Ishita Ramani
Introduction
This article includes information on the corporate identification number (CIN), covering information on the CIN for companies, what it is, how to check it, and other related information. The Registrar of Companies (ROC) assigns each company incorporated in India with a unique identification number known as a Corporate Identification Number (CIN). After receiving their Registration Certificate, companies are granted their CIN by the ROC. The CIN is significant because every business is required to include this specific number on all documents submitted to the MCA, such as audits and other reports.
What is CIN Number?
The Ministry of Corporate Affairs issues the Corporate Identification Number (CIN), a 21-digit alpha-numeric identifier, to businesses that are formed in India after they have registered with the ROC in various states across the country.
All businesses that register in India are issued a CIN; examples are listed below.
One Person Company (OPC)
- Nidhi Company
- Limited Liability Company
- State-owned enterprises
- The company from Section 8 and others
On the other hand, Limited Liability Partnerships (LLP) registered in India do not acquire a CIN. LLPs are given a special 7-digit identifying number called the LLPIN (Limited Liability Partnership Identifying Number) by the ROC.
Description of the 21-digit of CIN
Section 1
The first character of a CIN shows whether a company is "Listed" or "Unlisted" on the Indian stock exchange. So, the first character indicates if the company is a stock market listed company. The CIN of a company will start with the letter "L" if it is listed, and with the letter "U" if it is not.
Section 2
The next five numeric digits classify a company's economic activity or the industry to which it belongs. This categorization is based on the kind of economic activity that a facility like that would carry out. The MCA (Ministry of Corporate Affairs) has issued numbers to each category and industry.
Section 3
The next two letters represent the Indian state where the company is registered. As an illustration, GJ signifies Gujarat, MH signifies Maharashtra, KA signifies Karnataka, and so on. It works in the same way that a vehicle registration number does.
Section 4
The next four digits in a CIN number represent the year in which the company was created.
Section 5
The next three letters stand for the company class. These three letters indicate whether a company is a public limited or private limited company. If the CIN number is FTC, it means the business is a subsidiary of a foreign corporation, whereas the Government of India means the business is owned by the Indian government.
Section 6
The final six numerical digits represent the registration number provided by the concerned ROC (Registrar of Companies).
The importance of a company's CIN number
The 21-digit CIN has a unique importance that is easy to understand and simplifies the identification of important corporate data.
- It is used to obtain the fundamental data on businesses that are registered in the nation with the MCA (Ministry of Corporate Affairs).
- A company's CIN (Corporate Identification Number) must be submitted on all transactions with the relevant ROC (Registrar of Companies), and it is used to track all of its activities beginning with the time the ROC first established the company.
- CIN numbers can be used to identify or track organizations for various levels of information maintained by MCA/ROC. The CIN provides details about the Registrar of Companies (ROC) as well as the identification of the company.
How to obtain a CIN number for your company?
Once you have chosen the type of business you want to establish, the steps to obtaining a CIN are as follows.
- Get a DSC (Digital Signature Certificate).
- Obtain a DIN (Director Identification Number).
- The new user registration process must be finished.
- After completing this, complete the company incorporation process.
- Incorporate the Company
After receiving the company's incorporation papers, the MCA (Ministry of Corporate Affairs) will evaluate and approve the application. After all of the application's data has been verified, the CIN is assigned.
Summary
A business registration number, also referred as a CIN (Corporate Identification Number), a special identification number issued by the ROC (Registrar of Companies). In simple terms, a CIN is a special code that includes both the company's identification number and extra details about how it operates.
CAclubindia
