SPICE – or Simplified Proforma for Incorporating Company Electronically, simplifies the incorporation of a company through an online application form – INC 32, in addition to the Memorandum of Association (in Fomr – INC – 33) and Article of Association, INC – 34.
What does this signify to the professionals?
Apart from making the procedure simpler (since everything need to be e-filed), one can also fill a pre-drafted Memorandum and Article of Association online, thus, making it a hassle free process.
What is different?
Prior to May, 2015, the incorporation of companies required one to fill up several documents, such as the DIR – 3 for acquiring the DIN (Director identification number), INC- 1 for obtaining a name, Filling of INC – 7 for registering the company with the Memorandum and Articles of Association, an INC – 22 for registered office and finally, Form – DIR for directors.
However, with effect from 01/05/2015, the Ministry of Corporate affairs brought forward One form – INC – 29 for incorporation of companies. This form included all the details to be filled in the five forms as mentioned earlier. Also, the process of getting an approval (if all filing done correctly) was reduced to as low as 48 hours.
Now, the SPICE initiative, and the introduction of INC – 32, the similar facilities provided by INC – 29 will apply here too. However, what is ‘additional and much more progressive’ is the way the new system facilitates the filing of Memorandum and Article of Association, at the time of incorporation, and electronically. Filing of MOA and AOA online can save a lot of effort and time spent on their incorporation.
Although SPICE is introduced and the plans are put forth on the 1st of October, further details will be furnished by the Ministry very soon and will definitely change the way the incorporations of companies will be done in future.
Salient Features of SPICE
- INC – 32 can be filed even if you have applied for the name of the company through INC – 1already. This is the difference between INC – 29 and the new E-form.
- As stated earlier, the major breakthrough is the fact that the SPICE provided MOA and AOA to be filed electronically, through forms INC- 33 and INC- 34. The MOA can be copy pasted from your file and the AOA can be pre-drafted against the clauses given in the form INC- 34. The whole process is completely simplified.
- Since MOA and AOA are to be filed digitally, the signatures of directors (Digital signatures) can be affixed with INC – 33 and INC -34.
- INC- 32 is quite similar to INC- 29, which makes is simpler to fill. The only addition here is this information regarding the MOA and AOA.
Thus, through SPICE, the Ministry of corporate affairs has made a considerable effort to reduce the hassles and time frame taken for incorporation as well as the paperwork involved.