Producer Company Registration
Get Started By paying Rs. 24,999/-
Introduction of Producer Company
A Producer Company is basically a corporate body having the objects or activities relating to primary production as specified under the Act. In a producer company, a group of people related to farming and its selling/exporting also.
The Incorporation of this entity is governed by the Part IXA of Companies Act, 1956 and any other law for the time being in force until any special Act is framed. The producer company can also lend loans to its members subject to the conditions.
To form such entity ten or more member are required being the producers; or any two or more producer institutions; or its combination thereof. A Producer Company enjoys all the benefits which are available to any other Company like the liability of its members is limited to the extent of unpaid share capital by its members. It is generally deemed as Private Limited Company.
Sprinthub Solutions has team of experts providing you the best assistance, timely delivery and guaranteeing the highest customer satisfaction with respect to Company formation process. You may get in touch with our team on 096436-69475 or email info@sprinthub.in for Producer Company registration and Producer Company Compliance services
Advantages of Producer Company
Separate Legal Entity
Once an entity is registered it is born in the eyes of law which means it is separate from its owners, Directors, Managers, shareholders and employees etc. It can operate simply by its bank account and also provides the right to file case against third parties in case of wrongful act.
Beneficial for Members
Initially every member can only receive the value of the produce as decided by the Board. The withheld price may be disbursed after some time in form of cash or by allotment of equity shares. Limited return is provided to the Members but can also be allotted the bonus shares. The surplus can also be disbursed as patronage bonus.
Limited Liability
The liability of the Members is limited to the extent of Capital invested by them in the Company and therefore, they cannot be held personally liable for the debt and obligations of the Company. Therefore, the liability of the members is limited to the amount, if any unpaid on shares.
Special User Rights
Active members of the producer company are provided the special user rights, if so authorized by the Articles of Association of the company. It is the right relating to the supply of additional produce by the active members of the Company for which appropriate instruments are issued to active members in respect of such rights.
Minimum Requirement
Minimum Five persons as Director and maximum fifteen
One person should be appointed as a full time Chief Executive Officer
Minimum ten or more individual and each one of them being persons as Members; or two or more producer institutions or combination thereof.
Minimum Paid Up Capital requirement – 5 Lakhs
In case of foreign Entity or individuals opting to incorporate Producer Company; Minimum one Director shall be Indian resident
Director Identification Number if available
Document Required For Incorporation
PAN Card
of the Member and Directors of the proposed Company
passport
in case of Foreign Nationals
Business Address Proof
Owned Property : (Copy of Registry and Latest Govt. Electricity Bill or Water Bill)
Identity Proof
of the Member and Directors of the proposed Company.(Aadhar /Voter ID/Driving License/Passport)
passport size photograph
of Member and Directors
Rented/leased
: (Rent Agreement, NOC from the Owner, Latest Govt. Electricity Bill or Water Bill)
Address Proof
of the Members and Directors (Utility Bill/Telephone Bill/Mobile Bill/Bank Statement not older than two months)
Producer Card
of Members
Process of Incorporation of Producer Company
1. Complete the Application Form
You are requested to first fill the simple questionnaire provided by our expert team.
Application for DSC
DSC is a Digital Signature Certificate consisting of the E-signatures prepared. It will approximately take 1 day.
E-filing for incorporation of a Company
Once the name is approved, an online application is required to be filed through SPICE+ along with the requisite documents as obtained from the client with ROC. The MOA as well as AOA shall be filed online. This process again takes approximately 2-3 days.
Document Processing
At the second step we will be requiring the documents in accordance with the questionnaire filled by you so that we can arrange them as per the requirement and for processing.
Name Availability
The next step is to check the name availability. The name should be unique in nature and should not be similar to name of any other entity registered. It may take at least 1-2 days.
Get Certificate of Incorporation
Once the Company gets incorporated we will share all the docs like Incorporation Certificate, MOA , AOA and Digital Signatures.
More Insights on Producer Company Registration
How to Select the Name of Company
- You can check Company name availability thereby logging into MCA where you need to keep in Mind two or three available options along with the activity type. Our team will assist you in the selection of name of company.
- Also, along with checking the name availability we also need to check the trademark if already Registered under the proposed name which makes the online application for registration more Powerful. If you want to have a trademark of your word or logo you can get the same through Sprinthub Solutions by clicking on the link Trademark Registration
Other Key Points
- If the proposed Director is already having the DIN then you can also check whether DIR-3 KYC is completed. You can verify the same with the help of our experts. if the same is not done yet it can be done with help of Sprinthub Solutions.
- The producer company is required to manage all the compliances after incorporation of the company like appointment of statutory auditor, filing commencement of business, Income Tax Filing, Annual Returns with ROC and other compliances as required by the law. Sprinthub Solutions has a team of experts who keeps an eye on the due dates of your compliances and reminds you through mails
- The voting rights shall be based on single vote for every member
- The Producer Company can only carry the activities as mentioned under the Act.
- Internal Audit is mandatory by an independent Chartered Accountant.
- Loans Under Producer Company : The Producer company may provide financial assistance by way of credit facility to any members for upto 6 months The Producer company can also provide financial assistance in the form of loans and advances against the security. The loan shall be repayable between 3 months to 7 years.