MCA registers over 1.55 Lakh company incorporations, increase of about 27%

As part of the Government of India’s drive for Ease of Doing Business, the MCA has taken many initiatives thereby saving as many procedures, time and cost for starting a business in India.

During the Financial Year 2020-21, the Ministry of Corporate Affairs (MCA) registered more than 1.55 Lakh company incorporations as compared to 1.22 Lakh companies during FY 2019-20, an increase of about 27%. Similarly, 42,186 Limited Liability Partnerships (LLPs) got incorporated as against 36,176 last year, an increase of about 17%. The increase is significant considering the unprecedented situation faced by the country due to the COVID-19 pandemic.

As part of the Government of India's drive for Ease of Doing Business, the MCA has taken many initiatives thereby saving as many procedures, time and cost for starting a business in India. The Central Registration Centre (CRC) continued to function even during the lockdown to enable stakeholders to incorporate Companies and LLPs.

The MCA launched SPICe+ form in February 2020 and thereby integrating 10 different services across 3 Central Government Ministries/Departments (Ministry of Corporate Affairs, Ministry of Labour & Department of Revenue in the Ministry of Finance) and 3 State Governments(Maharashtra, Karnataka and West Bengal), viz;

Name Reservation

Company Incorporation

Director Identification Number

EPFO Registration No.

ESIC Registration Number

PAN

TAN

Profession Tax Registration Number for the state of Maharashtra, Karnataka and West Bengal

Bank Account number and

GSTN Number (on Optional basis)

The MCA is continuously striving to transform the regulatory environment and has taken several measures in the recent past towards Ease of Doing Business like;

Revision of Definition of Small Companies which has reduced compliance burden on about 2 lakh companies

Zero MCA fee for company incorporation up to Rs 15 lakh authorised capital

Incentivisation of incorporation of One Person Companies (OPCs)

De-criminalisation of technical & procedural violations under Companies Act