formation of public company Table of Contents Toggle formation of public company1. Pre-Incorporation Steps:2. Drafting of Memorandum and Articles of Association:3. Incorporation Process:4. Post-Incorporation Steps:Note: The formation of a public company in India involves several steps and compliance with the regulations outlined in the Companies Act, 2013. A public company is one that is listed on a recognized stock exchange and can raise capital from the public through the issuance of shares. Here’s a step-by-step guide on the formation of a public company in India: 1. Pre-Incorporation Steps: 1.1 Promoters and Directors: Identify promoters and directors who will be involved in the formation and management of the company. 1.2 Name Reservation: Apply for the reservation of the proposed name of the company through the Ministry of Corporate Affairs (MCA) portal. Ensure that the name adheres to the naming guidelines specified in the Companies Act. 1.3 Digital Signature Certificate (DSC) and Director Identification Number (DIN): Obtain a Digital Signature Certificate (DSC) for the proposed directors. Obtain Director Identification Number (DIN) for the directors by filing the e-form DIR-3 with the MCA. 2. Drafting of Memorandum and Articles of Association: 2.1 Memorandum of Association (MoA): Draft the MoA, which outlines the company’s objectives and the extent of its powers. 2.2 Articles of Association (AoA): Draft the AoA, which contains the rules and regulations for the internal management of the company. 3. Incorporation Process: 3.1 Filing of Incorporation Documents: File the necessary incorporation documents, including the MoA, AoA, and other prescribed forms, with the Registrar of Companies (RoC). This is done through the MCA portal. 3.2 Payment of Fees: Pay the required fees for the incorporation process. 3.3 Certificate of Incorporation: Upon verification of the documents, the RoC will issue a Certificate of Incorporation, indicating the formation of the public company. 3.4 Allotment of PAN and TAN: Obtain the Permanent Account Number (PAN) and Tax Deduction and Collection Account Number (TAN) for the company. 4. Post-Incorporation Steps: 4.1 Opening of Bank Account: Open a bank account in the name of the company and deposit the minimum required capital. 4.2 Appointment of Auditors: Appoint auditors for the company within 30 days of incorporation. 4.3 First Board Meeting: Conduct the first board meeting to address various matters, including the allotment of shares and appointment of key personnel. 4.4 Share Allotment: Allot shares to the subscribers, and ensure compliance with the regulations related to the issuance of shares. 4.5 Listing on Stock Exchange (Optional): If the company plans to offer its shares to the public, it needs to comply with the regulations of the Securities and Exchange Board of India (SEBI) and apply for listing on a recognized stock exchange. Note: The process outlined here is a general guide, and specific requirements may vary based on the nature of the business and regulatory changes. Seeking professional assistance, such as consulting with a chartered accountant or company secretary, is advisable to ensure compliance with all legal requirements. It’s essential to stay informed about the latest regulations and guidelines from relevant authorities, as these may be subject to updates or amendments.