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In India, Private Limited Company is one of the best options to start-up a business. The entity must be registered as per the regulatory guidelines and Compliance of Ministry of Corporate Affairs (MCA). Private Limited Company is defined under section 2(68) of Companies Act, 2013. Private Limited Company is the form of entity being held by few members or a small group of people. Companies Act further confirms that there is no minimum capital requirement to start a Private Limited Company.

In a Private Limited Company, the owner's liability is limited to the number of shares he holds. Law imposes restrictions on the number of members who can own a company. The number of shareholders is limited to 200. The shares by the members or the shareholders are constrained from being publicly traded. Private Limited Company should have at least Two Directors and the maximum number of Directors is restricted to 15.

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