Public Limited Company Formation is the legal process of incorporating a company that can offer its shares to the general public and is governed by the Companies Act, 2013. A Public Limited Company has a separate legal identity from its shareholders and offers limited liability protection to them. It requires a minimum of 3 directors, 7 shareholders, and must comply with stricter regulatory and disclosure norms.
The formation involves obtaining Digital Signature Certificates (DSC), Director Identification Numbers (DIN), name approval from the Ministry of Corporate Affairs (MCA), and filing incorporation documents through the SPICe+ form, including the Memorandum and Articles of Association. Once registered, the company can raise capital by issuing shares to the public through stock exchanges, subject to SEBI regulations.
This structure is suitable for large-scale businesses aiming to expand and raise funds from a wide investor base while maintaining transparency and corporate governance.
