Introduction: Why Public Limited Companies Matter in India’s Corporate Ecosystem
India’s economic landscape is rapidly evolving, with growing demand for capital-intensive businesses that can scale across borders. Whether it’s infrastructure, finance, manufacturing, or technology, certain ventures require public capital, broader ownership, and limited liability — all of which a Public Limited Company (PLC) offers.
Registering a Public Limited Company is a strategic decision that brings greater credibility, fundraising capabilities, and legal recognition under the Companies Act, 2013. However, it also comes with stricter compliance, public disclosures, and regulatory oversight.
At RegistrationMART, we’ve helped numerous entrepreneurs, corporates, and investors successfully register Public Limited Companies in India. This detailed guide explains everything — from legal process, eligibility, required documents, compliance obligations, taxation, and funding strategies for 2025.
What is a Public Limited Company (PLC)?
A Public Limited Company is a company that:
- Has limited liability for its shareholders
- Can offer its shares to the public
- Must have a minimum of 3 directors and 7 shareholders
- Is governed under the Companies Act, 2013
Unlike Private Limited Companies, a PLC can raise capital through IPOs, private placements, and issue of debentures. It is often seen as a corporate structure for high-growth ventures, joint ventures, or companies aiming to go public.
Legal Framework Governing PLCs in India
| Law/Regulator | Key Role |
|---|---|
| Companies Act, 2013 | Main legislation defining formation, governance, and compliance |
| MCA (Ministry of Corporate Affairs) | Governs registration, filings, inspections |
| SEBI | Regulates listed Public Companies |
| FEMA / RBI | Applicable for foreign investment (FDI) in PLCs |
| Income Tax Act, 1961 | Corporate taxation and disclosures |
| GST Law | For indirect tax applicability |
📌 Only entities with sufficient capital, structured governance, and long-term vision should opt for PLC registration due to its high compliance and regulatory responsibility.
Key Features of a Public Limited Company
| Feature | Description |
|---|---|
| Legal Status | Separate legal entity from its owners |
| Limited Liability | Shareholders’ liability is limited to unpaid share capital |
| Transferability | Shares freely transferable, subject to SEBI rules |
| Capital Raising | Can raise funds through IPOs, FPOs, debt instruments |
| Transparency | Public disclosures are mandatory |
| Regulation | Heavy compliance with ROC, SEBI, and Tax departments |
Eligibility Criteria for Public Limited Company Registration
- Minimum 3 Directors (at least one Indian resident)
- Minimum 7 Shareholders
- DIN and DSC for all directors
- Registered office in India
- Authorized capital of ₹5 lakh or more (no minimum paid-up capital after 2015 amendment)
📌 A company with fewer than 7 shareholders cannot be registered as a PLC.
Documents Required for Public Limited Company Incorporation
🔐 For Directors and Shareholders:
- PAN Card
- Aadhaar Card
- Passport (for NRIs/foreign nationals)
- Address Proof (Bank Statement, Utility Bill)
- Passport-sized photo
- Digital Signature Certificate (DSC)
🏢 For Registered Office:
- Utility bill (electricity/water/gas)
- Rent agreement or ownership deed
- NOC from owner (if rented)
Step-by-Step Process of PLC Registration in India
- Obtain DSC and DIN – DSC for signing digital documents; DIN from MCA portal for each director.
- Choose Unique Name and File RUN Form – Reserve name ending with “Limited” as per MCA rules.
- File SPICe+ Form (Part A & B) – Includes MoA, AoA, PAN, TAN, and more.
- Upload Supporting Documents – IDs, address proofs, capital details, and declarations.
- Approval and Certificate of Incorporation – ROC verifies and issues CoI with CIN.
- Apply for Bank Account & Start Operations – Open account using CoI, PAN, MoA, AoA.
Compliance Requirements Post-Incorporation
| Compliance | Frequency | Description |
|---|---|---|
| Board Meetings | Quarterly | At least 4 per year; record minutes |
| AGM | Annually | Present financials and declarations |
| ROC Filings | Annually | File AOC-4, MGT-7, MGT-9 |
| Director Disclosures | Annually | DIR-3 KYC, MBP-1 |
| Auditor Appointment | Within 30 days | File ADT-1 with ROC |
| Income Tax Return | Yearly | File ITR-6 for company |
| GST Returns | Monthly/Quarterly | If applicable |
✅ RegistrationMART offers Annual Compliance Packages for PLCs to ensure nothing is missed.
Advantages of Registering a PLC
- 💰 Unlimited Capital Raising Options – Issue shares, debentures, and bonds.
- 🌐 High Brand Credibility – Ideal for FDI and joint ventures.
- 🔐 Limited Liability – Shareholder liability limited to investment.
- 💼 Perpetual Succession – Business continues despite ownership changes.
- 🏛 Public Trust and Valuation – Easier access to investors and markets.
Disadvantages / Limitations of a PLC
- Heavy compliance and cost
- Limited managerial autonomy
- Public scrutiny and mandatory disclosures
- Restriction on managerial remuneration (Section 197)
FDI in Public Limited Companies
- Automatic Route: Up to 100% FDI in most sectors
- FEMA compliance: Filing of FC-GPR, valuation reports
- SEBI (FPI) and RBI (FDI) rules must be complied with
📌 RegistrationMART assists with FIRC, valuation, and FEMA approvals for foreign investment.
Taxation for Public Limited Companies
| Tax Type | Rate (FY 2024–25) |
|---|---|
| Corporate Tax (Turnover < ₹400 Cr) | 25% |
| Corporate Tax (Others) | 30% |
| Surcharge | 7% – 12% |
| Dividend Distribution Tax | Abolished (dividends taxed in shareholders’ hands) |
| MAT | 15% on book profits |
Case Study
Client: Infrastructure Startup from Maharashtra
Need: Raised ₹12 Cr through private placement
Challenge: Needed structure suitable for future IPO
Solution: RegistrationMART registered a PLC, structured equity issuance with ROC filings, created a compliant board structure, and ensured SEBI readiness.
Why Choose RegistrationMART for PLC Registration?
- End-to-end registration with legal experts
- Post-incorporation ROC and tax compliance
- Private placement & FDI documentation
- FEMA & SEBI compliance assistance
- Board structuring and audit setup
- IPO readiness consulting (via partners)
With over 10+ years of experience, RegistrationMART makes Public Limited Company registration transparent, strategic, and affordable.
Conclusion: Public Company = Public Trust
Registering a Public Limited Company is not just a legal process — it’s a signal of business maturity, governance, and vision. While it involves higher regulation, the potential to raise funds, expand globally, and gain public trust makes it worth the effort.
RegistrationMART helps entrepreneurs navigate this journey from incorporation to compliance with unmatched precision and transparency.
