorandum of Association and Articles of Association. The stamp duty amount varies from one state to another

 


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Author: Dushyant Sharma
Hey there, I'm Dushyant Sharma. With the extensive knowledge I've gained in past 8 years, I have been creating content on various subjects such as banking, insurance, telecom, and all the important registration and licensing processes for various companies. I'm here to help everyone with my expertise in these areas through my articles.

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