Company Formation in Chennai | Pvt Ltd Company | Public | LLP | OPC

1. Company formation in Chennai Company formation is the process of incorporating the business in a Companies house in a structured form. On incorporation it becomes a legal entity. If the business is insolvent, the shareholders are not held responsible. This is why it is called as company which has limited liability. There is financial protection, legal protection is ensured when you have your business in the form of company. Company formation in Chennai gives some advises how to constitute a company. Firstly you should choose company name. The Directors of the company should search for the name of the company. The name search is the first and foremost thing to be done. If the name is similar there arises problem of getting sued. Also if any other person starts a company in the same name of yours, then you also may sue. So name is very important and it should be unique. Then you should add company address. They should give Director’s details, secretory details, articles of association and supporting documents should be provided. It needs minimum two members, one director and one shareholder to form a company. Of course all the members should be more than the age of 18 to form the company. Offshore company formation and its benefits Company formation in Chennai speaks about Offshore Company. An offshore company is a company that is set up at different countries other than the native. For example you are residing in India and setting up company in Malaysia, United States and controlling all the operations in India is called the offshore. Also you can enjoy all the benefits offered Malaysia and United States. As suggested before in this blog you should first choose the name. The details of all the activities of the company should be provided. Company formation in Chennai insists that the copies of residential address and identity proofs must be provided. Then you should submit the order form which includes the following details. They are kind of shares to be issued, the company Directors, shareholders, company secretory, and communication address along with payment should be produced. Company formation in Chennai states the merits of setting up offshore companies. The first benefit is the tax benefit. Setting up companies offshore will allow you to enjoy the tax benefits. For example if you are setting up offshore company in United States or Malaysia you may enjoy reduced tax benefits from that particular nation. When your offshore company is formed in the politically and economically stable country all your assets are safeguarded. Offshore companies are helpful in acquiring all the opportunities. Those opportunities include buying real estates, making investment in foreign market and trading foreign markets. Company formation in Chennai says the working of the offshore companies. The first step is to consult with the International corporation service provider about the laws concerned with the nations and legal procedures associated with for setting up offshore companies. You should choose the offshore jurisdiction and devise a right plan. Required documents should be provided which includes address proofs, bank account details. When all your documentation and validation process are over, you get your company registered. The demerits of offshore companies are the working timings will be different. So there will be difference in timings for the communications also. If there happens any problems, then there

2. arise some resolution issues also. You need to hire a foreign lawyer in the foreign courts and this process will be costlier and time consuming. State and Private Enterprise Company formation in Chennai says that there are two types of enterprises that are free enterprises form economic activity for both public and private sectors. They are state enterprise and Private enterprise. The state enterprise is also called as state owned enterprise. It is started by the government to take part in the commercial activities on behalf of the government. SOE is a global phenomenon. They require following rules and regulations concerned with operations of the business types. The administration is bureaucraticand the development of the organisation is not the concern. The profit earned by these enterprises is kept in the state treasurer and the money is spent for the welfare of the public. Also the winding up procedure is dependent on the government only. Company formation in Chennai discusses about the Private enterprise. It operates under the ownership of the individuals. So it means that it is free from Government. In these the individuals are motivated and encouraged to carry out various businesses. They are free to do any businesses that are legally permitted. Recent updates Company formation in Chennai says that start-ups in India are struggling due to COVID-19 outbreak. The early and middle staged businesses are largely affected. Around 60% of all the B2C start-ups are now facing the problem of closure due to this lockdown. And recently the MCA (Ministry of Corporate Affairs) is ready to launch SPICE+ a new form for company formation, and it has formalities for EPFO, ESIC and professional tax registration. Now it has launched company fresh start scheme, CFSS (Company Fresh Start Scheme) 2020, gives one time prospectus for defaulting companies to file pending forms. It eliminates additional fees and seeks immunity from penalties. This scheme came into existence in the year 2020 April1 and it is about to end on September 30 the same year 2020. Company formation in Chennai says that this scheme does not suitable for vanishing companies, the companies that are marked for Corporate Insolvency Resolution Process. Also the companies that are amalgamated under scheme of compromise cannot come under the scheme. Companies with STK-2, MSC-1 also do not come under it. The effect of this scheme is there is no need to pay the additional fees, no immunity certificate to company and also the ROC can withdraw all prosecutions and proceedings. Company formation in Chennai says that formation is an act of creating official application for the process of incorporation. The formation includes promotion, incorporation and commencement of business which is the last step in the company formation in India.