This guide is general information. If you would rather a chartered accountant handled it, see Private Limited Company Registration.
Many people ask for a single price for company registration, but the cost depends on a few variables. Understanding them helps you compare quotes properly.
What makes up the cost
- Professional fees of the CA or consultant
- Government filing fees, which depend on authorised capital
- Stamp duty on the memorandum and articles, which varies by state and capital
- Digital signature certificates for directors
- Optional: trademark, GST and other registrations
Ask for a quote that lists professional fees and government fees separately. Beware of quotes that exclude stamp duty or charge extra for name approval.
Timeline
- Digital signatures and name reservation: a few days
- Preparing and filing incorporation forms: one to two days once documents are ready
- Registrar's approval: depends on the Registrar and on query cycles
- After incorporation: bank account, auditor appointment and other first-month tasks
Documents for Indian directors
- PAN and Aadhaar
- Photograph and signature
- Address proof, recent
- Email and mobile number
- Registered office proof with owner's no-objection letter if rented
Mistakes that increase cost or delay
- Choosing a name similar to an existing company
- Fixing high authorised capital without need
- Using an address without proper proof
After incorporation, remember the follow-up tasks: commencement of business filing, first auditor appointment and annual filings.
A sample cost breakdown, by category
| Cost item | Depends on | Paid to |
|---|---|---|
| Professional fee | Scope: with or without GST, bank account help, drafting of founders' agreement | CA or consultant |
| Government fee for incorporation forms | Authorised capital and the form used | MCA |
| Stamp duty on memorandum and articles | State and authorised capital | State government |
| Digital signature certificates | Number of directors and validity | Certifying authority |
| Name reservation | Fee as notified | MCA |
| Optional: trademark, GST, Udyam, bank account | Services chosen | Various |
How to compare quotes
Ask each provider to list what is included. A lower professional fee may leave out digital signatures, stamp duty, or post-incorporation filings, which you then pay separately. Ask what happens if the Registrar raises a query, and whether re-filing is included. A fair quote is clear about government charges, which are fixed by the authorities and do not vary between providers.
After you receive the certificate
- Open a current bank account in the company's name and deposit the subscription money
- Hold the first board meeting and issue share certificates
- Appoint the first auditor within 30 days
- File the commencement of business declaration within 180 days
- Register for GST, professional tax, shops and establishment and other licences as relevant
- Set up bookkeeping and an annual compliance calendar
Why a few days of preparation saves weeks
Most delays in incorporation come from documents and names, not from the Registrar. Before you start, agree on the directors and shareholders, the share split, the registered office, and two or three name options. Check each name against the MCA name search and the trademark register. Prepare scanned documents in the right format. A clear brief at the start avoids repeated corrections.
- Decide the share split among founders and whether any shares are reserved for future ESOPs.
- Decide who will be the directors, and who will be the authorised signatory.
- Decide where the registered office will be and collect the proofs.
- Choose a financial year end and the first auditor.
Tax and licences to think about at the start
Incorporation gives you a legal entity. You may also need GST registration if your turnover or type of supply requires it, shops and establishment registration, professional tax registration where the state levies it, PF and ESI registration when you cross employee limits, and sector licences such as FSSAI for food. Doing these in the right order saves repeat work, for example because most licences ask for the incorporation certificate and a bank account.
A word on timing your incorporation
Incorporate when you are ready to use the company: before you sign the first customer contract, hire staff, or accept investor money. Incorporating early without a plan means you start paying for audit and filings before you earn anything, while incorporating too late can slow down bank accounts, contracts and licences. Fix a target date, work backwards for names, signatures and documents, and keep a few days of margin.
Questions to ask before you pay anyone
- What exactly does your fee include, and what is extra?
- Are stamp duty, digital signatures and government fees shown separately?
- What happens if the Registrar raises a query or rejects the name?
- Do you help with the first-month tasks, like the auditor and the commencement filing?
- Who will answer my questions during the process, and how quickly?
Clear answers to these questions are a better guide to value than the lowest quoted number.
Frequently asked questions
Is there a minimum capital to start a private limited company?
There is no minimum paid-up capital requirement. Your authorised capital should match your plans, since it decides fees and stamp duty.
Can I register a company without a physical office?
You need a registered office address in India where you can receive communications. A rented or owned premises or, in some cases, a residence can serve, with proper proof.
Can foreigners be directors?
Yes, subject to FEMA and sector rules, but at least one director must be a resident in India.
How long does the whole process take?
Once documents are complete, filing can be done within a few days. Approval depends on the Registrar and on whether queries arise.
This content is for general information and does not constitute professional advice. Laws, rates and due dates change; confirm the current position for your case. Section references are to the Income-tax Act, 1961 unless stated; the Income-tax Act, 2025 applies to later periods with renumbered sections.