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hi all!
i just wanted to know what does one need to do in order to start a software company in india?
there is a friend of mine who has got some projects to work on and he is thinking of starting a comapny with few of his friends.
he had asked me help regarding what are the legal formalities involved.
i had no clue, i was wondering if any one of you could help me out here.
thank you

first thing is to get in touch with the labour commisoner...of that city, second thing is to get a leased telephone line....please register the company with all the details about your project....these are surface level details...


Register the Company

The first thing you need to do to set up a software project or call center, or in fact any business, in India is to form a company. The Companies Act 1956, sets down rules for establishing public and private companies. The most common corporate form is the limited one, and not the unlimited company. It is formed only after registering the Memorandum and Articles of Association with the ROC (Registrar of Companies) of the state in which your company’s main office will be located. These are the most important documents that you will submit to the ROC.

The Memorandum sets out the constitution of the company (name of the company, the nature of liability of its members), and includes its objects (the purpose for the formation of the company, the parameters within which it has to carry out its activities). The company cannot do any act that is outside the object of the company even if all the shareholders approve it unanimously. The Articles of Association are the rules and regulations for managing the company’s internal affairs and for achieving its specified objects and purposes.

Getting the Company Name approved

You then send your company’s name to be approved by the ROC in the state/Union Territory in which you will maintain its registered office. The approval is subject to certain conditions no existing company should have the same name, and the name must incorporate the words Private Ltd at the end, if a private company, and Limited if public.

Pay a registration fee

Next you pay a registration fee, scaled according to the company’s share capital, which is stated in its Memorandum. Once you obtain all the documents described in Step 1 and the registration fee, the ROC grants the certificate of incorporation to you (the applicant).


An Indian citizen can set up IT software and services operations in India through the following.

• As an Individual / Proprietor

• As a Partnership / Firm / Trust

• As a Company registered under the Companies Act, 1956

No prior permission of the Government of India is required to set up IT / software units in India

The above are just broad guidelines

However I would suggest that your friend approach a practising Company Secretary or Chartered Accountant who has prior experience in this area and they will do it for you as a turnkey project. They may charge something in the range of INR 5000- 10000

Any business can be started with ownership as under
1. Proprietorship
Entire capital is by a single individual
2. partnership
Where two or more individuals share the capital, it becomes partnership You need to enter into partnership agreement and register the same
Form a private limited or a public limited company Refer to the earlier post for details.
Consult any practicing CA they will help you out

I agree with Mr. Sivasankaran.
However in the case of a Pvt. Ltd. company, i think there is a stipulated number of directors which you might need to identify while forming a new company and if the company being started is an IT company, then you might also need to register yourself with STPI.
Thanks and Regards

We have allready started a software pvt ltd firm in bangalore for training and consultency business.your friend can associate with us for developement part.please visit our website <link outdated-removed>

We are please to introduce ourselves as Praanati Manpower Services. Please find attached company profile of our firm for your reference. We are specialists in providing quality talent to Manufacturing, Infrastructure, Information Technology, Process & Engineering sectors and we are also in to contract staffing.
I am looking forward to meet you on 3rd July.

We strive to provide our best services to you all the time, at right time.
================================================== ================================================== ================================================== ===
Raghotham Kulkarni
Managing Director
Praanati Manpower Services
90, 3rd Cross, 1st Main, Munikrishnappa
Layout, Kanaka nagar, Bangalore - 72
Mob : +91 9900260454
Domain Default page

hi dixita, pls do let me know abt partnership. we are open for it . we are looking for some partners who can help us in expansion of business pls do call to 97417 60624 regards mahesh
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