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Commencement of Business

Commencement of Business compliance — file Form INC-20A to make your newly incorporated company legally ready to operate.

Statutory declarationMCA filingLegal operational readinessCommencement of business
Regulatory Significance

Regulatory context & legal importance

A company incorporated with share capital cannot commence business or exercise borrowing powers until it files a statutory declaration affirming that all initial requirements under the Companies Act have been satisfied — codified in Section 10A of the Companies Act 2013 and Rule 23A of the Companies (Incorporation) Rules 2014.

The declaration must be filed with the Registrar of Companies in Form INC-20A within 180 days of incorporation. It is a statutory prerequisite for entering contracts, raising capital, rendering services, issuing invoices and exercising borrowing powers.

File INC-20A Free Consultation

Compliance Under Section 10A

  • Mandatory filing of Form INC-20A
  • Required before borrowing funds
  • Statutory compliance under Section 10A
  • To commence business operations

Companies Required to File

All companies incorporated on or after 2 November 2018 with share capital must file Form INC-20A within the prescribed timeline.

Entities Not Required

  • Companies incorporated before 2 November 2018
  • Companies without share capital (regardless of date)

Failure to file on time prevents the company from lawfully commencing business and may lead to regulatory consequences.

Pre-Filing

Key statutory requirements

Before filing Form INC-20A, the company must ensure the following are in place.

Bank Account

A bank account is opened in the company’s name.

Share Capital

Subscribed share capital per the MOA is deposited into the company’s bank account.

Registered Office

The registered office details are verified with the RoC, if not already done.

Form INC-20A must be signed by a director authorised by the Board and certified by a practising professional — a CA, CS or CMA — confirming compliance with statutory conditions.

Our Framework

Our commencement-of-business service framework

Due date: Form INC-20A must be filed within 180 days of the company’s incorporation.

1

Statutory Advisory & Pre-Filing Assessment

Verification of incorporation data, review of share-subscription and bank-deposit evidence, and confirmation of registered-office verification.

2

Board Documentation & Director Declaration

Drafting the board resolution authorising the filing and the director’s declaration under Section 10A, with supporting documentation.

3

Filing of Form INC-20A

Preparing Form INC-20A on the MCA portal, attaching the prescribed declarations, and certification by a CA/CS/CMA with digital signatures.

4

Confirmation & Operational Enablement

The acknowledgement receipt / commencement certificate is issued, and the company becomes legally eligible to begin operations.

Documents Typically Required

  • Certificate of Incorporation
  • Proof of share-capital subscription (bank statements / deposit slips)
  • Registered office verification documents
  • Director’s declaration and board resolution

Penalties for Non-Compliance

  • Penalties under the Companies Act 2013
  • Restriction on commencing business or borrowing funds
  • Directors becoming personally liable for defaults
  • Risk of the company being struck off the RoC register

Non-filing undermines legal status and may impact investor confidence and operational legitimacy.

Why WeConsult

Why businesses choose us for this

Specialist expertise

Professionals who handle INC-20A filing every day — so it's done right the first time.

Fast & transparent

Clear timelines, clear pricing and no hidden surprises from start to finish.

Real support

A responsive team you can actually reach whenever you have a question.

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Related services

Other services that often go hand in hand with commencement of business.

FEMA Compliance

Compliance for foreign investment and remittances.

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ADT-1 Filing

Report auditor appointment to the ROC.

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Articles of Association (AOA)

Draft or amend your company's AOA.

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Ready to get started with commencement of business?