A company is a legal entity. It can interact with similar entities, groups, and individual human beings like any normal human being. The Companies Act 2013 provides the dos and don’ts of a company. It also provides legal provisions and rights that a company registered in India can enjoy. However, the board of directors are behind all major actions and decisions that the company undertakes to run the business. These directors are legal directors only when they have DINs or Director Identification Numbers. DIN registration is a must before company registration or introducing any new director while the company is legally alive. A DIN is a unique 8-digit number assigned to an individual willing to be a director of any registered Public limited or private limited company in India.
DIN application procedure
In simple words, without a DIN, an individual cannot be a director of any company. Again, without directors, a company cannot be registered anywhere in India. Hence, DIN registration is a must. While submitting the company registration form and documents, all directors that would form the board of directors must have DINs. The first step in the DIN application procedure comes to DSC or Digital Signature Certificate. It is obtained online and you can use it in future as an alternative to a physical signature. the company offers all related services to make the application procedure for both DSC and DIN easy and fast.
The DIN application process is not tough but its documentation and application need to be flawless. Otherwise, RoC returns the application. To avoid any errors and hasten the DIN registration process, expert intervention is required.
- Duly signed with the help of DSC, the DIN application along with other mandatory documents are to be submitted to the Ministry of Corporate Affairs.
- If the application is found flawless and documents are acceptable, then the DIN number is generated within a week.
- If there is any objection regarding the documents and application, the appropriate office seeks clarification or resubmission.
- When the Ministry of Corporate affairs find the application is as per the system, they approve it and provide the DIN to the applicant.
- DIN is a permanent lifetime identity of an individual as a registered director in India.
These days, all information about a director can be searched on the Ministry of Corporate Affairs database online. Whenever the director having a valid DIN wants to be a part of a new company or another existing company, the RoC fetches his or her information from that database. Thus, a director can be a part of the board of directors without any paperwork or delay.
DIN has many uses and applications
Not just in the formation of a new company or for getting into the board of directors of an existing company, DIN has multiple other uses and advantages. Right from ITR filing to applying for loans on behalf of the company, DIN is needed. This means DIN registration is important and mandatory to be a part of a Public Limited company, Private Limited company, or LLP.