Producer Company

A Producer Company represents an organisation formed by individuals who are producers or by producer institutions. Producers or Producer Institutions majorly deal in activities like processing, manufacturing, importing and exporting, promoting, procuring, marketing etc. of the primary produce or its supplements.

Any such 10 or more individual producers; or

At least 2 or more Producer Institutions; or

A combination of the above two can form a Producer Company having its objects specified in Section 581B and otherwise complying with the provisions of the Act and the.

Process of Incorporation of a Producer Company

A Producer Company can be incorporated in a similar way as Private company. Following steps are involved in the incorporation of such company:

1. Obtain DSC and DIN for the proposed first Directors of the Producer Company.

• A Digital Signature establishes the identity of a signee electronically while filing documents through the Internet. The Ministry of Corporate Affairs (MCA) mandates the Directors to sign the application documents using their Digital Signature.
• Director Identification Number provides a unique identity to the director & helps in maintaining information of all directors in a database.

2. Reservation of Name

• Name Application for a Company could be made through SPICe+ Part A under New Application. The name must always end with ‘PRODUCER COMPANY LIMITED’.

3. Preparation of Documents

• Most important documents such as MOA and AOA must be prepared in physical form with at least 10 first Subscribers.
• Other documents which are to be attached with the Incorporation forms such as Declaration of first Directors or Subscribers, Interest of First Directors in other entities, etc. need to be drafted and signed before actual filing of forms.

4. Filing the requisite Forms

• Incorporation has to be done by filing of form SPICe+ along with AGILE- Pro on MCA portal. Following services can be availed by filing SPICe+ form:

             Part A: Name Reservation (New Companies only)

             Part B: Company Incorporation

                            Application for DIN

                            PAN Application

                           TAN Application

                           GSTIN Application

                           EPFO Registration

                           ESIC Registration

                           Opening of Bank Account for the Company

                           Profession Tax Registration (only for Maharashtra)

Part A (Name Reservation) and Part B (All Other Services) can be applied simultaneously; or Part B can be filed after Part A i.e. when name is approved by the Ministry.

5.  Issue of Certificate of Incorporation

• If the Registrar is satisfied that all the requirements of this Act have been complied with in respect of registration and matters precedent and incidental thereto, he issues a certificate of incorporation.

On registration, the Producer Company becomes a body corporate as if it is a private limited company to which the provisions contained in this Part apply, without, however, any limit to the number of Members thereof. The Producer Company can never become Public Limited Company under any circumstances.

The Producer Company may reimburse to its promoters, all other direct costs associated with the promotion and registration of the company including registration, legal fees, printing of a memorandum and articles and the payment thereof, subject to the approval of Members at its first general meeting.

Documents required for Incorporation of a Producer Company

PAN Card – PAN Card of shareholders and Directors.

Photograph – Latest Passport size photograph of Shareholders and Directors.

Identity Proof – Aadhar card and Voter ID/ Passport/ Driving License of Shareholders and Directors.

Address Proof – Latest Telephone Bill /Electricity Bill/ Bank Account Statement of Shareholders and Directors.

Business Address Proof – Latest Electricity Bill/ Telephone Bill of the registered office address