Conversion of Proprietorship to Private Limited Company
Ideal for growing businesses
Rs. 13,999 Onwards
SAVE 60% COST!!!
(Takes <15 days)
CONVERSION OF SOLE PROPRIETOR TO PRIVATE LIMITED COMPANY
Many business people start their businesses as a Sole Proprietorship due to the low compliance requirements. As the business and the incomes grow, there is a need to separate the bank accounts and the tax filings of the Sole Proprietor and that of the business. To accomplish this separation a possible solution is to convert the Sole Proprietorship into a Private Limited Company.
To convert a Sole Proprietorship into a Private Limited Company, an agreement has to be executed between the Proprietorship and the Private Limited Company (once it is incorporated) for the sale of the business. Further, such Private Limited Company so incorporated must have “the takeover of a Sole Proprietorship Concern” as one of the objectives in its Memorandum of Association.
Conversion to Sole Proprietorship is done through easeURbusiness.
WHAT IS INCLUDED IN OUR PACKAGE
✓ DIN for 2 Directors
✓ Digital Signature For 2 Directors
✓ Name search & approval
✓ Registration Fees
✓ Company PAN Card
PROCEDURE FOR CONVERSION
Complete our Simple Form
You are required to fill the details in our simple questionnaire and submit documents.
Obtain DSC and DPIN from us
After submitting your documents we will provide you with DSC and DPIN.
Verification and Name Approval
For further procedures, details provided by you will be verified by our experts.
We will create your documents and application and file them with ROC.
DOCUMENTS REQUIRED FOR CONVERSION
✓ Copy of PAN Card of the Directors
✓ Passport size photograph of Directors
✓ Copy of Aadhaar Card/ Voter identity card
✓ Copy of Rent agreement(If rented property)
✓ Electricity/ Water bill (Business Place)
✓ Copy of Property papers (If owned property)
✓ Landlord NOC (Format will be provided)
Conditions for Conversion
☞ All the assets and the liability of the Sole Proprietary concern relating to the business immediately before the succession become the assets and the liability of the company.
☞ The shareholding of the sole proprietor in the private limited company is not less than 50% of the total voting power in the company and his shareholding continues to remain so for a time period of 5 years from the date of the succession.
☞ The sole proprietor does not receive any benefit or consideration, directly or indirectly, in any form or manner, other than by way of allotment of shares in the company.
MINIMUM REQUIREMENTS FOR CONVERSION
✓ Minimum 2 Shareholders for Private Limited Company Registration
✓ Minimum 2 Directors
✓ Minimum Rs.1 Lac Share Capital
✓ DIN for all Directors
FREQUENTLY ASKED QUESTIONS
1. Is it necessary to have 2 directors in a Private Limited Company Registration?
Yes, you need a minimum of two Directors for a private limited company. If you are the sole owner, you can register as a One Person Company.
2. Who can be a member of a Private Limited Company?
Any individual/organization can become the member of the private limited company including foreigners/NRI.
3. For Conversion of Proprietorship into private limited company do I have to be present in person?
The entire procedure is 100% online and you don’t have to be present at our office or any other office for closure of proprietorship & incorporation of private limited. A scanned copy of documents has to be sent via mail.
4. Are there any other payments to be made for incorporation certificate of private limited in addition to the fee paid at the time of conversion?
There is absolutely no other payment. We will send you an invoice that is all-inclusive, with no hidden charges
5. What is the time taken by easeURbusiness in conversion of Proprietorship into Private Limited Company?
easeURbusiness can convert proprietorship into private limited company typically in 14-20 days. The time taken also depends on relevant documents provided by the applicant and speed of approvals from government. To ensure speedy registration, please pick a unique name for the proposed Company and make sure you have all the required documents ready, prior to starting the registration process.
6. Can NRIs/Foreign Nationals become a Director in Private Limited Company?
Yes, an NRI or Foreign National can become a Director in a Private Limited Company on acquiring DIN. However, at least one Director on the Board of Directors must be a Resident of India.