As per the companies Act 1956 a private limited company is a voluntary association of not less than two and not more than fifty members and whose liability is limited. The transfer of shares in a Private Company is limited to its members and it is not allowed to invite the general public to subscribe to its shares or debentures. It has an independent legal existence. Procedure for incorporating a Private Company

• Select, in order of preference, at least one suitable name upto a maximum of six names, indicative of the main objects of the company.
• Ensure that the name does not resemble the name of any other already registered company and also does not violate the provisions of emblems and names (Prevention of Improper Use Act, 1950) by availing the services of checking name availability on the portal.
• Requirement of Directors Identification Number (DIN) & Digital Signature:
Before applying for name approval it is to be ensured that the persons giving consent to act as directors have DIN and Digital Signature. Without DIN and Digital Signature the one cannot proceed with the Company formation procedure.
• Apply to the concerned ROC to ascertain the availability of name in eForm1 A by logging in to the portal. A fee of Rs. 500/- has to be paid alongside and the digital signature of the applicant proposing the company has to be attached in the form. If proposed name is not available, the user has to apply for a fresh name on the same application.
• After the name approval the applicant can apply for registration of the new company by filing the required forms (that is Form 1, 18 and 32) within two months of name approval
• Arrange for the drafting of the memorandum and articles of association by the solicitors, vetting of the same by ROC and printing of the same.
• Arrange for stamping of the memorandum and articles with the appropriate stamp duty.
• Get the Memorandum and the Articles signed by at least two subscribers in his/her own hand, his/her father's name, occupation, address and the number of shares subscribed for and witnessed by at least one person.
• Ensure that the Memorandum and Article is dated on a date after the date of stamping.
• E File the Following Forms
• Declaration of compliance - Form-1
• Notice of situation of registered office of the company - Form-18.
• Particulars of the Director's, Manager or Secretary - Form-32.
• Submit the following E Forms after attaching the digital signature, pay the requisite filing and registration fees and send the physical copy of Memorandum and Article of Association to the ROC
• After processing of the Form is complete and Corporate Identity is generated obtain Certificate of Incorporation from ROC.