A fast and secure process that helps them accomplish this is essential for the success of their business. Entrepreneurs often come up with brilliant ideas about how to perform business.
For this reason, the government of India has taken measures to ensure that the businesses can be set up smoothly and easily. Hence, the support of the government in keeping entrepreneurs’ unique business ideas safe and secure has been extended to them.
The ease of doing business in India currently ranks 130th out of 190 nations. It is just one place higher than last year’s ranking.
The Indian government is making sincere efforts in bringing about changes in the business sector in India. To bring India among top 50 business-friendly nations and ensure that doing business is easy, the Honorable Prime Minister decided to make changes to the business sector.
As a result of the Fourth Amendment to the Companies Act of 2016, the present government of India has recently introduced the SPICe, so that such an initiative would be complete with positive vibes.
It is important to understand what is SPICe?
As with INC29, SPICe stands for Simplified Performa for Incorporating Companies Electronically, a concept that simplifies the process of establishing a business in an effortless manner. SPICe, by contrast, was established to provide a digital platform for simplifying the process of Registering a business by SPICe.
Entrepreneurs can file the Memorandum of Association and Articles of Association electronically using the SPICe system. This reduces the burden of having to manually file the documents to the authorities and allows them to save time.
SPICe has several main highlights, including:-
After INC1 which is used to obtain a business name, INC32 can be filed.
You must electronically file INC33 and INC34 under SPICe in order to file your Articles of Association (AOAs) and Memorandum of Association (MOAs).
In order to subscribe and witness the e-documents, they need only sign their digital signatures.
Through the SPICe, the INC29 and INC7 will eventually be phased out. Producer Companies, Limited Liability Companies, Public Limited Liability Companies, Section 8 Companies, and One-Person Corporations can all use SPICe to incorporate.
Documents Required for SPICe Form INC-32.
In order to avoid legal complications, it is important to arrange important documents before filing for the SPICe Form. We have listed these documents below.
SPICe Form INC-32 must be accompanied by the following documents.
- Memorandum of Association.
- Articles of Submission.
- First subscriber and director’s affidavit and declaration.
- Office Address Proof.
- Obtain a letter of authorization from the sole proprietor/associated/partner of the existing business.
- Proof of Identity, residential address, and subscribers.
- Proof of identity, directors, and residential address.
- Before understanding how SPICe works, it is crucial to understand how it will benefit businesses.
- First time users have to follow these steps in order to use this form. The process is very simple and hassle free.
- Apply for the Digital Signature Certificate (DSC). The directors of the concerned business need to apply for the DSC.
- Applying for the DIN. Maximum 3 directors can apply for the same when filing the form INC32 itself.
- Finally, the forms are filed with the MCA – Ministry of Corporate Affairs with the required documents.
- Now we can understand how does this help the businesses in the long run.
- No person can deny the ease of registering the business this form brings provided this provision is implemented efficiently.