In India, all registered businesses are covered under the Companies Act, 2013 and are looked after by the Ministry of Corporate Affairs (MCA). Entrepreneurs, investors and stakeholders in a company, at times, are in need of confirmation as to whether a company exists, is struck off or is under liquidation. The MCA offers a web-based platform through which you could easily online verify the status of the company.
The Significance of Checking Company Status
It is vitally important to check the legal status of the company on the MCA portal before entering into business contracts, partnerships, or any investment. One of the reasons why this is important is that:
- To make sure that the company has not been struck off by the Registrar of Companies (ROC).
- To verify the compliance of the company with the provisions of the Companies Act requirements in terms of filing requirements.
- To see the information on the directors, current capital structure, registered office and assets charge.
- Not to commit fraud, or to make a deal with a shell company.
- In order to remain transparent and safeguard investor confidence.
2. MCA Website: The Official Source of Company Status
The official portal for all corporate filings, company incorporation and compliance services is through the MCA portal (www.mca.gov.in). By using this site, it is possible to verify:
CIN (Corporate Identification Number) and company particulars
- Director Information
- Company master data
- History of submission of annual returns and financial statements
- Accounting charges and encumbrances on assets of the company
- The status of the company, whether Active, Dormant, or Struck Off
Step-by-Step Guide to Check Company Status on MCA
The steps to check the status of any company in India are mentioned below:
Step 1: Go to MCA portal
Go to the official MCA website http://www.mca.gov.in. It is the main gateway to all services by the company in India.
Step 2: Navigate MCA Services
On the home page, select the MCA services tab in the menu. You will get several alternatives under this section devoted to the data on companies and LLPs.
Step 3: Choose View Company/LLP Master Data
On the Master Data section, select the option, “View Company/LLP Master Data.” The good part of this feature is that it offers access to information on the companies registered under the MCA to the general population.
Step 4: Fill in the Company Details
The company can be searched in the following ways:
- By entering the Company Name
- By entering the Corporate Identification Number (CIN)
Enter the captcha code and press Submit.
Step 5: View Company Master Data
The portal will profile the following information:
- Company name
- CIN number
- Incorporation date
- Type and category of company (Public, Private, One Person Company, etc)
- Authorized and paid-up capital
- Registered office address
- Chairmen of the board of directors/Signatory Details
- Filing status (active, struck off, under liquidation, and so on)
Understanding Company Status Types
When you get to check the company status in the MCA portal, you are likely to encounter various terminologies. This is what they imply:
- Current: An active company that is up to date with filings.
- Dormant: A certificate of dormancy has been achieved under this act, Section 455.
- Under Liquidation: Liquidation of the company is in process.
- Struck off: the company has been removed from the register of companies because of non-compliance or voluntary application.
- Amalgamated: The business has joined with another.
Additional Information Available on MCA
In addition to company status, the MCA portal offers:
- History of the filing: Annual returns (Form MGT-7) and financial statements (Form AOC-4).
- Charges: Loans and encumbrances that are undertaken over the fiscal property of the business.
- Signatory details: A list of directors, their DIN numbers and positions.
- Compliance monitoring: Is the annual compliance up to date?
This qualifies MCA to be the mandatory tool of due diligence and compliance checks.
Why is regularly following the status of the company Important?
- To Investors: With it, you are able to check how credible and compliant a business is before investing.
- To Business Partners: Make it free and clear prior to agreement signing.
- In case of Banks and Financial institutions: This is useful before loans or credit facilities are granted.
- To Regulatory Authorities: Assists in overseeing regulations in the Companies Act.
Common Issues Faced While Checking Company Status
- Entering the wrong company name or CIN may result in no output
- A little bit of information, such as detailed finances, is only accessible through paid services in MCA.
- The site can get slow during the peak hours of filing.
- In case the company is very new, it can take time till the details reflect.
Conclusion
Verifying the status of the company on the MCA site is a very critical step undertaken by business people, investors, and stakeholders in India. It is transparent, anti-fraud, and it adds confidence to doing business. It is easy and straightforward to follow since it only takes the widest clicks. Frequently checking the information of companies on MCA is a useful practice that will ensure compliance and trust in the business environment.
FAQs
1. Is it free to check a company’s status on MCA?
The review of the company master data and the status on the MCA portal is free. Only elaborate filings and documents are likely to incur some fee.
2. What information do I have to tick the company status?
You may either search with the Company Name or the CIN (Corporate Identification Number).
3. Is LLP status checkable in MCA?
Yes, MCA portal does enable tracking of the status of a company and of a Limited Liability Partnership, as well (LLPs).
4. What does struck off mean in the company status?
It implies that the company has been struck off the Registrar of Companies as it has either not complied or closed down of its own accord.
5. How frequently do we need to check company status?
Business partners, lenders, or investors ought to verify the status before they engage in a contractual action, whereas company owners ought to ensure that they update their compliance on an annual basis.
