A public company is a company that has permission to issue registered securities to the general public through an initial public offering (IPO) and it is traded on at least one stock exchange market. A public company is not authorised to begin its business operations just upon the grant of the certificate of incorporation. In order to be eligible to run as a public company, it should obtain another document called a trading certificate.
A Public Limited Company must have minimum of 7 members and there is no bar on maximum number of members. Owner and management of a public company enjoys limited liability.
A Public Limited Company should have atleast 3 directors and one-third as independent directors.
- LIMITED LIABILITY
- Board of Directors
- Transparency: Private limited companies are strictly regulated and are required by law to publish their complete financial statements annually to ensure the true financial position of the company is made clear to their owners (shareholders) and potential investors. This also helps to determine the market value of its shares.
- Opportunities :By having less risk, it’s the perfect opportunity for growing and expanding your business – investing into new projects and products, through the money gained via shares
- Capital: A public company can raise capital from the public by issuing shares through stock markets. Public companies can also raise capital by issuing bonds and debentures that are unsecured debts issued to a company on the basis of financial performance and integrity of the company.
- Transferable shares: A public limited company’s shares are purchased and sold on the market. They are freely transferred among the members and the people trading on stock markets.
- Copy of Aadhaar Card/ Voter identity card
- Copy of PAN Card of partners
- Passport size photo of partners
- Proof of business address(Electricity/ Water bill of Business Place)
- Copy of Sale/Property Deed (If owned property)
- Document submission
- Obtain a unique Digital Signature Certificate
- Reserve a Name for the Company
- Apply for Director Identification Number(DIN)
- MOA , AOA & corporate documents submission
- Get Certificate of Incorporation
- Apply for PAN, TAN and Bank account
- Registration and COI
- Certificate of Commencement of Business