Quick answer: registering a private limited company costs roughly ₹6,000–₹15,000 in professional and government fees. But that's only half the story.
Search online and you'll see quotes from ₹3,000 to ₹30,000 — the cheap ones leave things out, the expensive ones pad the bill. Neither tells you the number that actually matters: what it costs to run the company in year one, not just to register it.
So here's the transparent version. We'll break down the one-time incorporation cost, what makes that number move, and the first-year compliance costs almost every cheap quote conveniently ignores. If you'd rather get a fixed, all-in quote with nothing hidden, our startup team registers companies on a flat fee.
The one-time incorporation cost
You register through SPICe+ — the government's single online form (on the MCA portal) that bundles incorporation, PAN and TAN together. Here's what actually goes into the bill for a standard two-director company:
| Item | Typical cost | Note |
|---|---|---|
| Digital Signature (DSC) | ₹2,000 – ₹3,000 | One per director |
| Name reservation | ₹1,000 | SPICe+ Part A |
| Government filing & stamp duty | ₹500 – ₹5,000 | Varies by state & capital |
| PAN & TAN | Included | Issued with SPICe+ |
| Professional fees | ₹5,000 – ₹15,000 | Drafting, filing, advisory |
| Total one-time | ₹8,000 – ₹20,000 | All-in, most cases |
For most early-stage founders in Karnataka with standard requirements, the realistic all-in incorporation cost lands around ₹10,000 – ₹15,000. Anything dramatically cheaper usually means corners cut or costs deferred to later.
What makes the price move
Three things push your incorporation cost up or down:
- State stamp duty. This is a government charge that varies significantly by state — it's higher in some states than others, which is why the same package costs different amounts in different places.
- Authorised capital. Filing fees scale with your authorised capital. Most startups begin with ₹1 lakh, which keeps fees minimal; a higher authorised capital raises the government fee.
- Number of directors. Each director needs a Digital Signature, so a three- or four-founder company costs a little more upfront.
Tip: don't over-set your authorised capital to look impressive. Start at ₹1 lakh, keep fees low, and increase it later when you actually need to — for example, just before a funding round.
The costs founders forget — year one
This is where the cheap quotes catch people out. A Pvt Ltd carries mandatory annual compliance from the day it's incorporated, regardless of whether it has earned a single rupee. Budget for these in year one:
| Item | Typical annual cost |
|---|---|
| Statutory audit | ₹10,000 – ₹25,000 |
| ROC annual filings (AOC-4, MGT-7) | ₹4,000 – ₹10,000 |
| Accounting & bookkeeping | ₹6,000 – ₹24,000 |
| DIR-3 KYC & misc. compliance | ₹2,000 – ₹5,000 |
| Total first-year running | ₹25,000 – ₹60,000 |
These are mandatory — ROC compliance and the statutory audit aren't optional for a Pvt Ltd, even with zero turnover. Skipping them is how companies accumulate penalties and end up facing strike-off.
Your real first-year budget
Put the two together and you get the number that actually matters — what a Pvt Ltd costs you in its first twelve months:
| Cost block | Range |
|---|---|
| One-time incorporation | ₹8,000 – ₹20,000 |
| First-year compliance & audit | ₹25,000 – ₹60,000 |
| Total, first 12 monthsRealistic all-in | ₹33,000 – ₹80,000 |
If that ongoing cost feels heavy for an idea-stage business that won't raise money, an LLP is cheaper to run — weigh it up in our Pvt Ltd vs LLP guide before you commit.
Frequently asked questions
Can I register a Pvt Ltd myself for free?
The government filing itself is low-cost, but you still pay for DSCs and stamp duty, and the SPICe+ process involves legal drafting (MOA, AOA), name approval and document checks where mistakes cause rejection and re-filing. Most founders find a flat professional fee cheaper than the time and re-submission risk of going alone.
Is there a minimum capital requirement?
No. There's no minimum paid-up capital to start a Pvt Ltd in India. You can incorporate with a nominal amount — many founders start with ₹1 lakh authorised and a much smaller paid-up capital.
Why is the audit mandatory even with no revenue?
Every private limited company must have its accounts audited by a Chartered Accountant each year, regardless of turnover or activity. It's a feature of the structure — and a real cost LLPs avoid until they cross size thresholds.
Do you offer a fixed all-in price?
Yes. We quote a flat fee covering incorporation and clearly separate the first-year compliance package, so you know your full year-one cost before you start — no surprises.
Want a fixed, all-in quote with nothing hidden? Tell us your state, number of directors and capital, and we'll give you the exact one-time and first-year numbers for your company.
First-Year Budget Template
A simple spreadsheet to plan your company's full first-year cost — incorporation plus every compliance line item.
Register your company on a flat fee
Our startup team handles your full incorporation — DSC, name approval, SPICe+, PAN, TAN and bank account — and sets up your first-year compliance, all for one transparent price.