How to Register a Startup in India: Documents, Timeline and Costs (2026)
Authored by - Adv. Pranay Sawant, Senior Executive at Outsource360
In July 2026, founders in India incorporated 26,407 companies and 11,843 limited liability partnerships. The Ministry of Corporate Affairs publishes those counts on its own dashboard, alongside a running base of 21,55,827 active companies and 5,13,790 active LLPs.
Almost none of those founders registered a startup. They registered a company.
That distinction sounds like pedantry. It isn't, and the gap between the two is where most of the wasted time in this process lives. Registering a startup in India means two separate things, at two separate departments, on two separate timelines. Incorporation at the Ministry of Corporate Affairs gives you a legal entity. Recognition by the Department for Promotion of Industry and Internal Trade gives you the tax holidays, the self-certification and the procurement access that founders actually mean when they say "Startup India". You can hold the first without the second, and plenty of founders do, for years.
Here's what makes this the wrong month to work from an old guide. On 4 February 2026, the Department for Promotion of Industry and Internal Trade notified G.S.R. 108(E), which superseded the 2019 recognition framework entirely. The turnover ceiling for recognition doubled, from Rs 100 crore to Rs 200 crore. A separate DeepTech category appeared, carrying 20 years of eligibility instead of 10 and a Rs 300 crore ceiling. Search for how to register a startup in India today and a large share of the first page still quotes the Rs 100 crore figure as current.
Two other things moved underneath this process, and neither gets much airtime. On 1 December 2025 the Ministry of Corporate Affairs raised the "small company" thresholds to Rs 10 crore of paid-up capital and Rs 100 crore of turnover, which changes what your new company files in year one. And on 16 February 2026 the Registrar of Companies map was redrawn, splitting Delhi, Mumbai, Kanpur and Kolkata and creating a standalone ROC for Haryana. Where your registered office sits now decides a different office than it did last year.
So this guide runs the process against the rules as they stand on 28 August 2026. Every document, in the order it's asked for. Every cost, separated into what the government charges and what a professional charges. And a timeline built from the sequence the forms actually run in, rather than the seven-day promise on a services website.
Company registration in India is not the hard part. Knowing which of the two registrations you're doing, and what each one is worth, is.
Registering a startup in India is two filings. First, incorporate at the Ministry of Corporate Affairs using the SPICe+ web form, which takes 7 to 15 working days and carries no MCA filing fee up to Rs 15 lakh of authorised capital. Second, apply free for DPIIT recognition on the National Single Window System, using the incorporation certificate from step one.
That's the shape of it. The rest of this guide is the detail that decides whether it takes two weeks or two months.
On this page
The two registrations, and why the order is fixed
Choose the structure before you touch a form
The document checklist, grouped by who has to produce it
Naming the company without triggering a resubmission
The SPICe+ filing sequence, in the order it actually runs
What registration actually costs
After the certificate: the 180-day clock and year one
DPIIT recognition: eligibility, application and what it's worth
The February 2026 ROC redraw, and why your address matters more now
The mistakes that cost founders the most
The two registrations, and why the order is fixed
Founders usually arrive here with a single mental model: fill a form, get a certificate, be a startup. The process has two halves, and the second one can't start until the first finishes.
Incorporation gives you an entity. Recognition gives you benefits.
Incorporation is a filing with the Ministry of Corporate Affairs under the Companies Act, 2013. It creates a legal person: a private limited company, a One Person Company, or, under the LLP Act, a limited liability partnership. What you get out is a Certificate of Incorporation carrying a Corporate Identity Number, plus a PAN and a TAN issued in the same transaction.
Recognition is an application to the Department for Promotion of Industry and Internal Trade, filed on the National Single Window System. It creates nothing. It classifies something that already exists, and the classification unlocks a specific list of benefits.
The order is fixed because recognition asks for proof of legal existence. No certificate of incorporation, no application. Fair warning: this is the point where founders who were sold a bundled "startup registration package" discover they paid for two things that had to happen a fortnight apart anyway.
Factor | Incorporation (MCA) | Recognition (DPIIT) |
What it produces | A legal entity, with a CIN, PAN and TAN | A Certificate of Recognition and a startup number |
Where you file | MCA21 V3 portal, SPICe+ web form | National Single Window System (nsws.gov.in) |
Government fee | Nil up to Rs 15 lakh authorised capital, plus state stamp duty | Nil |
Typical turnaround | 7 to 15 working days | Days to a few weeks, depending on queries raised |
Is it compulsory? | Yes, to trade as a company or LLP | No. It is opt-in, and worth money |
Can you do it later? | No | Yes, any time inside the eligibility window |
What the 4 February 2026 notification changed
G.S.R. 108(E) replaced the 2019 definition of an eligible startup. Four things moved, and the first two are the ones the internet hasn't caught up with.
The turnover ceiling for a standard startup rose from Rs 100 crore to less than Rs 200 crore in any previous financial year.
A DeepTech Startup category was created, with eligibility running to 20 years from incorporation and a turnover ceiling of less than Rs 300 crore, tied to research intensity and intellectual property creation.
The 10-year window from incorporation stays in place for standard startups.
Cooperative societies sit alongside private limited companies, registered partnership firms and LLPs on the list of eligible entity types.
The exclusion that has always applied still applies. In the notification's own words, an entity formed by splitting up or reconstruction of an existing business shall not be considered a startup. Restructuring a running business into a new shell to reset the clock does not work, and the application asks questions designed to surface exactly that.
Choose the structure before you touch a form
Every document you'll be asked for descends from one decision. Get it wrong and you're not correcting a form field, you're converting an entity.
The structure decides who can register, and who can be recognised
A sole proprietorship is the cheapest way to start trading in India and the one route that closes the DPIIT door completely. It isn't on the eligible entity list, it has no separate legal existence, and there is nothing to incorporate. If recognition, outside investment or employee equity is anywhere in your plan, a proprietorship is a decision to redo this later.
Among the structures that do qualify, the trade-offs on tax, compliance and fundraising run deeper than this guide covers. We've worked through them in detail in our comparison of private limited, LLP and OPC structures in India. The short version, for a founder who wants to keep moving: pick a private limited company if outside equity or employee stock options are ever in scope, an LLP if two or more partners will draw profits out annually and equity fundraising is off the table, and an OPC if a single Indian-citizen founder wants corporate limited liability now.
If a founder or shareholder is a foreign national or a foreign body corporate, the document set changes substantially and legalisation requirements enter the picture. That path is covered separately in our guide to company registration in India for foreign founders. Everything below assumes resident Indian founders.
Authorised capital is the number that costs you money
Two capital figures appear on the form and founders routinely confuse them. Authorised capital is the ceiling on shares the company may issue. Paid-up capital is what shareholders actually put in. There has been no statutory minimum paid-up capital for a private company since the Companies (Amendment) Act, 2015, so a company can be incorporated with Rs 10,000 of paid-up capital and function normally.
Authorised capital is different, because two costs are computed on it. State stamp duty is calculated on the authorised figure, and the MCA filing fee turns from nil to slab-based above Rs 15 lakh. Setting authorised capital at Rs 1 crore "so we don't have to change it later" is the single most common way founders pay for nothing at incorporation.
The mistake we see most often is treating a high authorised capital as a signal of seriousness. It isn't. Investors read the shareholding agreement and the cap table, not the authorised figure, and raising authorised capital later through Form SH-7 is routine.
The document checklist, grouped by who has to produce it
Nothing here is exotic. What sinks filings is mismatch: a name spelled differently across two documents, or an address proof dated three months back. The Central Registration Centre processes these applications on a faceless and randomised basis, so there is no relationship to lean on when something doesn't line up.
From every director and subscriber
Each proposed director and each subscriber to the memorandum has to supply the same core set. For resident Indians that means a PAN card, which is mandatory and not substitutable, and one identity proof from Aadhaar, passport, voter ID or driving licence.
They also need an address proof that is recent. Bank statement, electricity bill, telephone bill or mobile bill, and the operative rule is that it must be no older than two months at the date of filing. A passport-size photograph completes the personal set.
Every director needs a Director Identification Number, and every subscriber signing the electronic memorandum needs a Digital Signature Certificate. Both are dealt with in the filing sequence below, because the order they're obtained in decides your first week.
For the registered office
A registered office in India is mandatory from incorporation, and it does not have to be commercial premises. A residential address is acceptable. What the Registrar cares about is that official communication reaches you and that you can prove your right to the address.
Three documents establish that. A utility bill for the premises, again no older than two months. Proof of ownership or the rent or lease agreement. And a no-objection certificate from the owner, permitting the company to use the address as its registered office.
The entity's own documents
The memorandum of association and articles of association are filed electronically as Forms INC-33 and INC-34 inside SPICe+, so there is no physical signing or separate stamping step for most incorporations. INC-9 is the declaration by the subscribers and first directors, auto-generated in most cases.
The one document founders draft badly is the object clause in the memorandum. It states what the company is formed to do, and it needs to be wide enough to cover the business you'll be running in two years without being so vague that the Registrar queries it. Altering it later means a shareholders' special resolution and a filing.
Document | Who provides it | Recency rule | Common failure |
PAN card | Each director and subscriber | None | Name differs from Aadhaar spelling |
Aadhaar, passport, voter ID or licence | Each director and subscriber | Must be current | Expired driving licence used as ID |
Bank statement or utility bill (personal) | Each director and subscriber | Not older than 2 months | Statement downloaded weeks before filing, stale by submission |
Utility bill for the registered office | The premises owner | Not older than 2 months | Bill in a previous tenant's name |
Rent agreement or ownership proof | The founders | Current | Unsigned or unregistered agreement |
No-objection certificate from owner | The premises owner | Current | Missing entirely; assumed to be covered by the lease |
Digital Signature Certificate | Each subscriber and director signing | Valid, usually 2 years | Obtained late, holding up the whole filing |
Passport-size photograph | Each director | Recent | Low resolution, rejected on upload |
Naming the company without triggering a resubmission
Name rejection is the most common single cause of delay in this process, and it's almost entirely avoidable. So why do so many first applications come back?
Because founders check one register and not the other. A proposed name has to clear the Ministry of Corporate Affairs company database and the trade marks register. A name that resembles a registered trade mark, or an application for one, will be refused even if no company holds it. Running both searches before you file costs an afternoon.
The other rules are mechanical. The name must not be identical to or too closely resembling an existing company or LLP, must not be undesirable in the opinion of the Central Government, and must not suggest government patronage or connection without approval. Words implying a regulated activity, finance and insurance among them, invite a query unless the licence exists.
Reservation happens either through Part A of SPICe+ or, for an existing company changing its name, through the separate RUN service, which carries a fee of Rs 1,000. You may propose two names. An approved name for a new company is reserved for 20 days, and that clock is real: let it lapse and you reserve again.
Our recommendation is to file Part A and Part B together rather than reserving first. Reserving separately buys you a 20-day countdown and a second submission for no benefit, unless you genuinely need the name locked while you assemble documents.
The SPICe+ filing sequence, in the order it actually runs
SPICe+ is the integrated incorporation form on the MCA21 V3 portal. It bundles services that used to be separate applications to separate departments, which is why the sequence matters more than the paperwork.
Digital signatures and DIN come first
Nothing can be submitted without a Digital Signature Certificate, because every subscriber signs the electronic memorandum with one. A Class 3 DSC is issued by a licensed certifying authority, needs video verification, and typically lands in one to three working days.
Director Identification Numbers are handled inside SPICe+ for up to three directors who don't already have one, at no extra charge. A fourth director without a DIN has to obtain one separately through Form DIR-3 before the incorporation form can name them, which is a fortnight most founders would rather not spend.
Part A reserves the name, Part B does everything else
Part A takes the proposed names and the business activity. Part B is the incorporation application proper: registered office, directors and subscribers, capital structure, and the PAN and TAN application, which is generated automatically rather than filed separately.
Both parts can be submitted in a single go. In practice, though, the fields that stall applications are in Part B: the activity code has to match the object clause in the memorandum, and the registered office address has to match the address proof exactly, down to the flat number.
The linked forms nobody reads until one breaks
Four forms attach to SPICe+ Part B and travel with it. INC-33 and INC-34 are the electronic memorandum and articles. INC-9 is the subscriber and director declaration, auto-generated on the basis of what you entered.
The fourth is AGILE-PRO-S, Form INC-35, and it's the one worth slowing down for. It carries the applications for GSTIN, EPFO registration, ESIC registration, a profession tax registration where the state operates one, opening of a bank account, and shops and establishment registration in states where that's integrated. Tick the boxes at incorporation and these arrive with the certificate. Skip them and each becomes its own application later.
Worth flagging: GST registration through AGILE-PRO-S is optional at this stage, and taking it on day one starts your return-filing obligation on day one. If you're pre-revenue, that's monthly nil returns for a registration you didn't need yet. The better approach, in our view, is to take GST at incorporation only if you already know you'll cross the threshold or supply inter-state.
What registration actually costs
Published prices for company registration in India range from about Rs 5,000 to well past Rs 30,000 for what looks like the same service. The spread isn't margin. It's a different bundle each time.
What the government charges
The MCA filing fee on SPICe+ is nil for a company with authorised capital up to Rs 15 lakh, which covers the overwhelming majority of new startups. Above that, fees move to a slab computed on capital. DIN for up to three directors, PAN, TAN, EPFO and ESIC registration are all included at no extra charge.
DPIIT recognition is free. The Department states plainly that it charges no fee for a Certificate of Recognition or a Certificate of Eligibility, and that it has appointed no agency, representative or franchise to obtain one on a startup's behalf. Anyone quoting you a government fee for Startup India recognition is quoting you their own fee.
Stamp duty is the line that actually moves
Stamp duty on the memorandum and articles is a state levy, collected inside the SPICe+ payment but set by the state where the registered office sits. It's computed on authorised capital, and the rate structure differs materially between states rather than by a few percent.
That's why a single national figure for company registration cost is meaningless, and why any guide quoting one is guessing. The reliable move is to price it for your own state and capital before you fix the authorised figure, using the Ministry's own stamp duty service. A founder choosing between two states for the registered office should run both numbers, though we'd note that stamp duty is a one-time cost and a poor reason to register somewhere you don't operate.
The professional fee, and what it should cover
Digital signatures are the other fixed cost, priced per person by the certifying authority and renewed on a two-year cycle. Budget one per subscriber and director who signs.
Professional fees are where the quotes diverge. A company secretary or chartered accountant filing the incorporation is doing name clearance, drafting the memorandum object clause, assembling and verifying documents, submitting SPICe+ with the linked forms, and handling any resubmission. Ask any quote to state explicitly whether it includes stamp duty, DSCs, resubmission handling, and the post-incorporation filings covered in the next section, because a low headline number that excludes all four isn't cheaper.
Cost line | Who charges it | How it is set | Avoidable? |
SPICe+ filing fee | Ministry of Corporate Affairs | Nil up to Rs 15 lakh authorised capital, slab-based above | Yes, by not over-setting authorised capital |
Stamp duty on MoA and AoA | State government | Computed on authorised capital, rate varies by state | Partly, same lever |
Digital Signature Certificates | Licensed certifying authority | Per person, typically a 2-year validity | No |
Name reservation via RUN | Ministry of Corporate Affairs | Rs 1,000 per application | Yes, if you file Part A with Part B |
DIN for a fourth or later director | Ministry of Corporate Affairs | Separate DIR-3 filing | Yes, keep the founding board at three or fewer |
PAN, TAN, EPFO, ESIC | Bundled in SPICe+ | No separate charge | Already free |
DPIIT recognition | Nobody | Free, filed on NSWS | Already free |
Professional fee | CS, CA or advisory firm | Negotiated, scope-dependent | Only by doing it yourself |
The honest timeline
Seven days is achievable. It is not typical, and it assumes documents were ready before the clock started. Here's what the sequence looks like when nothing goes wrong.
Stage | Working days | What can stall it |
Collect documents, run name and trade mark searches | 1 to 3 | Address proof older than two months; NOC not yet signed |
Obtain Digital Signature Certificates | 1 to 3 | Video verification rescheduled; mobile number not linked to Aadhaar |
File SPICe+ Part A and Part B with linked forms | 1 | Activity code inconsistent with the object clause |
Central Registration Centre processing | 3 to 7 | Resubmission on name or documents adds a full cycle |
Certificate of Incorporation, CIN, PAN and TAN issued | Same day as approval | Nothing, at this point |
Bank account activated and capital deposited | 3 to 10 | Bank KYC, in practice the slowest step of all |
DPIIT recognition application on NSWS | Days to weeks | Weak innovation write-up drawing a clarification |
Two of those rows deserve a warning. A resubmission does not pause the clock, it restarts a processing cycle, so one avoidable document error typically costs a week rather than a day. And the bank account routinely outlasts the incorporation, because bank KYC runs on the bank's timetable regardless of how fast the Registrar moved.
Let's be honest about what that means in practice. From a standing start, with documents to gather and a bank account to open, four to six weeks to a fully operational company is the realistic planning number. Quote seven days to your co-founders and you'll spend the difference explaining it.
After the certificate: the 180-day clock and year one
The certificate is the beginning of a compliance calendar, not the end of a process. Three deadlines start counting the day it's issued, and the first one has teeth.
The commencement declaration, and what missing it costs
A company with share capital must file Form INC-20A, the declaration for commencement of business, within 180 days of incorporation. It confirms that every subscriber has paid in the share value they agreed to, which means the money has to actually reach the company's bank account first.
Miss it and section 10A imposes a penalty of Rs 50,000 on the company, plus Rs 1,000 per day on every officer in default, capped at Rs 1 lakh. Worse, an unfiled INC-20A blocks the company from commencing business or exercising borrowing powers, and sustained non-filing can lead the Registrar to strike the company off. It is filed in straight-through processing mode and approved on submission, so there is no queue to blame.
Auditor, bank account and the registrations you deferred
The board must appoint the company's first auditor within 30 days of incorporation. That is a real 30 days, and it's the deadline founders miss most often because nothing visibly breaks when they do.
The bank account has to be opened, the subscribed capital deposited, and the deposit evidenced for INC-20A. If you skipped GST at incorporation, registration becomes compulsory once turnover crosses the threshold, which is Rs 40 lakh for suppliers of goods and Rs 20 lakh for suppliers of services in most states, with lower limits in special category states. It also becomes compulsory regardless of turnover for inter-state supply of goods and for supplies through an e-commerce operator.
Annual compliance for a private limited company, after December 2025
Annual compliance for a private limited company is lighter than it was two years ago, and this is the change that matters most to a new registrant's running cost. The 1 December 2025 amendment raised the small company thresholds to Rs 10 crore of paid-up capital and Rs 100 crore of turnover, which pulls virtually every newly incorporated startup into the small company regime.
What that means concretely: two board meetings a year rather than four, an abridged annual return on Form MGT-7A rather than MGT-7, no cash flow statement, no auditor rotation, no CARO reporting, and penalties at half rate. The statutory audit stays mandatory for every company regardless of size, which is the point where a clean set of books stops being optional and starts being cheaper. If bookkeeping is already eating founder time, our guide on when a startup should hand off its books covers the trigger signals.
The recurring set for a small private limited company is the financial statement filing on AOC-4, the abridged annual return on MGT-7A, the income tax return, and annual director KYC on DIR-3 KYC. Filing obligations follow existence, not activity: a company with zero revenue files the same returns as one with revenue.
DPIIT recognition: eligibility, application and what it's worth
This is the half of "startup registration" that people skip, and the one that carries the money. So what does the second filing actually get you?
The eligibility test, as it stands in 2026
Under the February 2026 framework, an entity qualifies if it is incorporated as a private limited company, or registered as a partnership firm, LLP or cooperative society; is within 10 years of incorporation, or 20 years for a DeepTech startup; has turnover below Rs 200 crore in any previous financial year, or below Rs 300 crore for a DeepTech startup; and is working towards innovation or improvement of existing products, services and processes, with the potential to generate employment or create wealth.
The innovation limb is the one that gets applications queried. It is assessed on what you write, not on a checklist, and "we are building an app" is not a description of innovation. A specific problem, a specific approach, and evidence of the work (a product, a filed patent, a pilot customer) reads very differently from a paragraph of positioning.
Applying on the National Single Window System
Recognition is filed by the startup itself on nsws.gov.in. Create an account, add the form titled Registration as a Startup, and submit. The Department's own guidance is explicit that applications should be filed by the startup using its own details, mobile number and email, and that no agency has been appointed to do it.
The application asks for proof of legal existence, meaning the certificate of incorporation or registration, the entity's PAN, a brief description of the business, details of the directors or partners, an authorisation letter for the person applying, and a Digital Signature Certificate for that authorised signatory. Patent and trade mark details are optional and help.
What recognition is worth, and the benefit it does not include
Recognition unlocks self-certification of compliance under specified labour and environment laws, fast-tracked patent and trade mark examination with fee rebates, relaxations on prior turnover and experience criteria in public procurement, access to the Fund of Funds ecosystem, and eligibility to apply for the income tax exemptions.
Note that last word. Recognition makes you eligible to apply; it does not grant the tax holiday. The 100 percent deduction on profits under section 80-IAC of the Income-tax Act, available for three consecutive years out of the first ten, requires a separate certificate from the Inter-Ministerial Board. The Finance Act, 2025 extended eligibility to startups incorporated before 1 April 2030.
And here's the trap in the current numbers. DPIIT recognition now runs to Rs 200 crore of turnover, but the 80-IAC deduction has its own turnover condition of Rs 100 crore. The two ceilings are no longer the same figure, and treating the February 2026 change as though it lifted the tax benefit too is an easy and expensive misreading.
Setting up the entity is a one-week problem. Keeping it compliant is a permanent one, and the first year is where most founders discover how much of it there is. Outsource360 handles business registration and compliance end to end, for founders who would rather spend the time on the business. Book a consultation if that's the trade you want to make.
The February 2026 ROC redraw, and why your address matters more now
On 16 February 2026 the Ministry of Corporate Affairs brought new Regional Directors and Registrars of Companies into effect, and remapped existing entities accordingly. Companies and LLPs registered in Haryana moved out of ROC Delhi to a new ROC Haryana. ROC Delhi split into Delhi I and Delhi II by district and PIN code. ROC Mumbai split into Mumbai I, Mumbai II and Nagpur, ROC Kanpur into Uttar Pradesh I and Uttar Pradesh II, and ROC Kolkata into Kolkata I and Kolkata II.
For a new registrant this is administrative rather than substantive, but it has one practical consequence. Guidance written before February 2026 that names a specific Registrar for a specific city may now point at the wrong office, and jurisdiction follows the registered office address by district and PIN code. If you're choosing between two addresses in the same metro, check which office each falls under rather than assuming they share one.
The mistakes that cost founders the most
Five errors account for most of the delay and most of the avoidable spend in this process. None of them is exotic.
Setting authorised capital far above what the company needs, paying stamp duty on the difference, and gaining nothing that Form SH-7 wouldn't have given later.
Filing a name without searching the trade marks register, then losing a full processing cycle to a resubmission that an afternoon's checking would have prevented.
Treating incorporation as the finish line and missing the 180-day INC-20A declaration or the 30-day first-auditor appointment, both of which carry penalties disproportionate to the effort of complying.
Registering for GST at incorporation while pre-revenue, then filing nil returns every month for a registration that wasn't required yet.
Never applying for DPIIT recognition, or applying with a generic innovation write-up, and leaving the tax and procurement benefits on the table for years.
The through-line, if you ask us, is that founders over-invest in the incorporation decision and under-invest in the eight weeks after it. The certificate is the cheap part.
Frequently asked questions
How long does it take to register a startup in India?
Incorporation through SPICe+ typically takes 7 to 15 working days from a complete filing, and the certificate, CIN, PAN and TAN are issued together on approval. Plan for four to six weeks end to end, because document collection, digital signature issue and bank account activation sit outside that window. DPIIT recognition is a separate application filed after incorporation.
How much does it cost to register a startup in India?
The MCA filing fee on SPICe+ is nil for authorised capital up to Rs 15 lakh, and PAN, TAN, DIN for up to three directors, EPFO and ESIC are bundled at no extra charge. The variable costs are state stamp duty computed on authorised capital, digital signature certificates per signatory, and professional fees. DPIIT recognition itself is free.
What documents are required to register a startup in India?
From each director and subscriber: PAN, one photo identity document, an address proof no older than two months, and a photograph. For the registered office: a utility bill no older than two months, ownership or lease proof, and a no-objection certificate from the owner. The memorandum and articles are filed electronically inside SPICe+ as INC-33 and INC-34.
Is DPIIT recognition the same as company registration?
No. Company registration is incorporation at the Ministry of Corporate Affairs and creates the legal entity. DPIIT recognition is a separate, free, opt-in application to the Department for Promotion of Industry and Internal Trade that classifies an existing entity as a startup and unlocks benefits. Incorporation has to come first, because recognition requires proof of legal existence.
What is the turnover limit for startup recognition in 2026?
Less than Rs 200 crore in any previous financial year for a standard startup, and less than Rs 300 crore for a DeepTech startup, under notification G.S.R. 108(E) dated 4 February 2026. The previous ceiling was Rs 100 crore, so pages still quoting that figure are working from the superseded 2019 framework.
Can a sole proprietorship get DPIIT recognition?
No. The eligible entity types are a private limited company, a registered partnership firm, a limited liability partnership and a cooperative society. A sole proprietorship has no separate legal existence and cannot be recognised, which is the main reason founders who plan to raise or hire on equity should not start there.
Is there a minimum capital requirement to register a company in India?
No. The Companies (Amendment) Act, 2015 removed the minimum paid-up capital requirement for private and public companies. Authorised capital still matters commercially, because stamp duty is computed on it and the MCA filing fee is nil only up to Rs 15 lakh.
Do I need a commercial office address to register?
No. A residential address is acceptable as a registered office. What matters is that official communication can reach you and that you can produce a utility bill no older than two months, proof of the right to use the premises, and the owner's no-objection certificate.
What is Form INC-20A and when is it due?
INC-20A is the declaration for commencement of business, required from every company with share capital within 180 days of incorporation. It confirms subscribers have paid in their share capital. Missing it carries a Rs 50,000 penalty on the company and Rs 1,000 per day on officers in default up to Rs 1 lakh, and blocks the company from commencing business or borrowing.
Do I have to register for GST when I incorporate?
Not usually. GST registration through AGILE-PRO-S is optional at incorporation and becomes compulsory once turnover crosses Rs 40 lakh for goods or Rs 20 lakh for services in most states, with lower thresholds in special category states. It is also compulsory regardless of turnover for inter-state supply of goods and supplies through an e-commerce operator. Registering early starts monthly return filing early.
Does DPIIT recognition give me a tax holiday?
Not by itself. Recognition makes a startup eligible to apply for the section 80-IAC deduction, which is a 100 percent deduction on profits for three consecutive years within the first ten. The deduction requires a separate certificate from the Inter-Ministerial Board and carries its own Rs 100 crore turnover condition, which is lower than the Rs 200 crore recognition ceiling. The Finance Act, 2025 extended eligibility to startups incorporated before 1 April 2030.
What annual compliance does a new private limited company have?
For a small company, which after the 1 December 2025 threshold increase covers virtually every new startup, the recurring set is Form AOC-4 for financial statements, the abridged annual return on MGT-7A, the income tax return, annual DIR-3 KYC for each director, and a statutory audit. Two board meetings a year replace four, and a company with no revenue files the same returns as one with revenue.
Can I change the company name or capital after registration?
Yes, both. A name change runs through the RUN service and a special resolution, and an increase in authorised capital is filed on Form SH-7. Neither is difficult, which is the argument against over-engineering either decision at incorporation.
What is the difference between authorised capital and paid-up capital?
Authorised capital is the ceiling on shares the company may issue. Paid-up capital is what shareholders actually put in. The distinction costs money, because state stamp duty is computed on the authorised figure and the MCA filing fee is nil only up to Rs 15 lakh of it, while paid-up capital has had no statutory minimum since 2015.
Do I need a Digital Signature Certificate to register a company in India?
Yes. Every subscriber signs the electronic memorandum with a Class 3 Digital Signature Certificate issued by a licensed certifying authority, so nothing can be submitted without one. Issue takes one to three working days and requires video verification, which is why it should be started before the rest of the paperwork is finished rather than after.
Which Registrar of Companies will my startup be registered with?
Jurisdiction follows the registered office address, and the map changed on 16 February 2026. Companies in Haryana moved to a new ROC Haryana, ROC Delhi split into Delhi I and Delhi II, ROC Mumbai into Mumbai I, Mumbai II and Nagpur, ROC Kanpur into Uttar Pradesh I and II, and ROC Kolkata into Kolkata I and II, allocated by district and PIN code. Guidance written before that date may name the wrong office.
References
The Companies Act, 2013 - Ministry of Corporate Affairs. Sections 4 and 16 on name, 10A on commencement of business, 12 on registered office, 139(6) on the first auditor, and 2(85) on small companies
SPICe+ incorporation service - Ministry of Corporate Affairs, MCA21 V3. Part A name reservation, Part B incorporation, and the linked forms INC-33, INC-34, INC-9 and AGILE-PRO-S (INC-35)
AGILE-PRO-S (Form INC-35) FAQs - Ministry of Corporate Affairs. GSTIN, EPFO, ESIC, profession tax, bank account and shops and establishment registration at incorporation
Pay Stamp Duty - Ministry of Corporate Affairs. State-wise stamp duty on the memorandum and articles, computed on authorised capital
RUN - Reserve Unique Name - Ministry of Corporate Affairs. Rs 1,000 application fee for reservation of a name
Companies (Registration Offices and Fees) Rules, 2014, as amended - Ministry of Corporate Affairs. Table of fees, including the nil filing fee for incorporation up to Rs 15 lakh of nominal share capital and the Rs 1,000 name reservation fee
Companies (Specification of Definitions Details) Rules, 2014, as amended by G.S.R. 880(E) dated 1 December 2025 - Ministry of Corporate Affairs. Small company thresholds raised to Rs 10 crore of paid-up capital and Rs 100 crore of turnover
Startup Recognition and Tax Exemption - Department for Promotion of Industry and Internal Trade, Startup India. Eligibility criteria, DeepTech category, and the statement that no fee is charged and no agency appointed
Notification G.S.R. 108(E) dated 4 February 2026 - Department for Promotion of Industry and Internal Trade. Revised definition of a startup, superseding the 2019 framework
National Single Window System - Government of India. Filing route for the Registration as a Startup form
MCA21 portal - Ministry of Corporate Affairs. Active-entity and incorporation counts as at 31 July 2026, and the notice on new Regional Directors and Registrars of Companies effective 16 February 2026
Income-tax Act, section 80-IAC, as amended by the Finance Act, 2025 - deduction of 100 percent of profits for three consecutive assessment years, extended to startups incorporated before 1 April 2030, subject to Inter-Ministerial Board certification. Confirm the corresponding provision under the Income-tax Act, 2025 before relying on the numbering
Disclaimer
This article is for educational and general business information purposes only and does not constitute legal, financial, tax or professional advice. The rules described are those of India and are current as at the date shown at the top of this article; company law, fees, thresholds and filing requirements change, and timelines quoted as ranges reflect observed practice rather than official service standards. Stamp duty, professional fees and eligibility outcomes depend on facts specific to each business, including the state of the registered office, authorised capital and business activity. Readers should consult a qualified professional before acting on any legal, financial, tax, compliance or business-registration decision.
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