On the occasion on 69th Republic day, Government of India has launched Government Process Re-engineering (GPR) initiative for making incorporation process speedy and simple. Earlier MCA introduces SPICE form (Simple form for incorporating a Company) for incorporation of company in One day with PAN and TAN application in single form.
ZERO Fees for Incorporation
One more initiatives has been taken by MCA department for start-ups by reducing fees for incorporation with authorized capital up to 10 lakh but stamp duty is still need to paid.
RUN Form (Reserve Unique Name)
MCA has introduced RUN form (Reserve Unique Name) Form. If an entrepreneur wants to start a company with unique name*, he/she can reserve the name through RUN.
Note* No Re-submission of the application is allowed in case of reservation of a name through web service –RUN that means 1000 fees will be applicable for each submission.
Earlier DIN is required for application of Name, after this an entrepreneur can apply the name without having DIN.
DIN (Director Identification Number) Application with SPICE form
If any entrepreneur wants to incorporate a Company, can now apply DIN only through SPICE form. DIN would be allotted for each of the directors who did not have DIN.
If any director is having DIN already, then also SPICE form can be used.
Now, DIR-3 form will be used for existing Companies for adding director only.
Although incorporation fees have been reduced, after introducing RUN form, chances of rejection of name application will increase and the cases of multiple submission will be more this will compensate the fees charged earlier in INC-32 form.