Producer Company
Simplifying the process of company incorporation for your business.
What is a Producer Company?
A Producer Company is a cooperative business formed by producers to collectively produce, process, and market goods, sharing profits based on members’ contributions for economic benefit.
- A cooperative formed by producers (e.g., farmers, artisans).
- Registered as a private limited company.
- Focused on collective production, processing, and marketing.
- Profits shared based on members’ contributions.
- Aims to improve the economic well-being of its members.
Why Choose Producer Company?
- Collective Strength: Producers can pool resources for better bargaining power, reducing costs and increasing profitability.
- Access to Markets: Facilitates better marketing and distribution channels for members’ products.
- Shared Risk: Risks are distributed among members, reducing individual financial burdens.
- Government Support: Eligible for various government schemes and subsidies aimed at promoting agriculture and rural development.
- Profit Sharing: Profits are distributed based on members’ contributions, ensuring fair returns.
- Improved Bargaining Power: Producers gain stronger negotiation power with suppliers and buyers due to collective action.
Documents Required for Producer Company Registration.
Partners’ Documents:
- Identity Proof: PAN Card, Aadhaar Card, or Passport.
- Address Proof: Utility Bill, Bank Statement, or Voter ID.
- Passport-sized Photographs of all partners
Registered Office Proof:
- Address Proof: Electricity Bill, Water Bill, or Property Tax Receipt
- Rental Agreement or Property Ownership Document
- NOC from the Property Owner (If renting)
Additional Requirements:
- Memorandum of Association (MoA) & Articles of Association (AoA)
- Board Resolution for Registration
- Declaration of Compliance (By Directors & Shareholders)
- PAN Card of the Company
- Incorporation Forms as per MCA requirements
Mandatory Criteria for Producer Company Registration
To register a Producer Company Registration in India, the following requirements must be met:
- Minimum Number of Members: At least 10 individuals or 2 legal entities must be involved in the formation.
- Producer Members: All members must be producers (farmers, artisans, etc.) of the same industry.
- Company Type: It must be registered as a private limited company under the Companies Act, 1956.
- Collective Objective: The primary objective must be to improve the livelihood and income of members through collective production, processing, and marketing.
- Capital Requirements: Sufficient capital to meet operational needs, with contributions from members.
- Board of Directors: The company must have a board of directors, with at least 5 members, elected by the producer members.
- Profit Distribution: Profits are shared based on members’ contribution to the company’s business, not capital investment.
Steps to Register
Obtain DSC and DIN
Get Digital Signature Certificate (DSC) and Director Identification Number (DIN) for directors.
Choose Company Name
Select and check name availability on the MCA portal.
Draft MOA and AOA
Prepare Memorandum and Articles of Association with producer-focused objectives.
File Incorporation Application.
Submit the INC-32 (SPICe) form with necessary documents.
Obtain Certificate of Incorporation
Receive the Certificate of Incorporation from the Registrar of Companies (RoC).
Apply for PAN and GST
Apply for PAN, TAN, and GST registration (if applicable).