Private to Public Limited
Let us have a brief understanding of what is private and public limited company.
Private Limited Company
A company that is privately held for small businesses. The liability of the members of a private limited company is restricted to the number of shares respectively held by them. The shares of a private limited company can’t be traded.
Public Limited Company
A company whose shares are traded on a stock exchange and can be purchased and traded by anyone. It is also called a publicly held company. As the name suggests, a public limited company is a company that offers company shares to the general public. The Company’s Act 2013 also defines a public limited company as one that has limited liability and offers company shares to the public. Anyone can acquire the stocks of such a company either through stock-market trading or via IPOs ( Initial Public Offerings).
Checklist requirements for conversion of a Private limited company
- DSC (Digital Signature Certificate) and DIN ( Director Identification Number ) of two directors.
- Preparation of MOA ( Memorandum of Association ) and AOA ( Articles of Association).
- PAN ( Permanent Account Number ) and TAN ( Tax Deduction and Collection Account Number) card.
- Name search, application and name reservation.
- CIN (Certificate of Incorporation).
Documents needed for conversion of private limited into a public limited company
- A copy of the directors’ PAN card.
- Passport size photographs of directors.
- Copy of Aadhar card or voter ID.
- Copy of the rental agreement.
- Electricity or water bill (Business place).
- The copy of property papers, if it is owned.
- Landlord NOC (No Objection Certificate) for providing the format.