Corporate Law: Incorporation of Company – Faster route through e-form INC 29

Mr. Narendra Modi, Prime Minister of India has definitely lived up to his words. He promised ease of doing business in India and through this announcement has achieved a major breakthrough.

Now that the new form is announced we will have 2 methods of incorporating a company.

1st method “normal route”

  • File DIN 3 for obtaining Director Identification Number for the proposed directors of the company [in case of first time directors only]
  • Check for availability of name in INC 1
  • File the details of promoters, directors & registered office in Form INC – 7/2, INC -22 & DIR – 12

2nd method is the “fast route”

  • File INC – 29 [it is a combination of all the forms stated above

The salient features of the INC 29 form as follows:

  1. DIN for 3 directors can be applied
  2. One company name can be mentioned
  3. 2 re-submissions are allowed
  4. No change in the requirement of attachments.

My take on this amendment

On paper looks a very good move. But there could be practical difficulties. 

  1. Only 3 DIN can be applied through this form.
  2. Any issue with the DIN will also get the name approval and registration rejected or vice-versa.
  3. Rs.2000 extra needs to be paid to avail the faster route

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