• Paid up capital and starting of business

Hi, I m Sachin Patil from Dombivili.
In real estate business as an broker since 2012 ( not registered), but current I m thinking to register my business in private limited firm. 
Please guide me whether Private limited or person company is better option to registered.
What are the charges and process involved for private limited registration.
What is Paid-up capital, I want to submit money to government or just to declare.
If after declaring paid-up capital then can i use this capital in my business ?
Request you please help in this.
Thanks and Regards
Sachin Patil.
Asked 3 years ago in Business Law from Thane, Maharashtra
1) in the vent you are doing business  with another partner you can form a partnership firm and it has to be registered with regsitrar of firms 

2) if you want to do business as company you can form private limited company for said purposes . 

3)for formation of pvt ltd company you have to follow the detailed procedure

4) you would need minimum 2 directors, minimum paid up capital of Rs 1 lakh 

5) apply for allotment of director identification number , digital; signature  certificate 

6) search for company name availability , draft memorandum and articles of association of the company 
7) payment of ROC fees and stamp duty would depend upon authorised capital of the company 

8) you should contact local CA in this regard 
Ajay Sethi
Advocate, Mumbai
46849 Answers
2771 Consultations

5.0 on 5.0

1) The amount of a company's capital that has been funded by shareholders.

2) Paid-up capital is money that a company has received from the sale of its shares,

3) is a measure of how much money investors have pumped into the company since inception in return for equity.

4) paid up capital is used by company to run its affairs 
Ajay Sethi
Advocate, Mumbai
46849 Answers
2771 Consultations

5.0 on 5.0

If you desire to invest and declare the paid up capital you can do so and can also use the same for the business. 
Anyone who enjoys selling real estate may also enjoy owning a brokerage. With multiple agents splitting their commissions with you, owning your own brokerage makes it easier to ride out fluctuations in the market, an appealing benefit of brokerage ownership. Of course, as a broker you will also take on supervisory duties that you don't have as an agent, and you will also have to carry the overhead of running an office. But if you enjoy mentoring and have cash-flow management skills, the rewards can be great, psychologically and financially.Save up enough money to cover your startup costs, which will include renting or buying space, office equipment, logo design, an office sign, yard signs, website design, insurance. You also need to set aside enough funds to cover operating expenses for at least three to four months,
T Kalaiselvan
Advocate, Vellore
36997 Answers
403 Consultations

5.0 on 5.0

1. What is the hitch in carrying the business as a sole proprietor? For what purpose do you wish to change the character to a limited liability partnership?

2. Paid up capital required to set up a private company is 1 lakh INR.

3. Paid up capital is not given to the government. It is the minimum amount which must be pooled in the business at the start.

4. The minimum share capital shall be maintained at all times.
Ashish Davessar
Advocate, Jaipur
23170 Answers
641 Consultations

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