If you are thinking of starting a multi level marketing company, or are thinking of starting any company, then you will know that it is necessary to register the company.
Because without this you cannot run a company in India. This is the post on the same topic, in which MLM Company Registration Process in India. How to register MLM company? This question will be removed from you and you will get your MLM Business License. With which you can run the company without any problem.
There are different types of companies, including LLC, Private limited and Public Limited Company. But you must have seen yourself, that most of the MLM companies register in private limited.
It is more beneficial to register an MLM company as a private limited company, as the director's personal assets are not damaged here and can hold up to 50 share-holders. Hence most MLM companies register in private limited.
For Private Limited MLM Company
First of all the company should have 2 directors
The company has to follow all the rules of the Ministry of Corporate Affair (MCA)
And the Direct Selling Guidelines have to be followed. (Only for MLM companies)
For private limited MLM company, you have to register the company on the site of Ministray of Corporate Affair (MCA) and you can do it yourself online.
How to register private limited company further in this post? We will talk about this only.
Online Private Limited MLM Company Registration Process
The process of online company registration is very easy. For online company registration, you have to go to the official website of the Ministry of Corporate Affairs, there you will have to complete the company registration process. To complete the company register, you have to follow the 5 steps given below.
Step 1: Get DSC Certificate
To register a company, first of all you have to go to the MCA website and apply for Digital Signature Certificate (DSC), whose form is available on the MCA site or you can see these forms from the link below.
What is DSC? DSC is an important document for a private company and you have to get it for your company's Proposed Director. DSC is used for all online forms and online sign, so that the director has signed the form or not.
Step 2: Get DIN
After obtaining the Digital Signature Certificate, you have to apply for Director Identification Number. Private Limited companies cannot register without DIN. You can fill the online form to do DIN, which is available on the MCA website. The same you can see the DIN form by clicking below.
You have to fill Form-DIR3 for Digital Signature or you can apply for it with SPICE Form.
Step 3: Create an account on MCA's site
Now you have to create your account on MCA site. You have to fill all your information here. In the beginning, you will have to select your user role. Which includes Director, Company User, Manager Wagera.
You will also have to upload DSC (Director Signature Certificate) at the end. To go to the register page on MCA, you can go to the following link.
Step 4: Select the company name
After getting the Digital Signature Certificate and Director Identification Number, you have to choose a name for your MLM company. You have to choose the name so that it is not like any registered company before.
To reserve the name you have to go to the WEB-RUN (Reserve Unique Name) service, which is available on the MCA website. You can go to the WEB-RUN page from the link given below.
Step 5: Fill Incorpotration Form
After reserving the company name, you have to fill the Incorporation form to start the company. This is the main form to register a company. You can fill the Incorporation form on the MCA website, INC-32 form is used for Incorporation. While filling it, be careful that you write all the information correctly, otherwise the form may also be rejected.
Along with the form, you will also have to submit some documents such as PAN card, Aadhaar card, address proof, rent agreement and others. While filling the form, you will also have to submit these two documents.
After that you can submit your form and after few days you will get the Incorporation Certificate.
It can take an average of Rs 10,000 and above to register a private limited MLM company. Which includes DSC, DIN, notary charge.
It can now take 10 to 15 days to get your MLM company license. Because now all the work is done online, the work of the company register is easy and fast.
A private limited company can be started by a minimum of 2 or more members. If you cannot register private limited company alone. If you want to start a company alone, you can start a One Person Company. One Person Company is also a company like private limited company, they have lot of similarities, but it does not require minimum 2 members to start.
When registering a private limited company, the form mentioned above requires Digital Signature (DSC) of the CA and without CA the Incorporation Form cannot be filed. Apart from this, you have to submit annual report of your company to MCA, hence CA is also required.
MLM company or any private limited company registration process is easy, if you have all the necessary documents. Before starting a company in India, you must know that you have to follow the instructions and rules given by the government, otherwise your business can be shut down.
If starting a MLM company, you must read Direct Selling Guideline once. Because without knowing this you cannot register a direct selling company. MLM companies also come in direct selling company.