Public Limited Company
A Public Limited Company (PLC) is a preferred business structure in India for large-scale operations, offering limited liability, easy transfer of shares, and access to public capital. Regulated under the Companies Act, 2013, a PLC provides high credibility and growth opportunities, making it attractive for entrepreneurs and investors. With expert assistance, businesses can get their Public Limited Company registration completed efficiently and compliantly through professional service providers.
Public Limited Company – An Overview
Why Choose a Public Limited Company in India?
Registering a public limited company is ideal for
businesses that intend to raise capital from the public, scale operations, and
build a credible corporate identity. Unlike private structures, PLCs can issue
shares to the public via stock exchanges, which facilitates large-scale
investment and access to institutional funding.
Benefits of Public Limited Company Registration
- Ability
to raise funds through Initial Public Offerings (IPO) and share issuance
- Limited
liability for all shareholders and directors
- Strong
market reputation and enhanced credibility
- Perpetual
succession, ensuring continuity despite ownership changes
- Attractive
to venture capitalists and institutional investors
- Eligible
for listing on NSE and BSE
- Separate
legal entity capable of owning assets and entering contracts
What is a Public Limited Company in India?
A Public Limited Company is an entity incorporated
under the Companies Act, 2013, which can offer shares to the general public and
may be listed or eligible for listing on a recognised stock exchange. It enjoys
a separate legal identity, providing limited liability protection to all
shareholders.
Professional services ensure full MCA compliance,
helping businesses incorporate a PLC smoothly across India.
Key Features of a Public Limited Company
- Requires
minimum 7 shareholders and 3 directors
- No upper
limit on shareholders
- Shares
are freely transferable
- Must
include the suffix "Limited" in the company name
- Subject
to stricter regulatory compliance and public disclosure requirements
- Can
raise funds through public issuance of shares and debentures
Minimum Requirements for Public Limited Company Registration
|
Requirement |
Minimum Criteria |
|
Directors |
3 directors |
|
Shareholders |
7 shareholders |
|
Paid-up Capital |
No minimum requirement (Companies Amendment Act) |
|
Digital Signature Certificate (DSC) |
Required for all directors |
|
Director Identification Number (DIN) |
Required for all directors |
|
Registered Office |
Must have a registered office in India |
|
Key Documents |
Memorandum of Association (MOA) & Articles of
Association (AOA) |
Eligibility Criteria for Directors and Shareholders
Eligibility Criteria for Directors and Shareholders
Directors
- Must be
at least 18 years old
- Must
hold a valid DIN and DSC
- At least
one director must be an Indian resident
- Should
not be disqualified under Section 164 of the Companies Act
Shareholders
- Minimum
7 shareholders
- Can be
individuals, companies, or foreign nationals
- No limit
on maximum shareholders
- Shares
are freely transferable
Rules for Company Name
- Must end
with "Limited"
- Should
be distinct and not similar to existing companies
- Must not
include prohibited words without prior approval
- Should
reflect the main business objective
- Must
comply with trademark and MCA guidelines
- Name
approval is processed via SPICe+ Form or RUN (Reserve Unique Name) on MCA
portal
Documents Required for Public Limited Company Registration
For Directors & Shareholders
- PAN card
(mandatory for Indian nationals)
- Aadhaar
/ Passport / Voter ID (identity proof)
- Recent
passport-size photograph
- Bank
statement / utility bill (address proof)
- Email ID
and mobile number
For Registered Office
- Utility
bill (electricity/water, not older than 2 months)
- Rent
agreement (if rented) with NOC
- Sale
deed (if owned property)
Key Incorporation Documents
- MOA
& AOA
- DSC and
DIN of all proposed directors
- Declaration
by first directors in Form INC-9
Pre-Incorporation Checklist
- Obtain
DSC for all directors
- Apply
for DIN
- Reserve
company name through RUN/SPICe+
- Draft
MOA & AOA
- Finalise
registered office address
- Engage
professionals (CA/CS/legal) for verification and filing
Public Limited Company Registration Process
- Obtain
DSC – Digital Signature Certificates for all directors
- Apply
for DIN – Director Identification Numbers
- Name
Approval – Submit proposed name via RUN/SPICe+
- Draft
MOA & AOA – Finalise incorporation documents
- File
SPICe+ Form – Submit all required documents online
- PAN
& TAN – Auto-generated with SPICe+ filing
- Certificate
of Incorporation – Issued by MCA after approval
- Open
Bank Account – In the company’s name
- GST
Registration – If applicable
Timeline for Registration
|
Stage |
Estimated Time |
|
DSC Procurement |
1–2 Working Days |
|
DIN Application |
1–2 Working Days |
|
Name Approval |
2–3 Working Days |
|
MOA & AOA Drafting |
1–2 Working Days |
|
SPICe+ Filing & MCA Approval |
5–7 Working Days |
|
Total |
10–15 Working Days |
Post-Incorporation Compliance
Immediate Requirements
- Open a
bank account
- Issue
share certificates within 60 days
- File
Form INC-20A within 180 days
- Appoint
statutory auditor within 30 days
- Display
company name and registered office
Annual Compliance
- File
Form MGT-7 (Annual Return) and Form AOC-4 (Financial Statements)
- Conduct
at least 4 Board Meetings per year
- Hold AGM
within 6 months of FY end
- File
Income Tax Returns on time
- Maintain
statutory registers and books
Public Limited Company Registration Fees in India
|
Component |
Estimated Cost |
|
DSC (per director) |
₹1,000–₹2,000 |
|
DIN |
Included in SPICe+ filing |
|
Name Reservation (RUN) |
₹1,000 |
|
MCA Government Fees |
Based on authorised capital |
|
Stamp Duty |
State-dependent |
|
Professional Fees |
₹10,000–₹25,000 |
|
Total Estimated Cost |
₹15,000–₹30,000+ |
Public Limited Company vs Private Limited Company vs LLP
|
Parameter |
Public Limited Company |
Private Limited Company |
LLP |
|
Minimum Members |
7 shareholders, 3 directors |
2 shareholders, 2 directors |
2 partners |
|
Maximum Members |
Unlimited |
200 shareholders |
Unlimited |
|
Fundraising |
Allowed (public issue) |
Not Allowed |
Not Allowed |
|
Share Transferability |
Freely transferable |
Restricted |
As per LLP agreement |
|
Stock Exchange Listing |
Eligible |
Not eligible |
Not eligible |
|
Compliance |
High |
Moderate |
Low |
|
Suitable For |
Large businesses |
SMEs & startups |
Professional firms |
|
Governing Law |
Companies Act, 2013 |
Companies Act, 2013 |
LLP Act, 2008 |
Public vs Private Limited Company
|
Parameter |
Public Limited Company |
Private Limited Company |
|
Minimum Shareholders |
7 |
2 |
|
Maximum Shareholders |
Unlimited |
200 |
|
Minimum Directors |
3 |
2 |
|
Name Suffix |
"Limited" |
"Private Limited" |
|
Public Share Issuance |
Permitted |
Prohibited |
|
Share Transferability |
Freely transferable |
Restricted |
|
Stock Exchange Listing |
Allowed |
Not Allowed |
|
Prospectus |
Mandatory |
Not Required |
|
Statutory Meetings |
Mandatory |
Not Mandatory |
|
Compliance |
Stringent |
Less Stringent |
Benefits:
- A Public Limited Company (PLC) offers easy access to capital through public shareholding, high credibility, and strong potential for large-scale business expansion.
Documents Required:
- PAN Card
- Aadhaar Card, Passport, or utility bill
- Passport Size Photographs
- Registered Office Address Proof
- Digital Signature Certificate (DSC) & DIN
-
What We Do Public Limited Company
- A Public Limited Company (PLC) carries out large-scale business activities by offering products or services in various industries such as manufacturing, trading, finance, technology, and infrastructure. It operates with the main objective of earning profits while maintaining transparency and following strict regulatory requirements. A PLC raises capital from the public by issuing shares and uses these funds to expand business operations, invest in new projects, and support long-term growth. It is managed by a board of directors and ensures accountability to shareholders through proper reporting and compliance with company laws.
